4th Mar 2014 11:48
LONDON (Alliance News) - Shares in Total Produce PLC jumped Tuesday morning after the fresh produce distributor reported a double-digit rise in both revenues and profits for the year 2013, boosted by recent acquisitions, and increased its final dividend by 10% to 1.66 cents per share.
For the year ended December 31, 2013, the group reported a pretax profit of EUR48.2 million, up 33% on the EUR36.4 million reported in 2012, boosted by a net exceptional credits before tax of EUR6.5 million, as well as strong sales growth during the year.
Total Produce reported a 8.5% increase in group revenue to EUR2.64 billion, and a 13% increase in total revenues, including its share from joint ventures and associates, to EUR3.18 billion.
"The group's growth is primarily driven by successful acquisitions completed in recent years including the investment in Oppenheimer in North America," said Chairman Carl McCann in a statement.
Total Produce said it successfully concluded a number of acquisitions in 2013 with a total investment of over EUR23 million, the most significant investment being the acquisition of an initial 35% interest in the Oppenheimer Group at the beginning of the year, with a further 30% to be acquired in 2017.
"The group actively continues to pursue further investment opportunities and is targeting adjusted earnings per share for 2014 in the range of 8.4 cent to 9.4 cent per share," said McCann.
Post year-end, the group said it has completed an agreement to acquire the second 50% shareholding in All Seasons Fruit, which specialises in the soft fruit category in Holland, in three stages. An initial 20% shareholding will be acquired on completion, with the balance to be acquired in subsequent years.
Total Produce's final dividend lifted its total dividend for 2013 by 9.3% to 2.27 cents per share from 2.08 cents.
Shares in Total Produce were trading 5.6% higher at 80.80 pence per share Tuesday morning.
By Rowena Harris-Doughty; [email protected]; @rharrisdoughty
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