Industrial peace boosted interim profits at Irish Continental Group (ICG), but the ferry operator warned today that higher oil prices would force further rationalisation.
ICG said recent cost savings have been nullified by the rising cost of oil which added €3.4 million to the company's fuel bill.
In response to the emerging oil crisis ICG chairman John McGuckian said the company is developing proposals "to bring our cost base to the levels applying internationally".
Pretax profits for the traditionally quieter first half of the year rose by 87 per cent to €4.3 million.
The company said the trend toward higher freight volumes and lower passenger and car traffic continued in the first half of 2005. Overall car volumes were down 4 per cent year to date, but roll-on roll-off freight volumes rose 7 per cent.