Northern Ireland-headquartered co-op, Dale Farm, has reported a £96.6 million drop in group turnover to £631.4 million for the financial year ending March 2024.
Dale Farm, which is owned by 1,300 dairy farmers across Northern Ireland, England and Scotland, had previously reported a group turnover of £728 million for the financial year ending March 2023.
Despite the drop in turnover, the latest financial results highlight that the co-op’s profit performance continued to improve for the third year in a row.
Its net profit before tax rose by 11% to £29.8 million in the 12 months to March 2024 – up from £26.8 million in the previous financial year.
Dale Farm co-op’s EBITDA (earnings before interest, tax, depreciation and amortisation) also increased to £44.9 million – up from £43 million a year earlier.
The chair of the co-op, Fred Allen, today (Tuesday, June 25) acknowledged that the dairy market had “experienced volatility” last year.
He also warned that “inflation continues to affect input costs for producers”.
Allen added: “Against this backdrop, over the past year we were still in a position to pay a competitive milk price, with the average price paid totalling 35.2p/L in 2023/24.
“It is more important than ever that we continue to invest in those parts of the business that deliver the highest returns for our farmers.
“The profitability of the cooperative and continued investment is key to securing farm businesses for future generations.”
Dale Farm
According to Dale Farm’s group chief executive, Nick Whelan, the improved profit result is down to “strategic decision making, the collective efforts of the 1,200 people employed by Dale Farm, and the farmers who supply the business with high quality milk”.
He said that every decision the co-op takes “is about ensuring the profitability and sustainability of our members’ farm businesses”.
Whelan added: “Through strategic investment we are delivering growth while paying a competitive milk price to the 1,300 farmers who own the business and supply us with healthy, nutritious, quality milk.
“Through our strategy – a focus on research and development and investing in the strongest areas of our business – we are growing, and these results show that strategy is working”.
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