Annual results Ausnutria 2024
Ausnutria Dairy Corporation Ltd. (Ausnutria) has published its annual results for 2024. The results, including currency differences, show a revenue growth of € 50 million (year-on-year 5%) to € 980 million. The operating result (EBITDA) increased substantially by € 20.7 million to € 80.5 million.
The core business of Ausnutria is infant nutrition under its own brand. Changing market conditions in China, including the declining birth rate and significantly increased local competition, have tempered overall growth in this market for several years. The own brand Kabrita, goat milk-based infant nutrition, showed positive development. Kabrita’s revenue in the main market, China, grew by 5.3% and outside China by 68.2%, compared to 2023. The development outside China is mainly driven by market positions in the US and the Middle East (United Arab Emirates and Saudi Arabia).
Reassessment of Business Strategy
The year 2024 was further marked by reorganizations, efficiency improvements, and cost reductions due to changing market conditions. Additionally, Ausnutria’s production location in Ommen was taken over by IkWilEerlijkeZuivel.nl. This company focuses on processing milk from farmers in Natura 2000 areas, an initiative that aligns ecologically and sustainably with government policy.
Part of Ausnutria’s new business strategy and a contributing factor is the new factory in Heerenveen, which will start commercial production mid-2025. This state-of-the-art and fully electric factory will play an important role in achieving efficiency and cost reduction for the production of baby and infant nutrition.
Broader Dairy Enterprise
The development into a broader dairy enterprise is also part of the new strategy. Richard Hickson, CEO, stated: “In addition to growth in goat milk-based infant formula, we must and want to develop more sales opportunities for the valorization of our goat milk. Supply and demand for goat milk are currently not entirely balanced. We continue to engage with our suppliers to achieve constructive cooperation for the future. Goat milk is a wonderful product and offers many opportunities for product innovations. Its easy digestibility and high nutritional value play a role in this. The development of new markets and products requires significant investment in time and resources.”
The acquisition of Amalthea in 2024 fits within Ausnutria’s strategy to develop into a broader dairy enterprise specializing in goat milk. In 2022, Ausnutria acquired a 50% stake in cheese producer Amalthea. Following this, the parties reached an agreement last year to expand this stake to 100%. The transaction has now been completed.
Bart van der Meer, Executive Director, commented: “Our core activity remains the production of goat milk-based baby and infant nutrition. We are the global market leader and have a strong position in China. We are confident that the challenging market conditions in China will stabilize in the coming years and that we will expand our sales outside China.”