The UK division of Ornua Foods, renowned for producing Pilgrims Choice cheese and Kerrygold butter, reported a significant increase in turnover, exceeding £500m during its latest financial year.
According to newly-filed accounts with Companies House, the Staffordshire-based arm achieved sales of £523.8m for the year ending 30 December 2023. This marks a notable rise from the previous year’s turnover of £480.2m. Despite this increase, pre-tax profits remained steady at £11.6m.
Ornua Foods attributed this turnover growth to “stable sales volumes and sustainable pricing structures,” which served to mitigate the ongoing inflationary pressures affecting the entire supply chain. A statement from the board reflected this sentiment, highlighting the firm’s commitment to a clear and consistent strategy focused on continuous improvement and delivering best-in-class category expertise and customer support.
The statement further mentioned investments in capital expenditure and marketing, including advancements in cheese cutting and packing technology at their Leek facility. This technological enhancement is expected to boost the company’s packing capacity and capabilities substantially.
While the UK turnover saw a substantial increase from £478.4m to £523.7m, the European earnings outside the UK experienced a decline, dropping from £1.8m to £100,000. This contrast underscores varying market conditions across regions.
The average number of employees in the division also rose slightly from 692 to 715 over the year. Looking ahead, Ornua Foods’ statement expressed an awareness of the ongoing challenges posed by cost inflation, cost-of-living pressures, and geopolitical instability. However, the company remains confident in its strategic positioning to meet the evolving needs of its expanding customer base.
Simultaneously, the wider Ornua group, headquartered in Dublin, reported a turnover of €3.399bn (£2.865bn) for the same financial period, marginally declining from the previous figure of €3.422bn (£2.884bn).
Ornua Foods has demonstrated resilience and strategic foresight in navigating a challenging economic landscape, as evidenced by its increased turnover and continued investments. The company remains well-positioned to address future market demands and sustain its growth trajectory despite external pressures.