Irish produce group Fyffes has said it expects 2010 earnings to be ahead of previous targets.

The Dublin-based firm said yesterday (11 January) that it expects adjusted EBITDA for 2010 to be in the range of EUR19m (US$24.8m) to EUR20m. This compares to a previous estimate of EUR14m to EUR18m.

Fyffes said it expects to deliver a mid-single digit percentage increase in its adjusted EPS for 2010 compared to the 5.19 cent in 2009. The banana supplier said the increase reflected the additional benefit of a lower minority interest charge for the year.

Fyffes is targeting an adjusted EBITA for 2011 in the range EUR17m to EUR22m.

The company, however, warned that the banana and pineapple industries faced higher costs this year due to less favourable exchange rates and increased fuel prices.

As a result, Fyffes believes higher selling prices will be required in all its markets if it is to maintain profits.

“The group continues to pursue a number of opportunities to further develop its business in order to increase shareholder value,” it said.

Fyffes share price climbed 1% to EUR0.39 at 10:42 BST today.

Click here to view the full earnings release.