Pre-tax profits at the Irish arm of US orthopaedic device manufacturer Zimmer last year fell 21% to $111.2m (€105.4m).
Profits at Zimmer’s main Irish unit based in Shannon, which specialises in constructing artificial knees, dropped as revenues decreased 7% from $275m to $255m in 2015.
Zimmer Orthopedics Manufacturing Ltd commenced operations here in 2009 and has grown the number of employees at its base in the Shannon Free Zone to 287.
The firm last year built a new plant in Galway and production commenced there at the end of 2015 where 250 workers will be employed.
The investment in Oranmore in Galway totals €51m where the firm manufactures orthopaedic implants.
According to the directors’ report, “the results for the year were satisfactory given the prevailing economic climate”.
The directors state that the Shannon business continued to grow its output during 2015 “and the facility continued to build its supply chain by delivering products to a number of jurisdictions worldwide”.
The directors point out that the company will continue to increase output in 2016 and expand its capabilities on the site.
Zimmer designs, develops, manufactures and markets orthopaedic reconstructive, spinal and trauma devices, dental implants, and related surgical products.
The profit for 2015 takes account of non-cash depreciation costs of $9.5m.
The facility in Shannon is the primary global provider of its NexGen knee system. It is also now manufacturing the next generation of knee system for Zimmer, which was recently launched in the orthopaedic market.
The figures show that staff costs for 2015 fell from $17.8m to $17.5m.
The staff costs include pay for the firm’s five directors, Adrian Furey, Fiona Sullivan, Guillaume Genin, John Lynch and Luigi Sorrentino. Their pay fell from €485,941 to €441,572.
Mr Furey resigned from the board during the year, while Mr Lynch and Mr Sorrentino were appointed in 2015.
The firm paid no dividend after paying a dividend of $100m in 2014.
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