A Mars a day may help you work, rest and play, but for agribusiness grouping IAWS, which now has the Irish franchise for the popular chocolate bar, there are benefits beyond holding the prized cash flow sweetener. The group now possesses a useful tool for expanding its food interests at retail level as Mars gives IAWS a presence in virtually every shop in the Republic and Northern Ireland.
The Mars business is but a small component of the IAWS agribusiness, animal feeds and food operation which is performing ahead of expectations. Annual results from the group this week show pre-tax profits 14 per cent ahead at £18.5 million on turnover up almost 9 per cent to £554 million.
Chief executive Philip Lynch says that the group remains acquisition minded and is financially well placed to "take on something major if the opportunity arises". Lynch says that, if needs be, IAWS has the financial clout to fund a single acquisition of around £100 million.
Shareholders should have little complaint, their gross return on investment rising a sweet 10 per cent to 2.923. The inclusion of a tax credit lifts net dividend a whopping 31 per cent over the 1995 payout.
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