Premium petfood player Lily’s Kitchen has continued to rapidly build sales following its April 2020 acquisition by Nestlé.
The brand reached global sales of £64.8m in the nine months to 31 December 2022, newly filed accounts show. That’s pro-rata growth of 18.5% from the £72.9m achieved in the previous 12-month period.
Amid a concerted international push, sales of its dog and catfood and treats outside the UK reached £7.8m, representing pro-rata growth of over 20%. Domestic sales grew 18.2% pro-rata to £57m.
The group said growth was driven by building and growing existing channels and opening accounts with new retailers.
However, gross profit margin fell back to 47.5% from 50.2% amid significant input cost inflation.
Despite this gross margin contraction, operating profits were £8.3m compared to £9.4m in the previous 12-month period as administrative expense inflation was constrained.
“We are confident that our continued focus on high quality natural food for cats and dogs will lead to another successful year for the business,” the accounts stated.
“Lily’s Kitchen has experienced fast growth in each year since launch in 2008. Business growth is being driven by an increasing demand for Lily’s Kitchen products in almost all of our ranges, customers and markets.”