Dividend income boosts State Street Irish profits

The main Irish arm of financial services company State Street last year recorded pre-tax profits of €140.4m.

That was up significantly on pre-tax profits of €106,532 generated in 2014.

Newly-filed accounts for State Street International (Ireland) show that the firm had the large hike in profits as a result of a €140m dividend received from subsidiaries.

The firm received €70m from State Street Custodial Services (Ireland) and a further €70m from State Street Fund Services (Ireland) last year. State Street Ireland’s total revenues rose 47.5% last year to €183m.

In a year of expansion for the business, the company 1,067 employed at the end of last year compared to 1,030 at the end of December 2014.

The US-owned firm provides management and administration services to its subsidiaries. Across Ireland, State Street employs over 2,500 at locations in Dublin, Drogheda, Kilkenny, and Naas.

In the accounts, management said: “The directors are satisfied with the business performance for the year. The directors expect the company’s operations to continue as normal in the foreseeable future.”

Staff costs increased from €62.27m to €66.46m.

An operating profit of €1.69m was generated last year. Shareholder funds at the end of last year totalled €52.8m. The firm’s cashpile during the year decreased from €140m to €106m.

Overall staff costs, including pension costs of €3m and €5.8m in social welfare costs, totalled €66.4m.

Administrative costs at the firm last year increased sharply going from €124.36m to €181.37m.

Directors’ remuneration reduced from €596,753 to €583,250.