Med firm’s profits up 44% despite restructuring costs

Pre-tax profits at one of the largest employers in the south-east, the Irish arm of the multinational medical products company formerly known as Genzyme, last year soared 44% to €99.4m.

by Gordon Deegan

Pre-tax profits at one of the largest employers in the south-east, the Irish arm of the multinational medical products company formerly known as Genzyme, last year soared 44% to €99.4m.

Newly-filed accounts show revenues at the Waterford-based company which employs nearly 700 people here increased 29% to €1.27bn. The company achieved the jump despite being hit with a €10.6m restructuring charge.

French owner Sanofi changed the name of the Irish company to Sanofi Waterford last year, boosting employment at the 37-acre Irish facility by a further 40 people. Since the establishment of Genzyme Ireland, in 2001, €500m has been invested in its Waterford base which covers manufacturing, technical, R&D, supply chain and distribution activities.

Its products and services are focused on rare inherited disorders, kidney disease, orthopaedics, cancer, transplant and immune diseases, and diagnostic testing.

Staff costs rose from €43.45m to €47.24m. The company’s R&D spend last year decreased sharply from €18m to €7.5m while non-cash depreciation costs were €20.6m.

As of the end of last year, Sanofi Waterford had accumulated profits of €405m, with shareholder funds totalling €530m.