Snacking giant Lotus Bakeries has posted a 10.1% increase in turnover in full year 2019, to €612.7 million.
The business reported an operating profit increase of 9.3% in the period, with its Natural Foods and Lotus Biscoff arms cited as the pillars behind its positive performance.
'Solid Growth'
Its Lotus Biscoff business, which is the largest segment of the company, saw double-digit growth in 2019, the company said, with its US, UK, France and China businesses performing strongly, and 'solid growth' reported in South Korea, Australia, Spain, the Czech Republic and Switzerland.
The Natural Foods business, which includes the Nakd and BEAR brands, also achieved double digit growth, the business said, with Nakd's growth supported by a TV campaign in the UK, Belgium and Netherlands, and the brand gaining traction with its Kiddylicious fruit snacking product in the US.
Local Brands
The third pillar of the business, which encompasses local brands in Belgium, the Netherlands, France and Sweden, saw a mixed performance.
Lotus maintained a high market share in Belgium driven by new product innovations, while in France, its Lotus waffles brand posted double digit growth. In the Netherlands arm, however, its gingerbread category 'came under pressure', resulting in a 'stable' turnover for the business.
In a statement, Lotus Bakeries said, '2019 was the year in which two milestones were achieved successfully and on schedule, namely two new factories on two new continents. The construction and start-up of the factory in the US is without doubt one of the most challenging projects and achievements in the company's history'.
Looking ahead to the coming year, the group said that the internationalisation of the Lotus Biscoff and Lotus Biscoff spread businesses 'remains [its] main organic growth driver', while it is also 'working hard' on new product innovation.
"I'm very pleased that our focused strategy has delivered this excellent result once more in 2019," commented chief executive Jan Boone. "Our organic growth in Lotus Biscoff and Natural Foods was exceptional this year. I especially want to thank all employees who have worked to achieve this."
© 2020 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: The European Supermarket Magazine.
