Glanbia hit by profits, sales drop

GLANBIA’S first-half figures for 2004 have been hit by further scaling-back in Britain, and sales, operating margins and underlying profits were all down in the six months to July 3, 2004.

Like-for-like pre-tax profits fell from €37.6 million before exceptionals in the first half of 2004 to €35.7m in the period under review. With exceptional charges of €27m taken above the line in the first half of 2003, the profit before tax is up substantially at €35.7m against €10.7m last time. The markets were expecting a dip in the first half and the shares responded well to the figures.

Sales were down 7.3% to €974m as the group completed restructuring its British businesses with the sale of some of its operations there. The impact on operating profits was about 12%, resulting in a dip from €45.7m to €40.3m over the six months.