Last week Arla published its half-year results, which were in line with expectations, showing a net profit of EUR 158 million and a competitive Arla performance price of 57.5-euro cents per kilo.

In the first half of 2025, Arla Foods marked this milestone by delivering results in line with expectations in a volatile market. Building on a quarter-century of collaboration and resilience, Arla Foods achieved a net profit of EUR 158 million and a competitive performance price of 57.5 EUR-cent/kg. Revenue for the period was EUR 7.5 billion. Based on this performance, the Board of Directors has decided to make a half-year supplementary payment of 1 EUR-cent/kg milk based on the half-year milk volumes.

• As we mark our 25th anniversary, Arla Food’s ability to maintain a solid performance in a volatile market clearly demonstrates the strength of our cooperative model and the dedication of our farmer-owners and colleagues. Our performance in the first half of 2025 reflects our ongoing commitment to healthy, sustainable dairy and to creating value for all those who depend on Arla Foods,” says Peder Tuborgh, CEO of Arla Foods.

Geopolitical uncertainty and higher prices created a more challenging market in the first half of 2025. This led to a 1.5 percent decline in Arla Foods’ branded sales compared to the first half of 2024, but Arla expects the situation to improve in the second half. As a result, the outlook for branded sales growth has been raised to -0.5–0.5% for the full year. Revenue is now expected in the range of EUR 14.7–15.2 billion, and the profit margin is still anticipated to remain within the target range of 2.8–3.2%.

The half-year report also highlights several key developments that had a particularly positive impact on the results. These include the successful integration of Volac Whey Nutrition in the UK; investments in UHT milk production in the UK; expansion of cream cheese production capacity in Holstebro, Denmark; an investment in Linköping, Sweden; and an expansion of processed cheese-in-glass production capacity in Bahrain. Total investments for the year are expected to be in the range of EUR 650–700 million, excluding mergers and acquisitions.

The most significant decision of the half-year is the planned merger with Germany’s DMK Group, which is expected to be completed in the first half of 2026.

“The merger will open new opportunities for innovation, strengthen resilience, and create greater efficiency in a global dairy market that is constantly evolving. By combining our strengths and expertise, Arla Foods and DMK are well positioned to face future challenges and support the long-term development of the European dairy industry,” says Peder Tuborgh.

Read Arla’s full press release HERE.