Farmer-owned Mole Valley Farmers (MVF) has reported a positive full year operating profit, after two years of operating losses, but interest charges have pushed the business into a pre-tax loss.
The MVF Group has reported an operating profit of £529,000 on revenues of £555.78 million in the year ended 30th September 2025, compared to an operating loss of £5.26m on revenues of £558.8m in the prior year. At the pre-tax level, the latest year saw a loss of £2.77m, down from the pre-tax loss of £8.93m in 2023/24. Total Group equity stood at £34.28 on 30th September 2025, from £38.09m a year earlier. There will be no shareholder bonus this year, to allow more reinvestment into company infrastructure.
Group chief executive Jack Cordery says the progress is deeply encouraging, stressing the ongoing transformation is part of a journey toward long-term sustainable profitability. Strategic actions over the past two years have driven the improved performance, including a sharpened focus on cost control, productivity and operational efficiency. Operating costs were reduced by £3.7m or 4.7%, with reductions in working capital and customer debt in the last year, despite the inflationary environment.
The Group’s Agriculture division had revenues of £297.45m in 2024/25, which saw over 950,000 tonnes of feed manufactured – a 13.2% increase over recent years. The company plans significant investment at its Dorchester and Huntsham feed mills in the current year to lift productivity and output while maintaining quality and competitiveness.
Growth was helped by the leasing of the ABN mill at Uffculme since September 2023, now dedicated to organic production, and the agreement in 2025 to import feed materials through Cattedown Wharves at Plymouth, plus arrangements at Appledore near Barnstaple.
“By importing raw materials directly from manufacturers, we have reduced reliance on intermediaries, improved pricing stability and increased our ability to manage supply fluctuations,” noted Mr Cordery. “The availability of quayside storage has also enabled us to buffer supply at critical points in the year, reducing risk during peak demand periods or global uncertainty.”
The MVF Retail division, comprising 47 rural stores, saw revenues fall by 3.6% to £231.61m in the latest full year, from £240.6m in the previous year. The company says the hot, dry summer of 2025 depressed sales, but feed and supplements sold through the network were up by 2% and 6% respectively, animal medicines by 2.5% and milk replacers by 6%.
The Group has accelerated the adoption of digital technologies across its manufacturing, retail and logistics operations. Artificial Intelligence (AI) tools are now automating routine administrative tasks, enabling compay staff to concentrate on higher value work. Investment in enhancing customer ordering platforms, logistics systems and stock management have also delivered improvements in efficiency and customer experience.
“The decisive measures already taken have strengthened resilience and improved overall performance,” says Mr Cordery. “Our teams have worked tirelessly to streamline operations without compromising quality or service. This strengthened financial foundation puts us in a far better position as we look ahead.”
Looking ahead, he believes the business enters the 2025/26 year in a far stronger position, despite ongoing cost pressures including National Insurance increases, National Living Wage adjustments, persistent inflation and now the conflict in the Middle East.
“Our operational model is designed to deliver value to our farmer shareholders, members and customers through competitive pricing, reliable supply chains and long-term investment in the sectors we serve, he concludes. “We are proud of the progress made this year. There is more to do but the foundations we have put in place give us every confidence for the future.”