Dairy manufacturer Arla posted record results for the full financial year of 2025, with revenue increasing by 9 per cent to around £13.2bn.

This was driven by a record milk intake of 14.3bn kg and growth in its ingredients business category.

The business achieved a net profit of around £361.9m, boosted by significant milk supply across Europe at key Arla markets such as the UK and Denmark with a 7.7 per cent and 3.6 per cent rise, respectively.

In particular, the Arla Foods Ingredients division delivered a strong performance, with revenue going up by 43.1 per cent to around £1.3bn, which was positively impacted by a strong global demand for value-added protein.

The portfolio of brands under the business, including Lurpak and Puck, brought in significant value, with total branded revenue going up by 6.9 per cent to around £6.12bn, which was due to the fair price points amid inflation, according to the business.

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Peder Tuborgh, CEO of Arla Foods, said: “It is in volatile times like these that our strategy truly proves its worth. We are seeing a natural market cycle where high milk production brings prices down across the sector.

“While the abrupt increase creates challenges, our business stands on strong pillars. The combination of our brands, our efficiency, and a standout year for our ingredients business has allowed us to deliver a competitive result for our owners.”

Moving forward, the business expects that the volatile market conditions are set to continue in the New Year.

Arla forecasted a branded volume-driven revenue growth within the range of 1 per cent to 3 per cent, while group revenue is expected to be between around £11.6bn and £12.3bn.

The business predicts that net profit will remain within the target range of 2.8 per cent to 3.2 per cent.