Operating profits surge at Panda waste operator
Expanding Beauparc Utilities sees its revenues rise 27% to €362m
Numbers employed by the group - which operates the Panda brand - increased by 136 to 1,402 and the group’s staff costs went up 18 per cent from €46.8 million to €55.17 million. Photograph: Alan Betson / The Irish Times
Operating profits at the country’s largest privately-owned waste management business in 2018 increased by 15 per cent to €23.7 million.
Accounts for Beauparc Utilities Ltd show revenues rose by €76.98 million or 27 per cent to €362.89 million in the same period.
A breakdown of revenues show that €295 million was generated in Ireland, €62.6 million in the UK and €5.1 million in the Netherlands.
The group recorded €262 million from waste management services; €62 million from the sale of gas and electricity; €36.9 million from the sale of recyclables and €1.1 million from fleet and plant rental.
The directors state that the objective of the group is to become a significant utility provider, initially trading in Ireland and the UK and gaining a greater presence in European markets.
The group recorded a marginal decline in pre-tax profits to €18.7 million after finance costs of €3.7 million and exceptional costs of €1.3 million related to acquisitions.
The directors state that they are very pleased with the integration of the businesses within the Beauparc Utilities Group and the group is benefiting from significant operational synergies.
The acquisitions include a spend in September of €25.4 million, €7.8 million of which is deferred on Dutch recycling business, Renes Groep BV, and a spend in November of €22.9 million – €1.4 million of which is deferred – on Leeds-based waste management company, Associated Waste Management.
The group also spent a combined €19.2 million of which €9.3 million is deferred on a number of smaller businesses in 2018.
The include the purchase of Scottish waste management company, Scotwaste Recycling Ltd; Irish skip based business, Tag-a-Bin Ltd; Co Tipperary composing business, Littleton Composting Ltd, and a 75 per cent stake in Future Street Ltd, a company engaged in the distribution of solar smart waste technology here and internationally.
The group invested €23.1 million in property, plant and equipment.
Last year, the group continued its acquisition drive, purchasing Mid UK Recycling Ltd and Knockharley Landfill Ltd.
Numbers employed by the group – which operates the Panda brand – increased by 136 to 1,402 and staff costs rose by 18 per cent, from €46.8 million to €55.17 million.
The pre-tax profit takes account of combined non-cash depreciation and amortisation of €24.7 million. Pay to key management personnel totalled €2.7 million, which included €659,000 for consulting services.
Accumulated profits at the group at the end of December 2018 stood at €44.6 million, with cash reduced from €36.56 million to €34.27 million.