Alltech, the privately owned animal nutrition company, saw profits almost double in its European operations in 2017. Accounts recently filed with the companies office show that Alltech Ireland, which is the parent company of Alltech’s European operations, reported an 86% increase in pre-tax profits to €4.6m for its 2017 financial year.

Alltech said the strong improvement in profits was a result of one-off charges and integration costs in the previous year associated with the acquisition of Keenan. Alltech paid less than €4m to buy Keenan, the Carlow-based machinery manufacturer, out of receivership in April 2016.

Sales at Alltech’s European operations increased 3% in 2017 to reach €76.2m. Over 60%, or €46.6m, of Alltech’s sales are generated in EU markets, with the remaining €30m of sales coming from international markets such as Russia, Turkey and Australia.

Operating profits in Alltech’s European business soared by 45% last year to reach €5.6m, as profit margins widened from 5.2% in 2016 to a very healthy 7.3% in 2017.

The company, which employs 128 people across its European operations, has a net asset value of close to €124m. The accounts show Alltech spent just under €4.6m on R&D during 2017, which represent 6% of turnover.

In March this year, Alltech’s founder and president Dr Pearse Lyons died at the age of 73. Lyon’s founded Alltech in Kentucky in 1980 and built Alltech into a $3bn global business. His son Dr Mark Lyons has since taken over the reins at Alltech.