Fyffes, the group which imports and distributes fresh fruit and vegetables, could be heading for annual profits of around £60 million this year after interim results this week showed pre-tax profits in the six months to April growing 15.4 per cent to £23.3 million. Turnover improved 8.6 per cent to £720 million with bananas accounting for some 30 per cent of sales.

Vice-chairman Carl McCann says that with trading conditions remaining positive "another good result" is in prospect. With miserly interest rates Fyffes, with net cash of £58.6 million sloshing around its balance sheet, is still "actively seeking further significant investment opportunities ".

Since the beginning of the year the group has spent nearly £17 million on acquiring a number of small fresh produce companies in Europe. The asset purchases, which represent additional turnover of £35 million and close on £1 million in pretax profits, will show up in second half earnings. Fyffes says that it believes in a "progressive " dividend policy. In percentage terms the interim dividend, which rises 20 per cent to 0.6859p per share, is below the 24.3 per cent increase in earnings per share to 4.20p.