Discount department store chain Guineys returned to profit last year, despite management calling the period a “challenging” time.
Newly filed accounts for the well-known retailer, which has 10 outlets spread across Dublin, Cork, Limerick, Castlebar, Tralee, Mullingar, Waterford, and Clonmel — show it generated pre-tax profits of €116,662 in the 12 months to the end of last January.
This was a turnaround from a pre-tax loss of €236,837 for the preceding year.
The opening of a new store in Kilkenny also helped boost revenues by 7% to €21.58m in the latest year.
In the directors’ report section of the new accounts, Guineys management said they see the key significant risk and uncertainty facing the business being “the increased competition from other retailers”.
Regarding the last financial year, management said the period had been “a challenging year, due to economic conditions”.
However, the Dublin-based company’s balance sheet remains strong with accumulated profits amounting to €11.8m, contributing to shareholder funds totalling €11.86m. The shareholder funds included €2m in cash.
Last year’s profit takes account of operating lease rentals of €909,165 and non-cash depreciation costs of €625,933.
The accounts also show during 2015, the numbers employed by the company increased from 163 to 197 with staff costs decreasing from €4.6m to €3.9m.
A breakdown of the staff shows 182 are sales staff, five in administration and 10 in management.
The company’s directors, Michael Guiney, Suzanne Guiney, and Gretta Guiney, shared €158,328 in remuneration — down from €172,707 shared out in 2015.
The business paid €66,247 in dividends to shareholders during the year. This was more than halved from the previous year.
The expansion of the firm in recent years is underlined with the value of its fixed assets increasing from €6.4m to €7.7m.
Guineys first opened in doors in 1971 and now has two stores in Dublin — on North Earl St and Talbot St.
The company was solely Dublin-based until 1992, when a branch opened in Cork.
This was followed by new stores in Tralee, Waterford, and Limerick, and then Castlebar in 2008, while the company’s online store was launched in 2012.
In 2013, Guineys opened a store in Clonmel, followed by Mullingar. Most recently, the company opened its doors in Kilkenny in 2015.
The firm recorded post-tax profits of €62,625 last year, after paying out €54,037 in corporation tax.
© Irish Examiner Ltd. All rights reserved