Kerry scores high interim profits

30/08/05 Ireland’s largest foodmaker and ingredients giant the Kerry Group has reported first-half profit rises of 17% on acquisitions. Sales revenue increased by 8.3% to €2,117m while trading profit was up 6.2% to €160m. Despite a big currency hit and tough trading conditions pre-tax profits rose 12 per cent to €131m on turnover that increased by 8 per cent to €2.1bn.

Earlier this month, Kerry bought Noon Group Ltd., which makes prepared Indian and Thai meals for supermarket chains including Tesco Plc and J Sainsbury Plc. ``Ongoing consolidation in the ingredients and foods sector will continue to provide further bolt-on acquisition opportunities,'' the company said in the statement. ``The group expects further business improvement in the second half, with an outcome for the full year in line with market expectations.''

Kerry Group Chief Executive, Hugh Friel said; “In a highly competitive trading environment, exacerbated by energy and raw material cost increases and adverse currency movements, the Group performed well in the first half of 2005. We expect further business improvements in the second half, with an outcome for the full year in line with market expectations.”