Haribo manufacturer sweetens its success by concentrating on exports

Haribo has further grown its profits and turnover by concentrating on exports through a “challenging” year in which the UK confectionery industry saw another fall in overall consumption.

Dunhills, the Pontefract-based manufacturer of Haribo and Maoam, this morning posted its annual results to December 31 2017 on Companies House. Its pre-tax profits rose to £21m on a turnover of £172m, up from the previous year when it reported £18.9m in pre-tax profits on a turnover of £166m.

Its turnover increase of £6.7m was attributed to a £5.1m increase in overseas sales. It said that the mix of an increase on overseas sales and wider product choice, which resulted in an increase in average price per kg, meant that the decline of the pound against the euro was largely offset.

The firm said: “2017 proved to be another challenging year for the UK confectionery industry as a whole as indicated by a 1.2% decrease in overall consumption following a 1.6% decline in 2016 and and 1.8% drop in 2015.”

It said retailers and manufacturers were moving to smaller pack formats and less aggressive promotions.

The firm added: “Looking ahead, we expect the uncertainties around Brexit to have a negative impact on the economy in general and on the level of disposable income consumers have in particular. Together with more and more consumers becoming involved in terms of the amount and kind of food and drinks they and their families consume, we expect the overall consumption of confectionery in the UK will continue to decline.”