C&D Foods posts profit of EUR1.95m

C&D Foods, the Longford-based pet food group owned by Mr Philip Reynolds, made a pre-tax profit of €1.95 million in 2003, according to accounts just filed.

Turnover during 2003 was €58.5 million, up from €54.8 in 2002.

Profits before tax in 2002 were €1.5 million.

The group is 100 per cent owned by Mr Philip Reynolds, son of the former Taoiseach, and founder of the business, Mr Albert Reynolds.

The notes to the 2003 accounts show that during the year the group had dealings worth €902,000 in which directors had an interest.

The payments were concerned with the provision of technology and services. "The balance due to Philip Reynolds at 31st December, 2003, was nil."

Accumulated profits at the end of 2003 were €15.8 million. No dividend was paid.

During the year the average number employed by the group was 403. Staff costs were €10.4 million, including €420,899 in respect of directors.

The directors during 2003 were: Mr Philip Reynolds; Mr H.T. Carr; Mr Albert Martin Reynolds; Mr Adrian Glover; and Ms Anne Reynolds.

The group manufactures and distributes pet food mainly under private label contracts for major retail customers. Last week it announced that Mr Ron Bolger had become chairman.

Mr Bolger is chairman of Irish Food Processors Ltd, vice-chairman of the EBS Building Society, a former managing partner in KPMG and a former chairman of Telecom Éireann.

In July 2003 the group purchased Yorkshire-based Primetime Petfoods, which produces a wide range of dry pet foods and mixer products.

At the time C&D said the purchase made it the largest producer of own-label pet foods in Ireland and the UK.

The Yorkshire company had a turnover of approximately €14 million, making for a likely turnover for C&D in 2004 of up to €80 million.

The group has invested €15 million in the past four years on increased capacity and product/packaging developments, and has committed to making continued investment in both its Longford and Yorkshire operations.

"Research continues to play a very important role in the development of the business," the directors state in a note with the 2003 accounts.

"The group currently has adequate capacity in its canning and aluminium lines to facilitate forecasted growth in these businesses. Additional investments to further improve the product range are being considered."