Business

Germinal grows sales and profits ahead of uprooting to Tipperary

The Germinal Holdings site in Banbridge, which is set to close later this year when the company relocates to Thurles
The Germinal Holdings site in Banbridge, which is set to close later this year when the company relocates to Thurles The Germinal Holdings site in Banbridge, which is set to close later this year when the company relocates to Thurles

LONG-established Banbridge-based seeds and grain firm Germinal Holdings grew its sales and profits ahead of it uprooting the business and relocating to Co Tipperary.

The company, which is soon to mark 200 years since its founding, saw its turnover rise from £27.6 million to £29.5 million in the year to June 30 last.

It came as it diversified from purely processing and selling seeds and grain to ancillary activities including the distribution of horticultural, chemical and veterinary products, the production and distribution of pet foods, and also property development.

It's bottom line profit also lifted from £4.5m to £4.8m, which contributed to shareholder funds growing to £42.5m.

But since its 2019/2020 books were closed, Germinal confirmed that, as part of a strategy to improve operational efficiencies, it will move to a site in Thurles, where it has invested heavily in recent years.

That is likely to mean a reduction in its staff numbers (it currently employs 80 people made up of 32 in administration, 28 distribution and 20 in production).

Those staff were paid total salaries of £4,958,328, according to latest accounts filed at Companies House, which equates to an average wage of around £62,000.

At the time of the relocation announcement in January, managing director William Gilbert said: "Our facilities in Co Tipperary have historically only served customers in the Republic, but we feel the time is right to utilise this state-of-the-art site to serve customers across Northern Ireland as well.

"This will help us drive our sustainability agenda and remove unnecessary duplication.

"We are also accelerating our investment in digital and e-commerce technologies, which is a major growth opportunity for the business."

He added: "It also means relocating our head office function from Banbridge to Belfast, but we believe these developments will ensure we are well placed to move forward and drive our innovation and research knowledge."

Germinal's current head office and distribution site just off Banbridge town centre will continue as a satellite operation for the rest of this year but will then be sold.

Suppliers of high-grade grass seeds, fertilisers and wild flowers for use in agriculture and sports arenas, Germinal is the largest family-owned amenity seed firm in Britain or Ireland and can trace its roots back to 1825.

The company expanded into England in the 1950s, and in the 1960s it merged with Banbridge-based Joseph Morton Ltd and later acquired James Coburn & Sons also in the town.