Nespresso coffee pod sales in the UK increased 7% to reach £308.2m in 2021 | Photo credit: Studio 74

Nespresso coffee pod sales were a key driver of growth for Nestlé's UK business in 2021 as more consumers continued to work from home. 

The Swiss group's UK division posted 13% revenue growth to £2bn ($2.2bn) in the 12 months to 31 December 2021, with Nespresso coffee pod sales increasing 7% to reach £308m ($332m). 

However, the company said its profits, which increased 4.4% to reach £124.8m ($134m), had been adversely impacted by rising costs, primarily by supply chain costs increasing due to Brexit.

Increasing commodity costs and inflation to remain headwinds for its 2022 fiscal year, Nestlé UK added. 

“We are pleased that our strong brands helped Nestlé UK to withstand considerable headwinds in 2021 as can be seen in the increase in turnover. However, cost pressures continue to grow and this has meant a very small increase in operating profit,” said a Nestlé UK spokesperson. 
 

In March 2022, Nestlé highlighted the importance of coffee for its overall business in its 2021 annual report. The Swiss food and beverage giant said its coffee products, including Nescafé, Starbucks, Nespresso, and Milo plant-based beverages, achieved sales of CHF 24bn ($25.7bn) in 2021, representing 27.5% of the company’s total sales.   

Nestlé’s global Nespresso business reported a 2% sales increase to CHF 1.6bn ($1.7bn) for the first three months of 2022.  

Nespresso announced its B Corp certification in April 2022 which the Swiss coffee pod company said highlighted its ‘30-year commitment to sustainability, transparency and responsible business’.