Crediton Dairy – the parent company of Arctic Coffee, Dairy Pride and other brands – reported strong results in the year ending on 4 January 2025, driven by an improved product mix.

Annual turnover increased by £20m year-over-year to £131.3m due to extended shelf life and higher cream costs.

The dairy manufacturer achieved a profit of £10.4m, marking a £1.3m increase on the previous year.

However, the dairy producer claimed the year was “challenging and rapidly changing,” due to subdued dairy markets which led to low farmgate prices.

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Tim Smiddy, Crediton Dairy’s managing director said: “In the light of increasing demand for our own label flavoured and functional milks and branded dairy drinks supplied to UK retailers, the company is continuing to invest in new capacity and capability, site services and new product development.”

“The strong performance was driven by the extended shelf life of its dairy products as well as continued capital investments in the improvement of its processing facilities, with a £5.7m investment in 2024,” he added.

Crediton Dairy’s brand Arctic Coffee experienced significant growth during the financial year and is now the second biggest iced coffee brand in British supermarkets, according to the company. While its ProMlk range also grew to be the second-best-selling protein milkshake brand in British supermarkets.

Crediton Dairy projects positive growth in the dairy sector in the upcoming year and plans to invest £5.7m in improving its production facilities.