Typhoo has downplayed its falling sales by claiming it is on course to emerge from the red this year.
The tea brand, majority-owned by private equity firm Zetland Capital, almost halved losses in the year to March 2020.
Despite a “challenging” time where sales dipped 2.7 per cent to £53.1 million, pre-tax losses were cut from nearly £30 million to £15.9 million.
However, more recent figures in the year to September 2021 showed grocery sales have dropped 40 per cent.
READ MORE: Typhoo Tea secures major investment
Chief executive Des Kingsley told The Grocer that the brand would break even by the end of the financial year.
“The recovery of Typhoo Tea is well underway,” he said.
Kingsley said the decline was down to restructuring the business, removing “unprofitable lines” and bringing in cost control measures.
“Now, with the support of our new majority shareholders we have a renewed focus on our brands and will be reasserting our presence across all channels,” he continued.
He previously said the investment in the brand this year would enable the company to invest in its factory and “ensure a bright future for the company”.
Zetland founder Ahmed Hamdani said this July that he was “confident that Typhoo can regain its reputation as one of Britain’s most loved brands”.
The news comes after Tetley announced a £2.5 million advertising blitz to reclaim “the throne of Britain’s most-loved tea”.
Tea rival Twinings also launched a marketing campaign this month after its value plunged by £4.2 million last year.
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