Cider maker Thatchers toasts success despite ‘unprecedented economic challenges’
Sales at historic cider maker Thatchers increased despite the company facing “unprecedented economic challenges” during its latest financial year.
The Somerset-based business, which was established in 1904, has reported a turnover of £175.2m for the year to August 31, 2023, up from £155.5m.
Newly-filed accounts with Companies House also show Thatchers made a pre-tax profit of £15.6m, down slightly from £16.8m.
The business is currently run by the fourth generation of the Thatchers family and is chaired by Martin Thatcher.
During the year dividends of £7m were paid out, the same as in 2022, while the average number of people employed by Thatchers increased from 221 to 253.
The company, which is the second largest cider maker in the UK, sells its products throughout the UK and in more than 25 countries.
A statement signed off by the board said: “The company continued to face unprecedented economic challenges during the year, with all aspects of the business impacted by inflationary cost pressures including rising energy prices, raw materials costs, transport, storage and wage growth.
“However, mindful of the cost-of-living crisis affecting the spending power of the British public, which has been exacerbated by increased taxation on alcoholic drinks, Thatchers has worked hard to limit the impact on its customers and where possible absorbed a significant proportion of those costs.”
Thatchers’ turnover from the sale of cider increased in the year from £153m to £172.4m while its turnover from fruit processing went up from £2.4m to £2.8m.
The business added: “The directors believe the company is well positioned to manage continuing difficult market conditions with an emphasis on the production of premium ciders to the highest quality standards.
“The strategic direction of the company is regularly assessed by the directors to ensure it remains aligned with market and consumer expectations.
“The directors recognise Thatchers has a strong market position and will continue to invest in the company’s growth across on and off trade as well as export.”
The accounts come after a judge ruled that Aldi did not infringe on Thatchers’ trademark with its cider lemon drink.
Thatchers launched legal action against Aldi back in September 2022 over its cloudy lemon cider.
The company claimed that the German food store infringed on its trademarks by creating and selling its Taurus drink that was a cloudy cider lemon.
Thatchers launched its canned cloudy lemon cider product in February 2020 while Aldi created its own Taurus in May 2022.