Irish arm of Sodexo catering in 38% profits boost

By Gordon Deegan

Pre-tax profits at the Irish arm of international catering firm, Sodexo, increased 38% to €3.73m, as revenues jumped.

New accounts show that Sodexo Ireland Ltd increased revenues by 11%, to €94.7m, in the 12 months to the end of August.

Pre-tax profits at the Irish arm of catering firm, Sodexo, increased 38% to €3.73m, as revenues jumped. Pic: Dan Linehan

The firm’s cost-of-sales last year increased from €75.15m to €83.9m, while administrative expenses fell to €6.8m, from €7m.

The Companies Office records show that staff numbers rose from 1,710 to 1,866, with staff costs running out at €48.9m.

Total pay for directors, which includes pension payments of €52,000, fell from €290,000 to €269,000,

No dividends were paid last year. The firm serves more than 90,000 people daily, across 200 locations in the country.

At the end of August, the firm had shareholders’ funds of €5.4m. Its cash pile increased from €9.84m to €11.49m.

The company recorded a 38% increase in operating profits, from €2.88m to €3.9m.

Interest payable, and other finance charges of €223,000, reduced the firm’s profits to €3.7m.

After paying out €519,000 in corporation tax, the firm recorded a post-tax profit of €3.2m.

The Irish firm is part of the stockmarket-listed French catering giant.

Sodexo shares in Paris have fallen by over 30% in the past year, valuing the group at just over €12.4bn.

Last month, the group announced a shake-up to manage its extensive operations across 80 countries.