The wine and spirits distributor, Edward Dillon and Co, has reported an almost 11 per cent rise in pre-tax profits as consumption of leading drink brands continues to grow.
The accounts for the company, based at Mountjoy Square in Dublin, show pre-tax profits for the year ended September 30th, 2003, up to €8.2 million from €7.4 million in the year before.
The company's turnover was up from €126 million to €129.5 million. The accounts recently lodged with the Companies Office say Dillon's principal activities are the importation and distribution of alcoholic beverages.
"The group and company continued to make progress during the year under review and continue to seek to strengthen and expand the business," the accounts state.
Dillons has acted as a supplier of wines and spirits for many years. Its spirit portfolio over the years has included Hennessy, Bacardi, Black & White and Jack Daniels, while the wine range has covered Wolf Blass from Australia, Fetzer from California, Carmen from Chile and Barton & Guestier from France.
Several large international drinks companies have shares in Dillons, including Hennessy, Diageo Holdings, Bacardi UK and Longworth Ltd.
The company has entered into 10-year distribution agreements with each of its shareholders to allow it to act as exclusive distributor of selected brands in the Republic. These are due for renewal in 2006, the accounts reveal.
The vast majority of the company's income comes from the sale and distribution of drink products. But it also managed to take in €545,000 from warehousing and handling activities and was awarded €1.2 million when an unnamed distribution arrangement was terminated. It had €13.5 million of operating expenses, mainly made up of €10.3 million in selling and distribution costs and €3.2 million in administrative and other expenses.
The accounts include a reference to a proposed dividend to shareholders of €6 million, up from €5.2 million the year before. Making provision for the dividend leaves the company with a retained profit of €1 million, compared with €922,000 the year before. The company had accumulated profits of €5.9 million at the end the year.
The company had on average 110 people employed during the year, up from 100 the year before. The vast majority of staff were engaged in selling and distribution. The company's payroll costs increased significantly in the period, from €5.6 million to €6.2 million.
Director's emoluments, including pension contributions, amounted to almost €300,000. There were 10 directors serving as of September 30th, 2003.
