Innocent Drinks has slashed its losses after heavy investment in its new Rotterdam factory drove efficiencies amid rising sales and regaining market share.
Newly released group accounts for Fresh Trading Ltd showed operating losses for 2023 had been cut by more than 90% back to £3.7m following a £41.3m pre-tax loss in 2022, described by the company at the time as one of its “most challenging years” to date.
Sales also increased 6.3% to £452.9m in a period that saw a “significant improvement in performance”, according to the accounts.
The accounts said the business had previously suffered from ramp-up costs at its £200m Rotterdam factory ‘The Blender’, which were exacerbated by soaring input inflation and pressure on consumer spending.
In 2023 it more successfully mitigated these pressures through “efficiencies, supply chain management and responsible price increases”.
More consistent availability of goods through its supply chain also enabled the group to recapture market share in addition to price recovery.
Market share was “strong” across all core markets and it expected to move back into profitability and “category leadership” in 2024.
A spokesperson said the operational improvement had positioned the group from “continued growth into 2024 and beyond, whilst still recognising the many external headwinds around commodities that businesses like ours continue to face”.
Overall group loss after tax fell to £7.2m from £48.8m in the previous year.
During 2024 Innocent reshuffled its board, which saw the addition of five new directors and the departure of COO James Davenport and UK MD Sam Akinluyi.
The restructure came alongside a new 2030 business strategy, which would see “the company refocus on its founding purpose: making it easier for people to live well through the delicious goodness of fruit & veg”.
The company aims to deliver a billion more portions of fruit & veg per year by 2030, having delivered 1.2 billion portions in 2023 through its drinks range.
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