Unloading milk at the Dairygold plant in Mitchelstown, Co Cork. \ Donal O'Leary
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Speculation is mounting that Dairygold Co-op is planning to sell its UK cheese business based in Leeds and Crewe in England.
While the co-op has not confirmed that its UK business is for sale, a spokesperson told the Irish Farmers Journalthat the UK operations are included in the overall cost-cutting programme in place at the co-op.
However, the Irish Farmers Journal understands that a potential sale of the UK business is also being discussed by Dairygold.
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According to accounts filed at the UK Companies House, the business had a turnover of £126m (€145m) and an operating profit of £2.7m (€3.1m) with profit after tax and interest costs of just under £829,000 (€954,000) in 2024. The balance sheet showed shareholder funds stood at just over £16m (€18.4m) at the end of 2024.
A spokesperson for the co-op said that the purpose of the business optimisation programme is to identify “significant cost savings in our operations over a three-year period to 2027”.
“Our commercial focus is on reducing market exposure to shifting commodity prices and improving overall margin.” In its 2024 annual report published last April, CEO Michael Harte said that the UK and German cheese business “provide strategically important routes to market for Dairygold’s cheese”.
The annual report went on to say that a strategy review process conducted in the second half of 2024 determined a five-year growth plan for the UK business.
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Speculation is mounting that Dairygold Co-op is planning to sell its UK cheese business based in Leeds and Crewe in England.
While the co-op has not confirmed that its UK business is for sale, a spokesperson told the Irish Farmers Journalthat the UK operations are included in the overall cost-cutting programme in place at the co-op.
However, the Irish Farmers Journal understands that a potential sale of the UK business is also being discussed by Dairygold.
According to accounts filed at the UK Companies House, the business had a turnover of £126m (€145m) and an operating profit of £2.7m (€3.1m) with profit after tax and interest costs of just under £829,000 (€954,000) in 2024. The balance sheet showed shareholder funds stood at just over £16m (€18.4m) at the end of 2024.
A spokesperson for the co-op said that the purpose of the business optimisation programme is to identify “significant cost savings in our operations over a three-year period to 2027”.
“Our commercial focus is on reducing market exposure to shifting commodity prices and improving overall margin.” In its 2024 annual report published last April, CEO Michael Harte said that the UK and German cheese business “provide strategically important routes to market for Dairygold’s cheese”.
The annual report went on to say that a strategy review process conducted in the second half of 2024 determined a five-year growth plan for the UK business.
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