Glenisk projects revenues of €18m

Organic yoghurt maker Glenisk, led by Vincent Cleary, one of the stars of RTÉ’s The Secret Millionaire, is on track to expand the size of its business by almost 30% this year.

Mr Cleary yesterday confirmed projected revenues of €18m in 2012 after new accounts show pre-tax profits at the Glenisk group declined by 15% from €181,072 to €154,550 in the 12 months to the end of December last.

The Co Offaly-based family-owned firm recorded the decline in profits in spite of increasing revenues by 19% from €11.8m to €14m last year.

The accounts lodged by Cordagrove Ltd to the Companies’ Office show a chief factor behind the drop in profits was a 15% rise in administrative expenses from €3.5m to €4m. &&

Mr Cleary said yesterday: “2011 was a strong year for Glenisk, with unit sales up almost 40% year-on-year and Glenisk’s market share of total yoghurt exceeding 10% for the first time.”

The profit last year takes account of non-cash depreciation costs of €728,044.

The group’s cost of sales increased from €6.5m to €7.8m with its gross profit increasing from €5.2m to €6.2m.

The brand is 25 years in business this year and Mr Cleary said: “Growth has continued to accelerate during 2012 and we intend that growth will come in 2013 from further new product development, extending our range; increased investment in promotion; and also increasing our penetration in new markets.”

He said the group has employed an additional 10 people in 2012 to bring the numbers employed to 53. Glenisk, he said, will produce 20m packs of yoghurt this year.

Last year, staff costs rose from €1.6m to €1.7m with emoluments for directors dipping from €429,184 to €426,353. Shareholder funds totalled €4.986m.

“Traditionally, Ireland has been our principle market and that remains the case; however, there is a shift in the ratio in recent years.

“In 2012, we’ll see between 10% and 15% of our revenue coming from outside Ireland,” said Mr Cleary.

“We’ll continue to explore opportunities in new markets during 2013 and beyond. This year, we launched our products in Spain and the United Arab Emirates, and we intend to increase exports to the UK.

“However, despite the growth we’ve experienced in recent years, we feel there is a great deal more potential within this market. We now have over 11% market share, but remarkably, well over 80% of the yoghurts sold in Ireland are imported.

“Our product is unique in Ireland, so with our local, organic, top quality, and value-based offer, we believe Glenisk has a lot more customers to reach in Ireland.”