Dublin-headquartered Valeo Foods, which owns brands such as Jacob's biscuits, Batchelors beans and Odlums, has reported turnover of nearly €1.4bn for the 12 months to the end of March.
Accounts for Valeo Foods Unlimited Company show turnover increased 11.4% year-on-year from €1,249.4m to €1,392m, but pre-tax losses ballooned from €2.1m to €41.3m despite once-off exceptional net costs falling from €40.8m to €21.9m.
Excluding exceptional items, the group made a loss of €19.4m before tax compared to a €38.7m profit in 2022, and no dividend was proposed or paid this year following an €88.1m dividend last year.
The cost of sales increased more rapidly than turnover, rising 30.8% from €778.4m to more than €1bn, while finance costs increased marginally to €81.1m.
Valeo made an operating profit of €53m, down from €90.6m, before net exceptional items of €21.9m and finance costs of €72.4 Overall, Valeo made a €34.4m loss in 2023 compared to a €3.1m loss last year.
Group revenue in Ireland increased 4% to €321.4m but turnover in the UK, the group's largest market, declined slightly to €578.6m. Europe contributed a further €356.6m while the group made €102.5m in North America and €32.9m from global export.
Employee numbers were reduced from 4,489 to 4,253, and staff costs declined €14.7m to €178m while directors' pay fell from €4m to €1.4m.
The accounts show the group paid €62.1m in cash net of cash acquired for maple syrup maker Les Industries Bernard et Fils Ltée, with the new subsidiary contributing revenues of €95.2m and a post-tax loss of €7.3m.
Shareholders funds totalled €66.6m in March, up from €40.5m in 2022.
Valeo's directors said that revenue increased 3% and operating profit fell 41% when excluding acquisitions and on a constant currency basis.
They cited ongoing challenges in the retail sector and the economic impact of the war in Ukraine, particularly the rising cost of energy, utilities and consumables along with supply chain pressures.
Valeos brands include Odlums. (Pic: Julia Ewan/The The Washington Post via Getty Images)
"Additionally, the group has been continuing to deal with the impact of the Covid-19 pandemic on economic activity and consumer confidence in the markets in which Valeo operates and sells its products," they continued.
"Valeo’s ambient grocery business performed reasonably well due to household consumption and in-home dining, which have remained at relatively high levels since the earlier stages of the pandemic, in the group’s key markets.
"However, Valeo’s foodservice and impulse categories remain challenging."
