The main Irish arm of breakfast cereal giant Kellogg’s last year paid zero corporation tax for the second year running as revenues topped €1.28bn.
Accounts filed by Kellogg European Trading show it recorded a 27% jump in operating profits, to €49.36m, in the 12 months to January 2.
However, interest of €137.45m on loans from other group firms pushed the firm into the red to record losses of €75.5m.
The firm reduced its losses in 2015 to €65.6m with a deferred tax asset of €9.8m.
Kellogg’s has been based in Ireland since 2005 and employs 250 people here, including the head of its European cereal business unit and a number of senior cereal functional leaders for Europe.
As well as Kellogg European Trading, Kellogg’s operates a number of other subsidiaries here.
A breakdown of revenues of Kellogg European Trading’s show that €526.72m was generated in the UK with €747m in the rest of Europe and the remaining €9.8m in the rest of the world.
Numbers employed at the firm last year rose by four to 215 with staff costs of €39.8m. That included €1m in equity share-based payments.
Four directors served on the board last year and they shared pay of €2.22m.
Included in that amount is €258,000 paid to the firm’s ultimate parent for the provision of director’s services.
“The outlook for 2016 remains challenging with an expectation of little year-on-year growth in turnover or operating profit,” management said in the accounts.
“Marketing support/pressure for our brands will be in line with the previous year in real terms.
“The overall cost base is expected to be lower than the previous year thanks to notable efficiencies in this area offset by commodity price increases,” it said.
The principal activity of the firm is the production and marketing of cereals.
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