Little Moons, the renowned mochi ice cream producer, has announced significant shifts in its production strategy, just months after its expansion.
Earlier this year, Little Moons opened a 50,000-square-foot facility in Kettering, which was heralded as a momentous development for the company. The new factory was intended to replace two existing plants in London, following a substantial increase in the company’s revenue. Sales for the brand saw an impressive jump from £25.5 million to £68.5 million within 18 months up to December 2022, driven by strong demand in major markets such as the UK, France, Germany, and Australia.
However, in a decision highlighting a change in course, Little Moons has opted to return its manufacturing operations to the two London sites, reversing its initial move to Kettering. According to a company spokesperson, this decision is part of a robust assessment aimed at ensuring operational efficiency and securing a stable and profitable future for the business. “This has resulted in proposed structural changes across the whole business: how we go to market, manufacture and support the business,” the spokesperson explained. Furthermore, this includes assessing the feasibility of shutting down the Kettering factory and consolidating operations back into the Park Royal and Wembley locations.
Such changes are anticipated to result in job losses. Employees impacted by these proposals have been notified and are undergoing a formal consultation process prior to any definitive actions being taken. The company has expressed an understanding of the uncertainty and the impact these developments may have on its team, committing to minimising redundancy risks by exploring options such as not filling vacant positions and offering staff opportunities to transition into new roles.
In terms of leadership, the company welcomed Joanna Allen as its new chief executive earlier in the year. Formerly the CEO of snack brand Graze, her appointment was described by Little Moons as occurring at an ‘important moment’ for the company.
Despite the current setbacks and strategic adjustments, Little Moons remains optimistic about its future. The company believes the proposed operational changes will lay the foundation for future success and growth, continuing to cater to its expanding markets.