McMahon group made €12.3m in 2004

LIMERICK-based builders' provider James McMahon saw profits rise by nearly 50% in 2004, newly-filed accounts reveal.

The firm generated pre- tax profits of €12.3 million in 2004, up from €8.3m the previous year. Turnover over the same period increased from €121.1m to €144.4m.

The accounts show that although the cost of sale and administrative expenses rose in 2004, profits were boosted by a lower interest charge and a €2.4m gain on the sale of a fixed asset.

At operating level, profit was up by just over €1m to €10.3m.

The company's owners, members of the McMahon family, enjoyed a boost to their dividend as the company paid out €1.29m, up from €864,112.

The McMahon group is one of the oldest firms in the country, tracing its history back to the 1830s. It is also one of the few independent builders providers left in Ireland.

The company has branches in Dublin, Drogheda, Dunmanway, Galway, Mullingar, Tralee and Cork, as well as operations in Britain and the North.

According latest accounts, the group had net assets of more than €50m and employed 440 people across Ireland, at the end of 2004.

The firm's directors - listed in the accounts as David McMahon, Mark McMahon, Stephen Mulhall and Sean Moran - shared remuneration of €848,718, up from €783,266 in 2003.

The accounts reveal that the company's employee pension fund is €2.5m in the red.

Based on the prices rival firms have been sold for, the McMahon group could sell for tens of millions of euros. In 2004, the Dublin-based Brooks Group was sold for almost €185m to British firm Wolseley.