Pre-tax profits at one of the largest employers in the south-east, Genzyme last year soared by 35% to €68.5m.
The pharma firm employs over 500 people in Waterford and new accounts from Genzyme Ireland Ltd show that it enjoyed the profit jump despite revenues having declined by 36% to €983m.
The chief factor behind the sharp increase in profits was the firm not incurring any royalty charges after paying out €573.34m in royalty charges in 2014. Its corporation tax payment of €4.79m meant it posted net profits of €63.7m. The relatively low tax bill was a result of a cost of sales of €879.3m.
Established in Waterford in 2001, Genzyme Ireland is the primary distribution centre for many of Genzyme’s major treatments, including inherited disorders, kidney disease, and immune diseases.
Owned by Sanofi, Genzyme Ireland increased its employee numbers from 516 to 557 last year, with staff costs totalling €43.45m. The plant at Waterford has grown rapidly in recent years, with turnover increasing more than four-fold since 2007.
Revenues from exports to the US were unchanged at €420.7m, and revenues generated from the EU more than halved to €462.3m.
Revenues generated in other countries fell to €100.5m from €220.5m. Research and development spend increased sharply to €18m from €1.64m.
A breakdown of the numbers employed show that 215 people work in manufacturing; 164 are in quality, research and development; 49 people work in the materials section; 92 in administration and 38 staff are in engineering.
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