One of the UK’s largest egg producers and packers, Oaklands Farm Eggs, has reported flat turnover but sharply lower profits in its latest financial results, after a year dominated by avian influenza disruption and volatile market conditions.
For the year ended 31 March 2025, the company recorded turnover of £116.45 million, up marginally by 0.5%, but operating profit fell by 37% to £8.6m, largely due to the financial impact of an avian influenza outbreak early in 2025.
In January 2025, avian influenza was confirmed at the company’s main farm, triggering, large-scale culling and a shutdown of the site.
Although government compensation covered the stock valuation of culled birds, Oaklands still incurred net exceptional costs of £2.17m, which were recorded separately in the accounts.
The company said the figures did not fully reflect the management time, operational disruption and commercial impact caused by the outbreak.
Despite the difficult year, Oaklands completed a major cage-free conversion programme, creating capacity for 1.4 million cage-free birds.
Directors said the business is committed to offering all four legal egg production systems – colony, barn, free range and organic – to maintain flexibility and meet varying customer requirements during ongoing economic pressures.
The company highlighted continued pressure from volatile feed, fuel and packaging costs, driven partly by global market instability and geopolitical uncertainty affecting wheat and soya markets.
Packaging supply remains challenging, with all egg packaging sourced from the EU, creating pricing volatility and supply chain risk.
Management said strategic changes in customer mix, alongside rising demand across discounters, retailers, wholesalers and foodservice, helped to tighten the market during the second half of the year, improving egg prices and restoring sustainability.
The company added that post year-end trading has been strong, with pricing improving to more sustainable levels and long-term customer partnerships strengthening.
In December 2025, the business also completed the £17.4m acquisition of a new production property, funded largely through new long-term bank facilities, underlining continued confidence in future growth.