Ornua has reported pre-tax profits of €29m for its 2017 financial year, which is an 84% increase compared to 2016. The farmer-owned co-op, which accounts for 60% of Irish dairy exports, saw operating profits increase by a third (+32%) last year to reach €35m.

Sales for the year increased by almost a fifth (+18%) to reach €2.1bn. This was a result of stronger dairy markets in 2017, with prices for butter, in particular, reaching record heights last year. Ornua said it purchased a record 338,000t of product from Irish dairy co-ops in 2017 as milk production continues to expand post-quotas.

Ornua said 2017 was a record year for the Kerrygold brand, with double-digit growth in key markets Germany and the US. Kerrygold is on-track to become Ireland’s first ever €1bn sales brand.

On the back of this, Ornua said it will pay back €15m to its co-op members in a dividend bonus. This is up from €9.5m in 2016. Kevin Lane, chief executive of Ornua, described 2017 as a year of “significant growth”.

“Product innovation continued at pace and allowed us to unlock new routes to market to ultimately drive value for our members, Ireland’s dairy processors and Irish farmers,” said Lane.

“Despite volatile market conditions and Brexit uncertainties, we remain on track to deliver our 2021 vision of a €3bn revenue business with a sustainable EBITA margin of 3%,” he said.