Graham’s dairy sales grow to £86.5M in ‘excellent’ 2015
Pre-tax profit also rose to £1.6M over the past 12 months as a result of its commitment to quality and innovation, claimed the firm.
More than half the population of Scotland currently buy Graham’s products, produced at its Bridge of Allan site in Sterling.
The family-run dairy business had taken a “big step” towards its goal of becoming the dairy brand of choice, its marketing director Carol Graham said.
Sales growth
“Our range is delivered to over 6,000 customers, our sales have continued to grow and it was a particular highlight to become Scotland’s favourite dairy brand,” she said.
“To see our name up there with some of the country’s oldest and best-loved companies was a much-appreciated recognition of our hard work.”
Graham’s invested £5M at the Bridge of Allan site to boost its spreadable butter capacity and acquired First Milk’s Fife dairy for an undisclosed amount. It also splashed cash on a television commercial; cinema, print and outdoor advertising and an ice-cream event.
Graham's 2015 in numbers
- £86.6M of sales
- 1 Scottish dairy brand
- 3 overall Scottish brand
Source: Graham’s The Family Dairy/ Kantar Worldpanel
The spreadable butter brand is driving the business growth, with it up 76% year-on-year, the firm claimed. However, 96% of the spreadable butter market is currently non-Scottish.
The Fife acquisition would allow the business to expand into cottage cheese, quark and sour cream – key new products that will sit alongside Graham’s existing range of milk, cream, cheese, ice-cream, yogurt, gold range and butter.
There was also “significant” spend at the Nairn dairy from which Graham’s now produce a new range of yogurts, launched this year.
‘Excellent year’ and objectives ahead
The firm’s md Robert Graham despite having an “excellent year” the company would not become complacent.
Graham said it was “crazy” that so much dairy produce bought in the UK wasn’t from Scotland.
“Those sales don’t benefit our local farmers and the extra mileage is no good for the environment either,” he said.
“It makes much more sense to back Scottish businesses and so that message will form a critical part of our plans next year.
Graham’s was committed to delivering the “highest quality products” and boosting margins next year off the back of its recent investments, Graham added.
“As a proud Scottish company we are ambitious and have an eye to expanding our range across the UK and further afield, which will make for an interesting and exciting time in 2016,” he said.
The firm also committed to paying its employees the national living wage.
