Farsons profits up despite 'difficult' economy

The Farsons Group has reported a pre-tax profit of €3.2 million in 2009, up from €895,000 the previous year.

Group turnover was of €65.1 million against €66.4 million in 2008.

Profitability improved as a result of remedial measures that helped mitigate the still difficult economic environment, Louis A. Farrugia told shareholders at the 63rd annual general meeting in his last address as Group CEO.

Norman Aquilina, CEO designate who will take over from Mr Farrugia on July 1, said earnings before interest, tax, depreciation and amortization was the highest in the past five years, with an improvement of more than €2 million over the previous financial year, reaching €10.2 million.

He reported that the group's export sales almost doubled and reached record levels in terms of volume and profitability. Today, Farsons is exporting to 12 countries in Europe, North America, North Africa and Australia, with Cisk Lager also available in China.

While relinquishing his responsibilities for the day-to-day running of the group, Mr Farrugia will stay on in an oversight role and take part in determining the group's strategies. He will also remain responsible for the group's new project, a €14 million brewhouse, construction of which is expected to start next month and be completed by 2012.

Bryan A Gera, who will retain his position as chairman of the board of directors, thanked Mr Farrugia for his 31 year service as group chief executive.

The annual general meeting approved the board's recommendation of a final dividend of €1,500,000. An interim dividend of €300,000 had already been paid in October 2009.