UK chocolatier Thorntons suffers more losses, despite store closures

Losses at Thorntons, one of the UK’s biggest high street chocolatiers, have increased by over £7m ($8.8m), according to its latest figures.

Owned by Ferrero, Thorntons went further into the red with a deficit of £38.3m in the year to August 31, compared with £31.1m the previous year.

A Ferrero spokesperson told ConfectioneryNews: “We are proud of the long-term investment we are making in Thorntons. Since Ferrero acquired Thorntons in 2015, we have invested £30m to develop the Thorntons business in manufacturing, retail, e-commerce and our integration systems and continue to do so. We continue to be committed to transforming Thorntons and ensure we maintain and grow the iconic and much-loved brand.”​

After rolling out a string of store closures and restructuring, the company was hit by £2.3m in one-off costs and sales also fell by 3.3% to just under £140m, partly attributed to the decline in the UK’s high streets in general.

“Our newly remastered Thorntons Continental range has grown in the last two years by 17.8%. Overall, we can see clear indications that our business is rebuilding and consumer love for the brand remains as strong,” ​the spokesperson said.​

“The latest financial results continue to reflect the consolidation of the Thorntons relationship with major retail customers with that of Ferrero UK Ltd, a challenging retail environment, together with a continuing and significant financial investment in the reshaping of different areas of the business. Thorntons is a valuable part of the UK business, and the results reflect our strong commitment to its continued growth.”​

Thorntons was founded in 1911 by Joseph William Thornton and has 121 stores across the UK.