C&F, THE GROUP that engineered the recent rescue of manufacturer Iralco, had profits of almost €4 million last year, latest figures show.
The news comes as the company prepares this week to open an extension to its manufacturing facility in the Czech Republic, which last year helped bring the group's worldwide sales close to €60 million in 2007 from €49 million the previous year.
C&F manufactures server racks, computer casings and other products for high-tech multinationals. Its key clients include IBM and EMC, both of which have operations in the Republic.
Its chief executive and majority shareholder, John Flaherty, told The Irish Timesat the weekend that C&F now supplies these groups in central and eastern Europe and the Far East, as well as in the domestic market.
Accounts just filed with the Companies' Registration Office show that C&F Tooling Ltd made profits before tax of €3.9 million in 2007, compared with just €180,000 the previous year.
Sales from its Galway headquarters grew almost €10 million in 2007 to €34 million from €24.37 million in 2006. Its global operations, that is Galway along with the Czech Republic and a plant in the Philippines, generated sales of €58.3 million.
According to Mr Flaherty, the Czech factory added €800,000 to profits, but a loss on a similar scale in the Philippines cancelled this out.
The group's overall profits were those attributable to Galway.
He blamed an increase in the price of steel, the group's main raw material, for the loss in the Philippines, and added that the facility has since been restructured.
C&F was in the news last month when it took over Iralco, the ailing car parts manufacturer, in Collinstown, Co Westmeath, in a deal that involved a reported €10 million investment in the plant.
Iralco was facing closure with the loss of 420 jobs, but had full order books and clients, including Volkswagen, Ford and Audi, who still wanted to do business with it.
C&F stepped in and won the workers' support. Mr Flaherty believes that as both companies use the same raw material, steel, there are synergies between the two that can be exploited. He also intends expanding Iralco into central Europe, following the same route he took with C&F.
On Wednesday, C&F is planning formally to open an extension to its plant in the Czech Republic, located about 20 miles from Prague. The operation's sales are approaching €20 million at this point.
Later this month, it will rebrand and relaunch Iralco as C&F Automotive. Iralco produces decorative trim for cars.
Mr Flaherty and his wife Christine own C&F, while his sister, Ella Coffey, runs the Czech operation. He began the company to serve the multinational market in Ireland, and says he has expanded it by following his clients.
"Multinationals like IBM and EMC want a global supplier, so you have to follow them," he told The Irish Times.
"Also, to win business you have to be very competitive on quality and price."
