Pre-tax profits at Drinagh Co-op fell 50% to €6.1m, but profits from its core operations rose 39% to €2.7m.

Under accounting rules, the value of investments must be adjusted during the financial year. As a result of the stock market value movement during the year in shares it holds in IPL (One51) and Aryzta, Drinagh co-op had to record a loss of €7.2m on these investments.

The increase in operating performance was driven by a 6.1% rise in milk volumes, which reached 197.9m litres along with a rise in feed volumes due to the difficult spring and summer in 2018. Total turnover increased 10% to €148.5m. Mill output increased 30%, with sales up 38% to €27m. Its dairy sales increased 3% to €76m.

Milk from Drinagh’s 566 milk producers is delivered to Carbery in Ballineen, which is 35% owned by the co-op.

Drinagh paid a bonus of 0.5c/litre on 2018 milk supply. Last July, the co-op opened a €3.75m feed mill extension.