Fexco posts €9.4m profit on improved turnover

Fexco, the Co Kerry foreign exchange and global payments group, made a pre-tax profit of €9.4 million in the year to end December 2003.

The result represents a drop of €6 million on the previous year's €15.5 million.

Turnover was up at €85.4 million as compared to €73.5 million. In 2002 there was an €8.6 million profit from the disposal of financial fixed assets.

The principal activities of the group are international money transfer services, bureau de change services, tourism services, data processing, multi-currency credit card processing, and property and financial services.

The group's operations took place in the Republic, the UK, Spain, Malta, Australia and the Middle East. The directors described market conditions during 2003 as having been adverse.

Fexco founder and chairman, Mr Brian McCarthy from Killorglin, Co Kerry owns almost 40 per cent of the group. US company First Data Corporation has a 25 per cent holding which it purchased in 2001. Directors and staff own the remainder of the group.

The former Tánaiste and Labour Party leader Mr Dick Spring is executive vice chairman of Fexco. He acquired 8,000 options in the group during 2003.

The average number of persons employed over the course of the year was 860, of which more than half (448) were involved in data processing and money transfer. Staff costs totalled €29.8 million.

Directors' fees and remuneration was €1 million. Retained profits at the year's end were €47 million.

Last month Fexco announced that it had bought Money Transfer Nordic for an undisclosed sum. The company acts as an agent for Western Union in Sweden, Denmark and Finland. Fexco is one of the largest Western Union operators in the world.