The company that operates the Kentucky Fried Chicken (KFC) franchise across Ireland returned to profit in 2011 to record profits of €795,460.

Documents just filed with the Companies Office show that Herbel Restaurants (Ireland) Ltd recorded the profit after recording losses in the previous two years.

The figures show that the firm returned to profit in spite of revenues decreasing by 3 per cent to €20.81 million from €21.48 million in the 12 months to the end of December 31st, 2011.

The company operates 18 KFC restaurants, and, according to the directors’ report, “despite the economic conditions the KFC franchise business continues to trade well”.

The company’s revenues are split between €18.2 million from sales at KFC outlets and €2.6 million in rent, with the company owning a substantial portfolio in the UK and Ireland with the properties situated in prime locations and predominantly occupied by large retailers. The value of the firm’s investment properties is €90.4million.

The profit takes account of non-cash depreciation costs of €932,208 and amortisation costs of €58,174.

The group’s two directors are Belfast businessman Michael Herbert and his wife, Leslie.

The firm has bank loans totalling €64.8 million. A note attached to the accounts states that the company’s current loan facilities have expired.

However, the directors’ report confirms that “the directors of the company are in discussions over the renewal of bank facilities and are confident that these discussions will conclude successfully”.

The firm recorded an operating profit of €2.978 million with bank interest payments totalling €2.1 million, reducing the firm’s profits to €795,460.

The profit in 2011 increased the company’s accumulated profits to €7.3 million, with shareholder funds of €38.3 million. The numbers employed by the company last year dropped marginally from 228 to 221, with staff costs reducing from €5.8 million to €5.5 million.