Lactalis: A Global Leader in the Dairy Industry

Headquartered in Laval, Mayenne, France, Lactalis stands as the world's largest dairy company. Its extensive operations include over 260 factories that distribute a wide range of products to more than 90 countries worldwide.

Financial Performance

In 2024, Lactalis reached a significant revenue milestone of €30.3 billion. Despite experiencing a 19% decline in net profits due to a substantial tax settlement in France, the company demonstrated strong financial resilience, maintaining its leadership position in the market.

Important Company Events

• Colombian Expansion: Strategic investments expanded Lactalis' influence in the region, enhancing local employment and economic growth.
• Southern Germany Acquisition: The acquisition of BMI dairy assets fortified its position in this key European market.
• South African Ventures: Expanded in Africa through the purchase of the Cremora creamer business from Nestlé.
• U.S. Market Expansion: Acquisition of General Mills' U.S. yogurt business strengthened operations in North America.
• Investment in Brazil: €55.3 million invested to upgrade facilities in Paraná and Minas Gerais.
• Queijos Tavares Acquisition: On May 5, 2025, expanded cheese manufacturing capabilities by acquiring Portugal's Queijos Tavares.
• Potential Plant Closure: Considerations to close the Cardona plant could impact around 150 jobs, prompting discussions on restructuring operations.
• Controversies: Allegations of questionable pricing practices in Galicia drew regulatory attention.
• Price Adjustments: Milk prices were raised by 1.5 cents per liter to a new base of 42.5 cents in response to European market conditions.
• Fonterra Acquisition: Progress in acquiring Fonterra's consumer brands, including Anchor and Mainland, strengthens presence in Oceania.
• Contract Violations: Faced a fine of $950,000 for contract violations, highlighting the importance of regulatory compliance.

Company Plans

Lactalis is focused on global expansion, market penetration, and product diversification. The company is pursuing eco-friendly packaging innovations and integrating AI and Big Data to improve efficiency, particularly in its Spanish and Australian operations. The proposal to acquire Fonterra's assets underscores its commitment to strengthening its global presence.

Leadership

Under the leadership of CEO Emmanuel Besnier, Lactalis aims for continuous growth and maintains its competitive edge in the global dairy industry. José Sáez serves as the General Manager of Purchases and Supplies at Lactalis in Spain and Portugal. Strategic decisions, such as reducing French milk processing by 450 million liters, indicate a shift towards higher-margin consumer products like cheese and yogurt.

Lactalis is recognized as one of Australia's top dairy processors. Along with Saputo and Fonterra, it generated significant operating revenue in Australia during 2023-24, despite the financial challenges facing local dairy farmers. The capital return to Fonterra's farmer shareholders follows the expected completion of the sale of its consumer unit to Lactalis, pending regulatory approvals. Additionally, the acquisition of ProViva, a Swedish probiotic brand, along with the Österlenmejeriet factory, marks another strategic expansion for Lactalis.

Lactalis is a major player in the dairy industry, involved in a legal dispute over underpaying employee profit bonuses. The company is accused of misrepresenting profits, potentially impacting bonuses by hundreds of millions of euros. It is a privately-owned entity headed by chairman Emmanuel Besnier, with revenues exceeding €30 billion.

Modified: 2025/12/02