Profits fell 32 per cent at the Irish subsidiary of pharmaceutical giant Roche in 2004, accounts recently filed to the Companies Office confirm.
The accounts show that Roche Ireland enjoyed a profit of €14.6 million in 2004 - a drop of €6.8 million on the €21.3 million profit it had reported the previous year.
Turnover at the company, which operates out of Clarecastle, Co Clare, fell to €124 million in 2004 from €148 million in 2003 - a drop of 16 per cent.
In the company's annual return, Roche Ireland blamed the downturn "primarily to a reduction in the volume of DL Acid manufactured and sold during the year, in addition to the adverse exchange impact of US dollar sales".
It went on: "The directors are satisfied with the increase in production and sales of its other key products in the financial year."
The Irish operation paid no dividend in 2004, a year after disbursing a €10 million dividend to its parent.
Last September, Roche Ireland announced that it would be ceasing the production of DL Acid - which is used in the manufacture of anti-inflammatory drug Naproxen - in 2006 resulting in the loss of 35 of the 270 jobs at the plant.
The plant has been in place since 1974 and the accounts show that staff and pension costs in 2004 amounted to €20 million.
The company says it contributes €64 million annually to the Irish economy.
Roche Ireland manufactures seven separate drugs at its Clarecastle plant, including Xenical, which is prescribed for combating obesity, and Invirase and Fortovase, used in the treatment of HIV.
The Irish business also produces Cellcept, an immune system suppressant aimed at preventing rejection of organ transplants.
However, the last new drug to come into production was in 1999 when the Clarecastle plant started to produce Xenical.
In a statement, the company said yesterday: "Roche Ireland expects that demand for its CellCept and Xenical products will grow during 2006."
The Clarecastle plant forms part of the Roche Corporation, which employs 65,000 people worldwide, selling products in 150 countries.
