Business

Ikea’s Irish unit pays €11m dividend to parent as profits almost double

Ikea Ireland Ltd posted an 82% rise in pre-tax profits while its revenues increased by 16.5%, accounts show

Ikea opened Plan & Order Points in Drogheda, Cork and Portlaoise in its latest financial year, Photograph: Cyril Byrne

Gordon Deegan
Sun Jun 30 2024 - 14:12

The Irish arm of Swedish retail giant Ikea is eyeing further expansion here as pretax profits last year increased by 82 per cent to €23.5 million.

Accounts filed by Ikea Ireland Ltd show that pretax profits surged last year as revenues increased by 16.5 per cent to €252.4 million in the 12 months to the end of August 2023.

The bumper year for the home furnishing retailer resulted in the company increasing its dividend payout from €3 million to €11 million to its Dutch parent entity. While a Swedish multinational, Ikea is legally headquartered in the Netherlands.

On the company’s expansion plans, the directors state that “following the success of the two plan and order points opened last year, we’ve committed to open many more around the country within the next couple of years”.

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“During the year, Ikea opened plan and order points in Drogheda, Cork and Portlaoise, with plans to open in more locations in 2024. We’re on an expansion journey in Ireland.”

Ikea currently has 11 pickup points here. Numbers employed by Ikea Ireland decreased by 34 from 766 to 732 as staff costs increased from €21.76 million to €23.99 million.

Gordon Deegan

Gordon Deegan

Gordon Deegan is a contributor to The Irish Times

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