CAVAN-BASED Gem Plastics has announced a 19 per cent growth in sales for 2011, rebounding from losses in 2010. The family-owned packaging and lubricant business has returned to profit, generating net profits of €430,000 for the full year.
Gem Plastics makes industrial packaging for Irish, British and European markets, while subsidiary Gem Oils imports, manufactures and supplies finished lubricants within Ireland.
The company achieved sales of almost €25 million in 2011, up €4 million on the previous year.
It says the performance was achieved despite strong inflation in raw materials supplies, energy and transport costs.
The business generated earnings before interest, tax, depreciation and amortisation of more than €2 million in 2011. In 2010 it had recorded a loss of €554,000.
Management has credited the turnaround to strong sales growth and the implementation of leaner manufacturing operations at its Regaskin site. It says the improved performance puts it “on a very sound basis for the future”.
The company says it has a strong orders pipeline for 2012 due to customer expansion and its focus on new product development.
The business employs 84 people directly, and provides employment for a further 20 contractors in transport and service operations.
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