RABOBANK IRELAND, the IFSC-based firm owned by the Dutch bank, made a profit of €44.3 million in 2008 compared with a loss of €26.6 million the previous year after a better performance on the sale of financial assets.

The company made a gain of €4.4 million selling assets last year compared with a loss of €46.9 million the previous year, while trading income totalled €3.2 million compared with a loss of €7 million the previous year.

Net interest income rose to €68 million from €59 million.

Rabobank Ireland is involved in treasury dealing, structured finance, corporate lending and management services. It employs 77 people at its IFSC operation.

Staff costs at the company fell to €7.6 million from €8.5 million.

The company said that 2008 was “another difficult year for financial markets”, but said the results showed a return to profitability after reporting a loss the previous year for the first time. The company said net interest and trading income increased due to higher margins and interest rate reductions in the second half of the year. The company’s costs fell slightly to €15.2 million, while the amount set aside to cover losses rose to €17.1 million from €15.3 million. “Operating expenses are being closely monitored, whilst provision of management services expanded,” the directors of the company said in the 2008 report.

The company said its balance sheet had been reduced by €1.6 billion to €20 billion largely due to the sale and maturity of debt securities. Some €17 million was set aside for debt securities considered impaired due to further deterioration in the market.

The company is part of the Dutch group’s international corporate and investment banking arm.

In Ireland Rabobank also owns ACC Bank, which is cutting 200 jobs, almost a third of its staff, and closing 16 of its 25 branches.