Port company records €182,000 profit

SHANNON Foynes Port Company, which manages Foynes and Limerick ports, recorded a modest profit of €182,000 last year.

Announcing the company’s results for 2009, chairperson Kay McGuinness said that with the port sector experiencing extremely difficult trading conditions, Shannon Foynes Port Company’s achievement in staying in profit last year cannot be overstated.
The 2009 results reveal an operating profit, before financing costs, loss on disposal of assets and exceptional items, of €1,956,000, down just 7% on 2008. After these costs were factored in, the company recorded a profit of €182,000.
“Given the extreme economic challenges faced in ’09, the fact that we managed to remain in profit, against the backdrop of a recessionary economy resulting in the implosion of demand for goods, is a significant achievement and bodes very well for the future.
“We maintained our position as Ireland’s largest bulk port company in 2009, which illustrates the importance of Shannon Foynes Port Company as a major economic driver for the Mid-West Region and beyond. The last quarter of ’09 showed a significant upturn for the company and this momentum has been maintained into 2010,” she said.
SFPC increased its operating margin from 19.3% in 2008 to 20.6% last year, while the board also established a dedicated sub-committee to focus on marketing and business development.
Additionally, the company invested €700,000 in capital projects, bringing investment in infrastructure to €17m in the last six years. The company also experienced a 20% growth in animal feeds throughput, while they continued to make substantial progress in promoting the development of shipping-related activity in the wider estuary.
Reflecting on the results, chief executive Pat Keating said, “We are satisfied with our achievements in 2009 considering the economic hardship faced by business across the country and beyond. These challenges were far greater than projected, yet we recorded a robust financial performance relative to the recessionary environment.
“Despite a tonnage throughput fall of 30% due to the severe downturn, we managed to limit the fall in turnover to just 12.7%. Our general cargo terminals, for example, recorded a 9.5% contraction, which reflects particularly well when compared with the 20% national decline, with a 40% drop recorded in some instances.
“Prudent management of our costs base played a significant role in the company remaining in profit and this sets SFPC up for further growth in what will be an export-led recovery.”
Looking ahead, Mr Keating said they were extremely positive about the future potential of the estuary and, together with other State agencies, are promoting and marketing the Shannon Estuary as Europe’s Ocean Energy Hub.
“The medium to long-term future development of the estuary is extremely positive in terms of building this energy hub in both the renewable and traditional power sectors,” he remarked.