Cork subsidiary of Citco had revenues last year of €22.4m

THE CORK subsidiary of Dutch financial services company Citco had revenues last year of €22.4 million and a pretax profit of €2.1 million, according to accounts recently filed with the Companies Registration Office.

Citco Global Securities Services employs almost 400 people in Cork. It provides back office, data processing and systems development for Citco Bank Nederland – the banking arm of the group. Its turnover is comprised of charges for the provision of these services.

The results are broadly in line with 2006 when it had revenue of €22 million and a pretax profit of €1.9 million. This is despite the average number of employees rising from 356 in 2006 to 397 last year. Employee-related costs, including salaries, pension contributions and related tax contributions are Citco’s largest costs, coming in at €18.4 million last year, up from €15.4 million in 2006. The data processing arm of Citco has two offices in Cork – in Cork Airport Business Park and Blackrock.

Citco Global Securities Services paid corporation tax of €268,185.

During the year the Cork operations acquired Citco Global Securities Services Limited (Canada), a fellow group company which also provided data processing services to its parent. The Canadian operation was acquired for a capital contribution of €70, paid in cash.

Citco has hedge fund administration operations in Dublin and Cork, operated by an entity called Citco Fund Services (Dublin). It employs more than 1,000 people in Ireland. Earlier this year it announced the Cork hedge fund administration operation would take responsibility for a wider range of activities. The expansion, supported by IDA Ireland, will create an additional 150 new jobs over the next three years. The accounts show Citco Global Securities Services recognised grant income of €472,000 from the IDA to help create new jobs.