Profits are back in growth at Pukka Pies as the UK’s number one pie brand continued to boost sales and made progress with its five-year strategic plan.
However, rampant input cost inflation, particularly across ingredients and labour, squeezed gross margins by just more than one percentage point at the Leicestershire-headquartered company.
Revenues climbed 4% to £88.6m in the year to 31 May 2025 thanks to brand loyalty in store and out of home, new product launches, improved distribution in existing customers and price rises – although the business delayed pushing through the increases until later in the financial period.
Pukka also increased capital expenditure in the year, up from £2m to £3.2m, as it sought to improve its ERP software system, find efficiencies and expand production capacity at its Syston bakery, where it employs around 400 staff.
It is part of a five-year strategic plan to accelerate sales under the continued ownership of the Storer family.
EBITDA in FY25 rose 7.1% to £7.5m, while operating profits before exceptional costs jumped 27% to £5.6m. Although, its underlying profits remain significantly below the FY23 peak.
Pukka registered one-off exceptional costs of £1.9m in the year, on top of £1.6m in the previous 12 months, related to advisory fees as the owners explored a potential £100m sale off the business in 2024, as revealed by The Grocer at the time. Following the aborted sale process, Pukka underwent a corporate restructure to futureproof the company.
“This has been another strong year for Pukka, especially given the very real pressures facing both businesses and shoppers,” said CEO Isaac Fisher, who was promoted from MD in 2024 to spearhead the five-year growth plan.
“Rising costs across ingredients and energy continue to be challenging, but the strength of our brand and the loyalty of our shoppers mean we’ve been able to trade resiliently.
“A lot of our growth comes down to the quality of our relationships – both with our retail and out-of-home customers, as well as shoppers who keep coming back to Pukka because they trust us to deliver full-on flavour and value.
“We’re continuing to invest in innovation and distribution, while also making sure the business is set up for the long term. We’re building momentum, growing in the right way, and investing in our bakery and our people here in Leicester so Pukka can keep delivering for years to come.”
Pukka has been baking pies since 1963, when it was known locally as Trevor Storer’s Homemade Pies.
Today, the brand offers a range of chilled and frozen pies, pasties, slices and sausage rolls in all the major supermarkets, as well as its traditional heartland of fish & chip shops, pubs, cafés and football stadiums.
Sales at Pukka have soared in recent years as it expanded distribution to focus more on grocery, alongside its more historic out-of-home customer base. Revenues stood at just £53m in the 2019/20 financial year as the pandemic hit.
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