Fyffes revenues top €1 billion

Tropical fruit importer Fyffes has reported revenues totalling more than one billion euro for the first time since it's demerger of Total Produce in 2006.

Turnover at the company increased 19.7 per cent to €1.017 billion last year, driven by organic growth.

The company said approximately €35 million of the increase in sales related to a translation benefit on Sterling and the US Dollar, and the full year impact of the van Wylick joint venture which was acquired in March 2011.

Profit before tax for rose 36.2 per cent to €30.3 million, while diluted earnings per share increased 45.8 per cent to 8.82 cent from 6.05 cent.

Earnings before interest, tax, depreciation and amortisation (EBITDA) in 2012 amounted to €41 million, a 38.4 per cent increase on 2011. The company said the key drivers behind the improvement were selling prices, exchange rates and the costs of fruit, shipping and fuel.

Fyffes said melon operations delivered a strong underlying trading result in the year, with continued volume growth as a result of the additional production assets acquired in the second half of 2011 and early 2012.

The company said it performed strongly in the banana category, despite continued cost inflation, higher fruit and fuel costs and a significant adverse movement in exchange rates.

Fyffes chairman David McCann said trading conditions have been "broadly in line with expectations in 2013 to date" and the Group is maintaining its €27 million - €33 million target EBITA range for the year.

The firm began trading in the 1880s when the first commercial delivery of bananas from the Canary Islands arrived in London for E.W. Fyffe Son & Co.

The world's oldest fruit brand came into being in 1929 with the famous blue label and its bananas are sourced in the Tropics from countries such as Costa Rica, Guatemala and Colombia.

General produce and distribution business Total Produce demerged from Fyffes in 2006.

The board is proposing to pay a final dividend for 2012 of €1.42 cent per share, up 7.6 per cent on the previous year.