Profits jumped 45 per cent at the construction subsidiary of John Paul last year despite a fall in turnover.
John Paul Construction Holdings, which operated purely in the Republic, reported revenue of €125.8 million, down 7 per cent on the €135.3 million.
Profits before tax were up 47.6 per cent at €5.02 million. After tax profits were 45.5 per cent ahead at €4.03 million.
However, towards the end of the year, the company transferred the bulk of its assets back to its parent group, including its entire construction business and associated net assets. By year end, John Paul Construction Holdings comprised just two groups of buildings.
The John Paul construction business has been through a convoluted restructuring in recent years. In January 2001, John Paul Construction transferred the bulk of its business to a company called Simmington & Co, which had previously been called John Paul & Co Ltd.
On the same day, the business was handed on to a company called Desailly Ltd, with the shareholders in Simmington being issued shares pro-rata in that company.
The construction business was passed on again before the day ended, sold to John Paul Construction Holdings Ltd in return for a million shares valued at €1 apiece.
Later that year, on May 21st, Desailly Ltd changed its names to John Paul & Co Ltd.
John Paul Construction Holdings Ltd lasted less than two years and, on October 3rd, its directors agreed to transfer the construction operations back to the parent company, John Paul & Co Ltd.
A spokesman for the group said finance director Mr Conor O'Donnell was not available to explain the restructuring.
With the transfer of the business, the company paid €4.8 million to the parent group, comprising assets, stock, cash and debtors, offset by money owing to creditors. This reduced retained profit from €2.5 million at the end of 2001 to €1.7 million at the end of last year.
Executive directors' remuneration fell to €679,702 from €910,066 a year earlier with the number of executives at end-2002 falling to four from eight at the close of 2001.
