Carbery’s earning rise 33%

Cork-based food ingredients and cheese manufacturer Carbery Group’s earnings rose 33 per cent last year as a strong performance by its international flavours unit outweighed weakness in its dairy business.

Earnings before interest, tax, depreciation and amortisation (ebitda) rose to €35.3 million from €26.5 million in 2014, as sales grew to €349.5 million from €316.6 million.

Strong growth in the company’s Synergy division, an international flavour and natural extracts division, “had a very strong performance in 2015, achieving record growth,” the company said.

However, earnings dropped in its dairy business, “primarily due to Carbery paying an industry-leading milk price to its suppliers in increasingly challenging global dairy markets.”

International milk prices were hit last year as supplies soared following the removal of EU milk quota restrictions.

“Allied to a slow Chinese dairy trade, the absence of Russian trade and weakening oil pricing as well as good milk production weather globally, [IT]put the market in a difficult place as the year progressed,” said Dan MacSweeney, Carbery’s chief executive.

Carbery, owned by four Irish co-operatives, Bandon, Barryroe, Drinagh and Lisavaird, employs about 600 people across eight locations, including Ireland, the US, Brazil and Thailand.