Carbery Group, which is owned by the four West Cork co-ops, has reported a 37 per cent increase in 2003 pre-tax profits to €5.3 million.
However, last year's performance was lifted by an exceptional profit of €0.8 million as it realised part of its shareholding in Roaring Water Bay Spirts Company, producers of the Boru range of spirits. Roaring Water Bay merged with a US distributor to form a new company called Castle Brands.
The Cork-based company, whose products include Dubliner cheese, said turnover rose by 1.3 per cent to €169.4 million despite a second successive year of very poor cheese returns.
"The marketplace has become incredibly competitive with cheese buying in the UK now in the hands of a small number of large companies," said chief executive Mr Dan McSweeney.
"Cheese production of cheddar varieties reduced as the year progressed and this helped restore a better market balance as we approached 2004," he added.
Carbery said its ingredients division, which has operations in the US and Britain as well as the Republic, performed very solidly.
The company recently concluded a whey processing joint venture in Britain with Somerset-based cheesemaker AJ & RG Barber. The €5 million investment will involve the establishment of a whey processing facility at Barber's site to produce whey protein concentrates for a wide range of food and beverage applications. The new plant is scheduled to open in early 2005.
Carbery Group is owned by co-ops Bandon, Barryroe, Lisavaird and Drinagh.
