The Irish cooperative Ornua has significantly increased its profits thanks to strong sales of the Kerrygold brand and the expansion of its product portfolio. According to Dairy Reporter, the company has managed to strengthen its position even in a volatile market.
The Irish dairy cooperative Ornua has recorded a nearly 50% increase in net profit, as its flagship Kerrygold butter brand has reached a significant commercial milestone. The group’s total turnover, operating profit and EBITDA also rose, with Ornua paying €1.87 billion to its members, including €74.3 million in premiums and bonuses.
Kerrygold exceeded $1 billion in US retail sales for the first time, thanks to innovations in formats and an expanded product range, whilst Ornua expanded the Kerrygold portfolio by adding 16 new products and variants worldwide. This included new butter blends, cheese sticks, an expanded cream cheese range and flavoured butter sticks.
Kerrygold’s success is based on its premium positioning and the benefits of Irish milk from grass-fed cows. In the US, the brand is the second-best-selling branded butter and continues to increase its penetration into households. The Kerrygold portfolio is also performing strongly in other key markets, including the UK, where the brand ranks second among branded butters, as well as Germany and Ireland, where it is the market leader in branded butter.
Building on Kerrygold’s strengths and reputation is a key strategic focus for the cooperative, alongside the sale of dairy ingredients to manufacturers and the catering sector, as well as investments in efficiency, infrastructure and staff.
Ornua’s financial results for the 2025 financial year:
– Group turnover: €3.45 billion (up 1.6% year-on-year)
– EBITDA (before Ornua Value Payment): €171.4 million (up 3.6%)
– Operating profit: €136.6 million (up 4.7%)- Net profit (after tax): €34.1 million (up approximately 50% compared to 2024)
– Net debt: €163.1 million (2024: €86.1 million)
– Net assets: €779.0 million (a slight decrease year-on-year)
– Working capital financing for members: €481.5 million
– Milk purchases from members: over €1.8 billion
In addition to Kerrygold’s retail sales in the US and globally, Ornua reported that its dairy ingredients business and foodservice sector also contributed to the strong financial results.
The company’s bespoke dairy solutions, including specialist cheeses, have ensured steady demand, whilst the cooperative has also benefited from geographical diversification across the US, Europe and the Middle East, enabling it to smooth out fluctuations in demand and offset the volatility of the consumer market through its B2B operations.
With global milk production on the rise since the end of the third quarter of 2025, Ornua noted that farmers “have felt the impact of this volatility, as well as uncertainty surrounding regulatory changes and unpredictable weather conditions”.
“Given the very real challenges farmers have faced and continue to face, Ornua’s priority has been to support their long-term viability through robust value creation,” the cooperative said in a statement.
Global milk production rose sharply in 2025, with supply exceeding demand throughout the year, which affected commodity prices and put downward pressure on milk purchase prices. Ornua utilised financial support mechanisms, such as working capital financing and cost reimbursements, to partially offset the pressure on producers.
Global milk production is expected to slow in the second half of the year — and even turn negative in Europe — but Ornua warns of short-term uncertainty due to geopolitical tensions, trade disruptions and volatility in energy markets.
CEO Conor Galvin noted that the cooperative is continuing to implement its five-year growth plan, which aims to strengthen Ornua’s leadership in the premium dairy segment, as well as to enhance operational discipline and global integration.
Source: Dairy Reporter
