Lotus achieves record profits

19/08/2016

Lotus Bakeries recorded historic growth in the first half of the year 2016. An increase in turnover of 31% and up to 256 million euros and a 53% growth of company profit of up to 43 million euros.

“Historic figures”, claims top man Jan Boone in a report. “This has never been seen before and we are of course extremely proud of it. The results during the first half of the year exceed all my expectations. I am particularly proud that we have continued growing so strongly with our core product, the ‘Lotus Biscoff biscuit' with which my grandfather started the business over 80 years ago." 

The growth in turnover is almost entirely due to the continued international growth of Lotus speculoos and Lotus speculoos spread and the contribution of Natural Foods and Urban Fresh Foods, two British companies that were taken over.

Lotus took over these manufacturers of natural and healthy snacks last year. They make fruit and nut-based snacks with no added sugar. The key products are the fruit bar Nakd and Bear fruit sweets. The turnover in these so-called 'natural foods' has grown by around 25% compared to last year.

In the United Kingdom Lotus is one of the biggest players with its 'snacks'. Together with the other bars Trek and Urban Fruit, Nakd and Bear are worth around 15% of Lotus's total turnover.

Having said that, the Lotus ‘basics’ are also steaming ahead - namely the speculoos biscuit and speculoos spread. America has grown to become the biggest market with an anticipated annual volume of around 1 billion biscuits out of a grand total of around 7 billion. Until two years ago Belgium - now in third place after France - was still the biggest market. There was also exponential growth in the Middle East. There, Lotus Biscoff  - the international brand name for Lotus speculoos, based on a combination of the words ‘Biscuits with coffee’ - is one of the very favourite flavours, according to Boone.

In order to handle this growth Lotus is going to build a factory in the United States, a planned investment of 35 million euros. “We are looking at a number of different American states for this factory,” says Boone. “We have received many interesting proposals and we are now looking to see which is the best location. In doing so we are taking into account accessibility, the presence of schooled employees and financial aid”. Boone hopes to make his final decision within the next couple of months. Initially the factory will concentrate entirely on the American market.

Meanwhile the factory back home in Lembeke is operating at full capacity. At the end of last year it was announced that 2 new production lines and a 3rd production hall are to be built. One line was taken into operation in July. The 2nd will be operational, together with the production hall, in March next year. Lotus is also starting to prepare for the installation of two new production lines in the waffle factory in Courcelles.