The Danish dairy group, based in North Jutland, ended the financial year with revenue growth, but a result that fell short of management’s own expectations. A surplus of milk at the group’s dairies and weaker demand on several export markets were among the contributing factors.

Nordex Food, a Danish dairy group headquartered in Dronninglund in North Jutland and operating dairies in Denmark, Austria and Romania, lifted revenue by more than DKK 200 million last year to DKK 3.3 billion, according to Danish trade media FødevareWatch.

The growth was driven primarily by generally high price levels for dairy products globally, the outlet reports. At the same time, the high prices led several consumers on export markets to cut back on cheese consumption or change their dietary habits, which weighed on the company’s expectations for sales volumes in 2025. Sales to the Middle East in particular were challenged in terms of revenue throughout the year.

Milk surplus and fraud case weighed on the accounts
The weak sales volumes coincided with rising milk deliveries to the group’s Danish, Austrian and Romanian dairies, which according to FødevareWatch created a significant surplus of milk. Operating profit nevertheless doubled to DKK 30.9 million, and the bottom line ended at a profit of DKK 10.4 million, compared with a loss of DKK 7.9 million the year before. According to the outlet, management described the result as unsatisfactory relative to the expectations set at the start of the year.

The result was further affected by a one-off cost relating to a fraud case at one of the group’s foreign sales subsidiaries.

Expects significantly improved result in 2026
For 2026, Nordex Food expects a pre-tax result of DKK 40-50 million, driven by increased sales volumes and lower average prices. However, management points to considerable uncertainty stemming from cost inflation and consumer reactions to continued instability in the Middle East. According to FødevareWatch, the group’s current strategy period, “Solid25”, has been extended to strengthen the company’s development in key areas.

By Maja Løvstrup
Photo: Colourbox