Dairygold reap benefits of cutbacks
At the announcement of results for 2003, chief executive Jerry Henchy said the beleaguered group has achieved its financial targets and begun the process of transformation to a business capable of competing on world markets.
He predicted completion of an ambitious re-organisation process within about four years, re-focusing on higher margin consumer foods business, particularly branded cheese. The company has also confirmed its plan to become a lead player in the national home DIY and hardware retail sector.
Operating profits on continuing businesses grew from €7.3m in 2002 to €15.6m in 2003.
But an exceptional charge of €46.5m for restructuring left a €39.4m pre-tax loss.
In a major shake-up, staff were cut by 825 in order to reduce operating costs.
Despite the restructuring, debt levels declined by €5.8m to €126.3m in 2003, thanks to stronger cash flow.
At the AGM and SGM on Friday, April 23 at Cork Racecourse, shareholders will have to vote on a completely new set of rules for how the co-op is run.
