Quorn’s parent company, Marlow Foods, reports significant financial losses amidst a downturn in the plant-based market.
- Sales fell by 6.9% to £205m, prompting a restructuring and job cuts at Marlow Foods.
- The company’s workforce decreased as it sought to manage costs in a challenging economic climate.
- Inflation and rising costs for energy and ingredients are cited as contributing factors to the financial loss.
- Despite industry struggles, confidence remains in Quorn’s innovative mycoprotein technology.
Quorn’s parent company, Marlow Foods, has reported a dramatic £63m loss as sales declined by 6.9% to £205m in the last financial year. This financial downturn triggered a substantial restructuring programme, resulting in the loss of nearly 100 jobs. The company attributes these changes to a broader decline in the popularity of veganism across the United Kingdom.
Sales of Quorn products across retailers dropped 8.6% in the 12 months leading to December 2023, reflecting a continuous trend of decreasing demand for plant-based alternatives. This downturn is symptomatic of a larger issue in the plant-based industry, shown by the collapse of other brands like Meatless Farm and VBites into administration.
The decline has been exacerbated by inflation and rising costs for energy and ingredients, putting additional pressure on both consumers and producers. Marlow Foods’ CEO, Marco Bertacca, noted the challenging market environment, stating, “Twenty twenty-three was a challenging year where high inflation and interest rates continued to put pressure on consumers and on the cost of producing our great food.”
Efforts to control costs resulted in a decrease in Marlow Foods’ overall workforce from 934 to 874 last year. Despite these challenges, the company has attempted to maintain affordability, though this strategy led to financial losses.
Despite the financial struggles, Marco Bertacca is optimistic about Quorn’s future, emphasising the potential of its mycoprotein technology. He highlighted, “We truly believe that there’s nothing quite like mycoprotein. Fungi and fermentation can be the protein solution the planet needs.” This perspective is key as the company navigates the turbulent market conditions.
Marlow Foods remains hopeful about the future despite current challenges, focusing on innovative solutions like mycoprotein.
