Power City family share €3m payout

The McKenna family, which owns electric and electronic retailer Power City last year shared another €3m dividend windfall.

That is according to new accounts just filed by Power City Ltd which show that pre-tax profits at the firm last year decreased by 7% from €6m to €5.5m.

The drop in profits came in spite of revenues increasing by 6.5% from €81.89m to €87.23m in the 12 months to September 24. Staff numbers at the firm last year rose from 232 to 238.

The filings show that the company paid a dividend of €3m to its shareholders last year, after it paid the same amount in 2015. The shareholders in the firm are listed as Dermot McKenna Jnr, Liam McKenna Jnr, Aidan McKenna, Colin McKenna, Sinéad McKenna, and Stephen McKenna. The firm had cash totalling €57m at year end.

Its accumulated profits at the end of September last year amounted to €90.58m.

The returns show Aidan McKenna, Colin McKenna, Sinéad McKenna, and Stephen McKenna each have a 12.5% shareholding and would have received €375,000 each before tax from the dividend pay-out.

Dermot McKenna Jnr and Liam McKenna Jnr each have a 25% stake and would have each received €750,000 before tax from the dividend windfall.

The accounts show the firm recorded an actuarial loss of €1.89m on the company’s pension scheme last year and this followed an actuarial gain of €2.48m in the prior year.

Power City’s stores are located in the eastern part of Ireland. Its Dublin stores are at Tallaght, Blanchardstown, Sallynoggin, Finglas, Coolock, Fonthill, and Carrickmines, while there are also stores in Bray, Naas, and Drogheda.

The figures show that the company’s profit takes account of €1m in non-cash depreciation costs.

The firm also incurred €1.79m in capital expenditure and financial investment acquiring assets during the year.

The figures show that the company’s cost of sales increased from €63.53m to €67.23, with administrative expenses increasing from €12.7m to €12.9m.

The firm’s operating profit decreased by 1% from €5.6m to €5.55m.

Pre-tax profits were lower last year as a result of interest payable of €4,000 compared to interest receivable of €424,000 in 2015.

The figures show that pay for the six directors who were on the board last year totalled €804,000. That compares with pay of €785,000 in 2015.

Pay for key management totalled €1.076m.

The firm’s staff costs last year totalled €7.4m compared with €7.2m in 2015.