KP Snacks Sees £100m Profit Surge Despite Cyber Attack

KP Snacks, the owner of popular brands such as Hula Hoops, McCoy’s, Terrell’s, KP Nuts, and Popchips, has reported an impressive surge in profits, reaching £93.7m in pre-tax profit for the 2023 financial year, up from £64.3m in 2022. Sales also increased significantly, rising to £626.7m from £546m over the same period.

The snacks manufacturer attributed its growth to strong pricing strategies, revenue management, cost-saving initiatives, and a robust brand mix, even in the face of challenging supply chain inflation and a cyber attack in 2022. The cyber attack had a notable impact on the business in the previous year but has since been effectively managed, aiding in the recovery.

The company also reported that its gross profit margin improved to 47.7%, bolstered by a combination of brand growth, manufacturing efficiencies, and hedging strategies that helped delay some inflationary pressures.

In addition to financial gains, KP Snacks is continuing its sustainability efforts, having recently eliminated over 100 tonnes of plastic packaging annually through new flow wrap equipment investments.