Dairygold Delivers 'Strong' Financial Results For 2020, Despite Covid Challenges
Jim Woulfe, CEO of Dairygold has said he is "very pleased" to report that Dairygold delivered strong financial results for 2020 "despite the unprecedented business environment, economic turbulence and the hugely challenging market position primarily driven by Covid-19."
Turnover for last year was €1.017 billion, just shy of the record €1.020 billion achieved in 2019, its latest financial results showed.
According to the data, earnings before interest, taxes, depreciation, and amortization (EBITDA) was €53.8 million in 2020, a fall of €2.8 million (4.9%) on the prior year.
The operating profit for the year of €26 million reflected a decrease of €9.8 million (27.3%) on the 2019 level, based on the EBITDA reduction, the data showed.
In Ireland, Dairygold processed 44.5 million litres of milk during peak week in 2020, an increase of circa 0.5 million litres (1.1%) on the 2019 peak week.
Overall, milk supplied to the Co-Operative during the year reached 1.43 billion litres, up 38 million litres (2.7%) on 2019. Throughout the year, Dairygold maximised the commercial return from its flexible dairy product portfolio.
Dairygold’s overseas businesses in the UK and Germany, which are heavily dependent on the foodservice and hospitality sectors, were consequently severely challenged by Covid-19.
Despite this backdrop, the company said its overseas businesses performed very well in 2020.
The group's agri business performed ahead of expectations in 2020, according to the report.
Feed and fertiliser sales were on target for the year, while retail saw a significant increase in sales due to its ability to continue to serve customers throughout the year, despite the various restrictions imposed as a result of the Covid-19 pandemic, it added.
The ability of its stores to remain open and trade during lockdown periods played a significant role in this strong performance.
Across the year, the company said its retail teams operated several different service models including 'Call and Collect' and 'Controlled Access,' ensuring its customers were served continuously.
In addition, its online store, www.coopsuperstores.ie, experienced significant growth in 2020, as more customers moved to online shopping.
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