Avonmore Waterford makes I£117.8m loss
AVONMORE Waterford reported an underlying 6.5% increase in full-year profits to I£60 million (£49.5m).
But the merged Irish food company incurred net costs of I£60.8m related to the merger, and it suffered a pre-tax loss overall of I£117.8m on flat sales of £I2.37bn (I£2.36bn).
There were benefits in the United Kingdom, where it is the fourth largest liquid milk supplier, from falling milk costs and increased sales to multiples but doorstep business declined. The meat division benefited from the first time contribution of Beni Foods.
The Financial Times says the results were distorted by the merger, but the company was ahead of schedule on its planned disposal programme. It sold its UK fruit business and its Winsconsin dairy operation in the United States last week.
- Financial Times 01/04/98 page 23
- The Daily Telegraph 01/04/98 page 27