Company Snapshot: Fane Valley Co-operative Society
Co-op's revenue hits record levels
Fane Valley Co-operative Society is a diverse organisation which operates extensively and successfully in the dairying and meat processing sectors, along with a number of other interests in the supply of animal feedstuffs.
Armaghdown Creameries is a wholly owned subsidiary and the Co-op is the largest shareholder in Linden Foods. In addition, the Co-op operates as part of a joint venture in Slaney Foods and Irish Country Meats.
In the most recent financial year the Co-op commissioned a new animal feed mill in Omagh and now operates two mills in Omagh and Newry.
Subsequent to the financial year-end, the Co-op has sold its interests in processing liquid milk in December 2010. Armaghdown continues to be a major Northern Ireland producer of dairy products, including butter, cheese and milk powder.
The financial results for the most recent year reflect continuing and significant increases in turnover and a substantial recovery in operating and pre-tax profits.
Turnover fell slightly in 2008-9 but the increase of nearly £50m more recently took total revenue to record levels. Of the total turnover of £371m, nearly £91m is attributed to the joint ventures.
Net interest payments on borrowed funds meant that pre-tax profits were slightly lower than operating profits.
The Co-op describes the financial year to September 2010 as showing higher production volumes and higher selling prices from the milk powder manufacturing business in Banbridge.