Mr Chips, the New Zealand-based French fry maker, has seen annual profits almost double due to rising sales.

The company, which is the subject of a takeover bid from food maker Simplot Australia, posted net profit of NZ$5.4m (US$4.2m) for the 12 months to 31March, a jump of 96% on the year.

Turnover was up 21%, reaching NZ$57.2m, with Australia now accounting for over half the company’s sales.

Chairman Graeme Edwards, in what he said would “likely” be his last report on results, said the company would “significantly” increase its profits in its current fiscal year.

However, Edwards sounded a warning of the business environment facing Mr Chips. “Despite the considerable damage already inflicted on the export manufacturing sector by unjustified interest rates and exchange rates, we are now facing the prospect of ideologically-driven carbon charges,” Edwards said.

On the imminent takeover from Simplot, Edwards said the company was awaiting a formal offer but added: “In the event an offer is made at $2.90 per share or above, inclusive of any final dividend, major shareholders representing 81.5% of issued capital, including my own family interests, are committed to accept.”