Arnotts is "financially ready for any opportunities that may come up", managing director Mr James Duignan said yesterday.

Speaking at the company's annual general meeting, Mr Duignan said the outcome for the first six months of the year to the end of July was expected to be ahead of last year's figures. "After a rather tight start to the year, growth since mid-April has been buoyant."

Arnotts is carrying out a major refurbishment of Boyers in North Earl Street, Dublin. Mr Duignan said work was progressing well there and was scheduled to be completed in the Autumn.

Mr Duignan commented on the disruption caused by work on the LUAS line near the company's flagship Abbey Street/Henry Street store. "We can live with the pain knowing that the outcome is going to be so beneficial with LUAS at our back door in 12 months time."

Shares in the company have been in favour since the beginning of the year, reaching an all-time high of €9.50 in Dublin this week. The share price closed up 25 cent at €9.75 yesterday on the back of the positive trading statement at the a.g.m.

One of the shareholders at the meeting raised the question of the age profile of the board as a possible source of concern. The average age of the eight directors is 61. He said he hoped the chairman could assure the shareholders "that there is nothing cosy developing here."

The chairman, Mr Michael O'Connor, responded by emphasising the strong record and experience of the board. He said he did not intend to stay on the board much longer but that there was a lot of work to be done over the next 12 months.

The company paid its two executive directors €557,000 last year, with Mr Duignan receiving a 19 per cent rise in remuneration to €356,000. The groups' six non-executive directors were paid €227,000.The retailer has experienced strong growth over the past five years, with pre-tax profits increasing by 14 per cent to €17.9 million in the year to the end of January.