Nom Dairy UK posted a £10m loss in 2012 as it struggled to compete in the tough UK yoghurt sector, records from Companies House reveal.
This was a marginal improvement on its performance in 2011, when it reported a £11.7m loss. Turnover during the period declined from £47.8m to £42.6m.
Nom Dairy UK was last month acquired by Müller following speculation about the future of the Austrian-backed company in the UK. Its financial records give a flavour of its struggles in the UK’s tough yoghurt & yoghurt drinks market. In their report for the year to 31 December 2012, the directors said branded sales were particularly challenging as retailers increasingly invested in own label. In response, Nom would focus more on own label, but they warned private label would not be immune from competitive stresses. Retailer price rivalry was rising with the growth of discounters and falling consumer incomes.
“With the added introduction of retailer price comparison money-back programmes, own-label products have suffered limited price inflation despite increased raw material supplier costs,” they added.