Fyffes see profits increase 5%

Major European importer and distributor of fresh fruits and vegetables, Fyffes, reported profit before tax at €71.6m, up 5.1% on 2002.

Adjusted rearnings per share (before exceptionals and goodwill amortisation) were up 5.5% to 14.95 cent.

The full-year share dividend increased almost 10% on last year, to 5.72 cent.

Fyffes said that volumes were ahead of last year, with favourable market conditions following the summer heat wave.

Chairman Carl McCann, said: "The Group has achieved a very satisfactory result for 2003, with good increases in turnover, profits and earnings per share, helped by a strong finish to the year"

Fyffes said that the EU enlargement of May 1, 2004 would provide both challenge and opportunity for the group, with the EU banana import quotas growing to allow for the ten new member states.

The company also announced that it will dispose of its Dundalk property, a joint venture with Lagan Developments Ltd, and has secured planning permission for a 300,000 sq ft new town centre development on its lands.

It will also sell some land in Kenmare, and both these transactions shoud generate approximately €14m for the group.