Irish consumer food and ingredients giant Kerry Group has reported a 4.9% increase in full-year sales to E4.65bn (£3.12bn) on pre-tax profit up 1% at E487m.

Total group sales in European markets rose 4.2% to E3bn in the year to 31 December, and by 5.2% to E1.3bn in American markets.

“While 2006 was a challenging year for the group, I am pleased by the improved trading performance in the second half benefiting from successful innovation and on-going business restructuring and cost saving programmes, said Hugh Friel, chief executive of Kerry Foods.