PRETAX PROFITS at family-owned retailer Avoca increased more than four-fold to €1.6 million last year in spite of a dip in revenues at the group.

Accounts just filed by Avoca Handweavers Ltd and subsidiaries to the Companies Office show group revenues dropped by 5 per cent to €45.9 million from €48.5 million to the end of January last year. However, pretax profits jumped from €406,746 to €1.6 million.

In their report, the directors say the group plans “in the future to add further retail facilities to expand its overall business in a controlled manner”.

Avoca designs and manufactures its own clothing, food and home furnishings from its Wicklow base. The company has nine retail stores and cafes in the island of Ireland.

Operating profits increased by 54 per cent from €1.64 million to €2.55 million last year.

Lower interest payments – €860,936 compared to €1.2 million in 2009 – boosted profits at the pretax level. The accounts include a depreciation charge of €705,074, while the group also wrote off €20,942 in investments.

Staff numbers at Avoca were trimmed to 568 last year from 590 in 2009, with the company incurring redundancy costs of €57,996. Staff costs, including redundancy costs, came to €15.6 million – a drop of 8 per cent on 2009.

Directors Donald, Hilary, Amanda, Simon, Ivan and Vanessa Pratt shared an aggregate €1.1 million in remuneration, including pension contributions.

The group’s land and buildings were valued at €31.9 million at the end of January 2010.