In 2022, Tirlán accomplished a monumental feat by transitioning to a 100% farmer-owned business, and launching a new identity. According to Tirlán Chairman John Murphy, this year was remarkable due to the steady progress the company made through unprecedented volatility and inflationary increases in the cost of inputs at every stage of the supply chain. In its first year of operation, Tirlán has delivered record milk and grain prices.
With a strong financial performance, Tirlán successfully distributed a total value of €168 million among its members in the form of a spin-out of around 12 million Glanbia plc shares. Additionally, a dividend of over €6.5 million was paid to the farmer members. However, the company is not resting on its laurels, and is determined to continue delivering robust financial results for the benefit of all stakeholders.
The Ingredients category has been a major contributor to Tirlán’s commercial performance, delivering a revenue of €2.1 billion in 2022. Capitalising on global highs in dairy markets throughout much of the year, the company recorded sales of 423,000 tonnes of dairy products and ingredient solutions. It is notable that Tirlán has focused on tailored ingredient applications and expansion of its plant-based range.
Agribusiness achieved sales of €644 million, with over 491,000 tonnes of feed sold. With an exceptionally strong performance across its 52 branch network and field sales team, Tirlán is investing €11 million to upgrade its agri-branch network. However, in line with the marketplace, fertiliser sales volumes were down by 20% on the previous year due to high raw material costs and supply chain challenges.
Tirlán is the largest buyer and user of Irish grains, paying farmer members over €100 million. With an excellent harvest boosting grain intake to 290,000 tonnes, the company has focused on a specialised premium grains portfolio, delivering over €3 million in premium payments to growers.
In the international market, the Avonmore Professional range of UHT cream continues to win new customers in south-east Asia, particularly China and Vietnam. In the domestic and international consumer category, Tirlán’s award-winning brands such as Avonmore, Kilmeaden, Wexford, Premier, MyMilkman.ie, and Truly Grass Fed delivered a turnover of €365 million. However, a significant restructuring took place in 2022 to put the consumer category on a more solid footing with a firm focus on digital innovation.
The company remains focused on new product development, with recent launches including Avonmore Fibre Plus Milk and a new plant-based range of Avonmore Oat drinks. Despite the challenges posed by 2023, Tirlán is well-positioned to navigate these challenges, supporting its farmer members. The company continues to enhance its innovation capabilities through its new €15 million Innovation Centre and assess strategic opportunities for its €150 million Investment Fund.
Tirlán’s new five-year strategy, ‘Nourishing Ambition,’ is focused on adding value to its milk and grain pool. As a significant economic driver and employer in the south-east region, Tirlán is currently recruiting for over 130 positions, in addition to up to 40 graduate positions.
The company’s ambitious plans also include the construction of a €200 million continental cheese facility in south Kilkenny with its partners Royal A-Ware. This exciting new project provides Tirlán with access to new technologies and immediate markets. As Tirlán’s CEO Jim Bergin emphasizes, the company’s success is due to its committed employees and over 5,000 dedicated farm families at its core. Together, they are striving to achieve even greater success in the years ahead.
