Irish food group IAWS announce profit rise

Source: Stock Market Digital

Date :24/09/2007 11:56:34

IAWS said this morning that its underlying pretax profits for past six months have risen 16 per cent to €143 million.

Overall revenue for the period climbed to €1.9 billion, an increase of 22.5 per cent

The company, which makes Delice de France croissants and Tim Hortons doughnuts, was boosted in October last year by its purchase of Otis Spunkmeyer Holdings Inc, a US baker. The $365 million purchase was the main reason behind the trebling of IAWS’ US

sales.

Chief Executive, Owen Killian said today: "IAWS Group, plc has had an excellent year with strong underlying growth across the entire business.

“This has been a transformational year for the Group with our largest ever acquisition, that of Otis Spunkmeyer, in the USA followed by the successful IPO of Origin Enterprises plc ("Origin") in June.

“We have made a substantial investment for future growth in both the US and European markets during the period. The rapid rise in grain and food costs augurs well for the future growth of Origin.

“At the same time, the food inflation arising from these trends will affect the trading environment for all food companies. Our Lifestyle Foods proposition to consumers conveys substantial benefits over cost and we remain confident that our business model will continue to generate growth."

Shares in IAWS were up 40 percent to €15.15 in Dublin this morning

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