Lipton Teas & Infusions UK recorded growth in both turnover and profits last year, despite the stuttering performance of its flagship PG Tips brand in grocery.
The supplier saw turnover increase by 11.5% to £111.7m in the year ended 31 December 2024, according to new results filed at Companies House. Its profits before tax stood at £6.2m – a turnaround from the £8.4m loss recorded in 2023.
The average number of staff employed, meanwhile, fell from 90 in 2023 to 69 last year.
The top and bottom-line growth came even as both of Lipton’s major brands suffered poor performance in grocery across the reporting period. PG Tips lost £15.1m on volumes that crashed 37.8%, while Pukka Herbs shed £2.6m on volumes down 29% [NIQ 52 we 7 September 2024].
“Our recent results reflect the significant transformation since our 2022 carve-out from Unilever and the July 2023 establishment of our standalone operational systems,” said Lipton Teas & Infusions UK & Ireland GM Jonny Briscoe.
“This period saw substantial investment in manufacturing, production, and product development, alongside headcount adjustments,” he continued. “While these strategic initiatives have optimised our organisation for future success as a standalone business and are driving a more normalised, robust operational profit, they mean performance is not directly comparable to the previous year.
“Looking ahead, we are firmly focused on leveraging these significant investments. We’re already seeing positive momentum across our brands, with both PG tips and Pukka experiencing increased household penetration.”
Since the turn of the year, Lipton Teas & Infusions has switched up its leadership team, with previous UK & Ireland GM Liam McNamara departing to be replaced by Briscoe, formerly of Perfetti Van Melle. Pierre Laubies has also stepped into the role of CEO, having held the role on an interim basis since the exit of Nathalie Roos in September 2024.
In April, meanwhile, newly instated chief marketing officer Elle Barker retired PG Tips’ ‘Rock Solid’ campaign featuring actor Ashley Walters, with the £15m push having failed to revitalise sales.
In its place, Barker brought back PG Tips’ Monkey mascot in a new campaign starring British actor and Rivals star Emily Atack.
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