Kemek explosives construction firm doubles profits

Industrial explosives firm Kemek Ltd last year almost doubled its pre-tax profits to €2.76m, reflecting some improvement in the prospects of the construction industry.

New accounts show that the Co Kildare firm recorded the 79% profits rise after revenues increased by 5% to €13.8m, up from €13.2m.

The firm makes and distributes explosives for the building industry.

Half-owned by building materials giant CRH, it paid a dividend of €2.7m in 2014 following a dividend payout of €3.45m in 2013.

The figures show that €4.6m of the group’s sales last year were to companies in the CRH Group.

According to the directors’ report, the company “saw a continuation in challenging trading conditions... The company continues to restructure its operation matching expected demand.”

Kemek returned to profit in 2013, but is sharply down from before the recession when it recorded pre-tax profits of €12.8m in 2008.

However, the filings reveal the group’s accumulated profits last year stood at €8.43m and shareholder funds totalled €9.8m.

The figures show that the numbers employed by the group fell to 31 from 36 people, and staff costs dropped to €2.47m from €2.95m. Total pay to directors last year declined to €241,000 from €262,000.