Canned tuna brand John West has fallen into the red for the first time since 2010 after reversing a failed decision to pass on price rises to its customers.
The Liverpool-headquartered business has reported a pre-tax loss of £6.7m for 2023, having reported a profit of £2m in 2022.
The last time John West posted a pre-tax loss was the £1.1m it fell to in the nine months to the end of 2010.
Newly-filed accounts with Companies House have also revealed that the firm’s turnover rose from £128.2m to £134.5m in 2023.
John West’s 2022 turnover was the lowest it had recorded since 1999 after the food brand’s attempt to raise prices to combat the rise in global commodity costs backfired.
During its latest financial year, the company said it took the decision not to pass on all the inflation-linked price rises to its customers.
John West attempts to keep prices down
A statement signed off by the board said: “Turnover increased by 4.9 per cent linked to recovering some of the global commodity increases seen across 2023.
“Gross profit decreased greater than revenue when compared to 2022, decreasing to 9.1 per cent (2022: 17.6 per cent) of sales.
“The decrease in gross profit was linked to the strategic decision not to pass all the inflation on linked to the global commodity increases to protect customer numbers and market share.”
The business was founded in 1857 and produces canned salmon and tuna, as well as mackerel, sardine, herring, brisling, anchovies and shellfish.
It is currently owned by Thai Union Group of Thailand after being acquired in 2010.