BELFAST-based animal feeds firm Devenish capped off last year with a profit of £3.8 million.
Although the company generated an operating profit of just under £120,000, lucrative tax credits it received for its research and development work gave Devenish a welcome boost in bottom-line profits.
Devenish specialises in the grass-roots manufacturing and development of products for the animal feed sector and operates from several bases around the globe.
In the year to May 31, the company recorded turnover of £147.4m, an increase of more than 16 per cent from the previous year’s figure of £126.7m.
In a strategic report accompanying the annual accounts, Devenish’s directors said the performance was "satisfactory".
"Performance in the agri-food sector continues to be affected by global commodity prices, local agricultural market factors and prices, together with strict legislative and environmental factors as well as strong competition," they added.
"The key risks facing the group continue to be volatile ingredient prices and euro and US exchange rate."
The net assets for the group by the end of the financial year sat at £24.9m, up from 2015’s figure of £20.9m.
Coming in at just under £19m, the company’s wage bill also increased significantly from the previous year’s total of £14.6m. This jump was informed by a 26 per cent rise the firm’s overall staff figure – from 294 to 370.
The directors of the company were remunerated to the tune of £525,600 for the year.
Also included in Devenish’s accounts is a brief mention of the potential risks Brexit may place on the company.
While the directors state that the decision to exit the EU did not affect last year’s results, they did warn that it will have a future impact on the agri-food sector generally.
"While uncertainty remains about the precise nature, extent and timing of the impact, the board will continue to assess what actions are required to mitigate any risks, and to protect the value it believes to be inherent in delivering the innovation strategy," they wrote.
Last year, the firm’s success was also praised by the wider business community when it was selected for the Queen’s Award for Enterprise, recognising their contribution to international trade, innovation and sustainable development.
Devenish were one of only two recipients of the gong from the north, while a total of 243 businesses across the UK were selected for the honour.
The group own more than a dozen subsidiaries around the world, including four operations in the US and one each in Mexico, Denmark and India.
