For the financial year, pre-tax operating profit fell to £2.6 million, down from £4.5m in 2024. However, turnover remained steady at £154.9m, rising slightly from £153.4m the previous year.

Managing director Robert Graham attributed the squeezed margins to inflationary pressures across the supply chain. “During the year, the farm gate milk price increased from 36 pence per litre in April 2024 to 40 pence per litre in March 2025,” he explained. He also cited price hikes from ingredient and packaging suppliers, alongside the largest recent increase in the National Living Wage.

“We made the decision not to pass all of these increased costs onto our customers but instead to absorb what was feasible,” Mr Graham stated, noting that while net profit decreased, the business remains profitable with strong targeted growth ahead.

Despite the financial headwinds, the Stirlingshire-based firm continued its aggressive capital investment programme. A further £3.2 million was reinvested into modernising manufacturing sites in Nairn and Cowdenbeath, following investments of £5m in 2024 and £8.4m in 2023.

The dairy has also successfully capitalised on consumer trends. It recorded its largest-ever increase in demand for Jersey and organic milk, necessitating the recruitment of new Jersey farmers. Furthermore, the company has expanded its cottage cheese production, driven by viral social media recipes, and launched a new protein ice cream range.

These innovations have secured new distribution deals with premium retailers including Waitrose, Sainsbury’s, and Booths. Additionally, the brand has bolstered its modern appeal through the company’s 85-year-old Dr Graham, who has cultivated a loyal following on his own TikTok channel.