ADARE Printing has put in a better than expected half year performance, reporting a 28 per cent rise in pre tax profits to £5.2 million in the six months to the end of October.

Buoyed by strong contributions from three recent acquisitions and solid growth across its other printing businesses in the Republic and UK, the latest interim figures are well ahead of brokers forecasts.

Over the six months, turnover increased by 60 per cent from £34.3 million to £54.9 million. Operating profits rose by 22 per cent from £2.8 million to £3.5 million with earnings per share up 20 per cent at 30p. O the back of the good performance, shareholders will be paid an interim dividend of 3.12p per share, an increase of 50 per cent on the previous year.

Commenting on the figures yesterday, Adare chief executive Mr Nelson Loane said he was optimistic that the group could achieve a similarly strong result over the coming six months. "We hope to keep going at the same clip. Our businesses in the UK are nicely placed, nicely focused and we are optimistic about the future".

Mr Loane said the acquisition of the Prontaprint, Lexicon and Pillings businesses, together with good growth in higher margin products and services, had contributed to higher profitability. These acquisitions were performing well and in line with expectations he added.

Mr Loane said that business at its Mount Salus Press subsidiary had recovered since the loss of a lucrative printing contract with Microsoft earlier this year. To date, Mr Loane said that close to half of the business lost has been won back through new contracts with other firms in the computer sector.

The mix of business at Mount Salus Press was now more evenly distributed, while the company was continuing to win new customers and markets, he said. The group, which has substantial cash reserves, was constantly looking for opportunities to add shareholder value in attractive sectors, according to Mr Loane. However at the moment potential acquisitions in the UK market looked expensive.