Record year for Ornua with Operating Profit up 1.3%
Image: John Jordan, Oruna
Ornua, Ireland’s largest exporter of Irish dairy products, has published its operating and financial results for the twelve months ending 26th December 2021.
Some of the key results included:
- Excellent trading performance with Group turnover up 6.9% to €2.5 billion ($2.68bn).
- Kerrygold volume growth up 12%, with over 11 million packets of butter and cheese sold globally each week.
- Group EBITDA* and Operating Profit* up 0.7% and 1.3% respectively.
- Strong returns for Irish dairy farmers across 389,000MT of Irish product purchased, delivering an additional €78 million ($8.36m) Ornua Value Payment to member suppliers, up 13.5% year-on-year.
- Ornua Ingredients doubled its footprint in the US market with the acquisition of Whitehall Specialties Inc, unlocking significant growth and innovation capacity.
- Approval granted for a €40m ($4.28m) expansion of Kerrygold Park to meet the growing global demand for Kerrygold.
- Bank facilities totalling €580m ($622m successfully refinanced until 2026, supporting Irish dairy industry growth.
- Launched an ambitious five-year CSR & Sustainability strategy incorporating environmental, animal welfare, and community targets.
Commenting on the positive performance delivered in 2021, John Jordan, CEO, Ornua said: “Ornua maintained a strong, stable, and sustainable performance year-on-year, as we marked our 60th year in business. Despite persistent challenges, we are pleased to report a 6.9% increase in turnover and a 1.3% increase in operating profit* for 2021. This performance delivers on our commitment to maximise returns to our member co-operatives and the 14,000 farmers who supply them, with a 13.5% increase in our Ornua Value Payment in the year.
“It was another record year for Kerrygold, with volume growth up 12% on 2020. Kerrygold continues to be the fastest selling brand on supermarket shelves in Germany and is the no.2 butter brand in the US; a market serving 330 million consumers. Our Ingredients business also performed strongly as we completed the acquisition of US cheese ingredients business Whitehall Specialities Inc. The addition of these four facilities across Wisconsin and Pennsylvania unlocks substantial growth in both the US and in other markets as we enhance our innovation and manufacturing capabilities, as well as adding 450 new skilled professionals to our workforce.
“While challenges persist in 2022, we are commercially and strategically well-placed to manage their impact on our business and continue to return value to our member co-ops and the Irish farming families that they represent.
“We have been devastated by the tragic events that have unfolded in Ukraine these past months and recognise the plight of the Ukrainian people at this very difficult time. As a longstanding organisation with a global footprint, we acknowledge the impact of world events on our customers and the communities we serve and will continue to support all our stakeholders in navigating the knock-on effects of this terrible situation.”