The company that operates the Champion Sports chain of stores earned profits of more than €9 million last year, according to the latest returns to the Companies' Registration Office (CRO).
Irish-registered Champion Products Europe Ltd, had sales of €24.36 million in the year to June 30th 2003, just under €1 million more than in the previous 14-month period covered in its last annual returns.
The figures show that the company had pre-tax profits of €9.6 million in the year to the end of last June. This was a slight increase on 2002, when it posted pre-tax profits of €9.4 million.
However, the company's operating profit dipped by €40,000 to €9.7 million. Its improved pre-tax position was largely attributable to a 60 per cent fall in the interest due on a loan, from its Italian parent company, to €140,000 from €380,000.
Champion Products reduced the amount owed to €4.9 million from €8.5 million during the year. Its own interest income also increased slightly to €25,200 from €15,850.
The fall in the corporation tax rate from 18 per cent to 14.25 per cent slashed Champion Products' tax bill by €400,000 to €1.4 million. This helped boost post-tax profits by €500,000 to €8.15 million.
The company paid a €6.5 million dividend to its Modena, Italy-based parent, Champion Europe SPA. The profit and loss account for the year stood at €3.2 million, double its 2002 value of €1.57 million. Shareholders' funds stood at €4.3 million, a significant improvement on 2002, when they came to €2.56 million.
The accounts show that €10.4 million of the Dublin-based company's turnover came from Italy. Ireland and Britain generated €6.8 million in sales, while €7.1 million came from the rest of Europe.
The Irish company employed 12 people, up from nine the previous year. Its wage and pension bill grew by around 70 per cent to €1 million from €580,000.
The biggest contributor to this was a €300,000 increase in its wages and salaries bill to €826,000.
Champion Europe SPA is the sole shareholder in Champion Products, which is based in the Dublin suburb of Blanchardstown. The Irish company's directors are Mr Bernard Millien, an Austrian national living in this country, and three Italian-based businessmen, Mr Gigetto Furlotti, Mr Sauro Mambrine and Mr Enrico Vernetti.
It controls the group's trademarks in Europe, Africa and Asia, through its wholly-owned subsidiary, Champion International Trademarks, which is registered in Lausanne, Switzerland. It is a shareholder in another group company, Belgium-based Champion Benelux NV.
Champion Products Europe was recently engaged in a High Court battle with Dunnes Stores, which it said had infringed its trademark by selling clothes bearing the name "Champion". Dunnes denied the claim.
