Ice cream maker Mackie’s of Scotland posted a major leap in profits last year off the back of a mounting presence in British supermarkets.
Mackie’s pre-tax profits grew 67% to £2.2m in the year to May 2024, as revenue rose 7.2% to £22.3m.
The bulk of its revenue growth was driven by extra listings for its ice cream in Co-op, Morrisons, Sainsbury’s and Tesco. As a result, sales rose 10%, with the brand gaining 400k new shoppers in the UK, the company said.
“We’re always delighted to see new consumers buying Mackie’s products, but what’s been particularly encouraging is that they are becoming repeat buyers,” said Mackie’s MD Stuart Common.
Mackie’s was purchased by around 20% of households in Scotland, and 8% of all UK households, making it the fifth most popular ice cream brand in the UK, the brand said, referencing Kantar figures.
Challenges loomed large, however, with poor weather in the summer leading to a difficult start to the year, compounded by rising costs for cream and cocoa, Common said.
Cream prices recently reached an all-time high, up 47% year on year. This was expected to have a strong impact on Mackie’s margins in the current financial year, he added.
Its chocolate production has also been hit by the shortfall in cocoa, which has caused prices to quadruple.
Mackie’s has undergone a major sustainability drive for the past two decades, fitting four large wind turbines, a 10-acre solar farm, and most recently a low-carbon refrigeration system.
This was now paying off financially, “allowing us to keep our offering very competitive while refusing to compromise on quality, amid rising costs across the board”, said Common.
Mackie’s used to also make crisps and popcorn, but sold its share to joint venture partner Taylors Snacks in 2022.
Last year, Taylors saw revenue rise 16% to £16.8m and trimmed its pre-tax losses to £317k.
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