Profits hit €1.34m at Coffey building company

One of the Republic's biggest building companies had profits of €1.34 million in the year to the end of August 2004, the latest figures show.

According to returns to the Companies' Registration Office, Coffey Construction, the Galway-based builder that specialises in road development and other infrastructure projects, had a turnover of €64 million during the period.

This was up more than 10 per cent on the previous year's revenues, which hit €57.4 million.

The company's costs also increased substantially. The cost of sales grew by 10 per cent to €58 million, while administrative expenses jumped by close to 20 per cent to €4.6 million.

It also had a stiffer interest bill on its bank loans and overdrafts, which grew by 61 per cent (or €46,000) to €121,500 from €76,674.

This was because it increased its overdraft to €6.9 million from €4 million and took out bank loans totalling €2.5 million. An increase in interest received on investments to €3,500 from just over €800 put a small dent in this.

This left it with profits before tax for 2004 of €1.34 million, a 7 per cent increase on 2003, when it posted pretax income of €1.25 million.

Taxes reduced its profit for the year to €1.17 million, roughly 10 per cent up on the €1.07 million it made in 2003. This boosted shareholders' funds to just over €5 million.

Coffey Construction is based in Athenry, Co Galway. The projects in which it has been involved include the Galway eastern approach road, the Nenagh bypass in Tipperary, the Croom bypass in Limerick and the Waterford outer ring road.

In 2004, it had 357 people on its payroll and its wage bill topped €19.1 million.

In 2003, staff numbers were 328 and the company paid them €14.4 million. These figures include salaries, pensions and welfare contributions.

It paid its directors more than €2.2 million in salary and pensions in 2004. This compared with €2.3 million the previous year.

The company increased salaries to directors to €1.25 million from €1 million, but reduced pension contributions to €988,00 from €1.3 million.