A surge in tourism spending and contributions from new acquisitions boosted revenues at Fexco by 20 per cent to €166 million in 2005, but higher costs left profits virtually static.

The company based in Killorglin, Co Kerry, is involved in international money transfer, bureaux de change, share dealing, data processing and various tourism services.

The company's sales rose to €166 million from €138 million in the year ended January 1st, 2006. However, a number of costs headings rose too, with staff overheads up from €41 million to €53 million and other operating charges rising from €80 million to €96 million.

This left operating profits of €9.6 million, down from €11 million the year before. Pre-tax profits were virtually static coming in at €13.2 million, down from €13.6 million in the previous period.

The company said that while a portion of its sales increase came from acquisitions like placestostay.com and Cashback Limited, there was also a "better-than-expected" performance from existing businesses.

The accounts say the staff increases resulted from higher headcount numbers, with some of the new staff coming from acquired companies.

Tourists in Ireland spent €4.3 billion in 2005, according to figures produced by Fáilte Ireland. In 2004, visitors to Ireland spent just over €4 billion. The increasing spend is a significant boost to Fexco, which depends heavily on this group for VAT reclaim revenues and also currency exchange.

While profits were hit by the greater employee numbers, the company was able to extract a €1.5 million dividend from the business, which was an increase from the €908,207 the year before. The company now has retained profits in the business of €8.3 million.

In September it purchased the business and assets of the leisure division of CNG Travel plc. This business is mainly centred on negotiating merchant rates from hotels worldwide and distribution the benefits through a network of affiliated websites and travel agents.

In terms of the group's future, the accounts say overseas markets provide the best option for growth. "A number of group businesses have expansion capabilities into overseas markets where the group already has a presence."

The main shareholder in the company is Brian McCarthy with a 37 per cent stake. He is described as the "ultimate controlling party" in the group.

First Date Corporation, a US company, holds a 25 per cent share.