Member Article

Newcastle’s Ringtons sets sights on South coast

As Ringtons reports turnover of over £50m for the first time in its 108 year history, the North East business confirms a £3m expansion at its Tyneside factory and ambitious growth plans for its franchise business on the south coast of England.

The £3m expansion at Ringtons’ factory at Balliol Business Park is part of a £10m reinvestment made by the company over a three year period and work is due for completion by October this year.

In addition, employment at the family business has grown by 55 to 515 in the past three years with this figure set to increase by the end of 2015.

In a year where turnover for the family business rose by 6% to £50.1m and trading profits improved to £3.8m, the business has committed itself to developing its franchise business all along the south coast.

The company operates five established franchise vans along the south coast and will add six new ones this year in Devon, Somerset and Dorset. Jon Malton the Managing Director of the Brand Division confirmed aims to establish a further 30 franchisees over the next five years.

Referring to the factory development Managing Director of the Production Division Colin Smith said: “We are half way through our £3m expansion at the Ringtons factory at Balliol Park in North Tyneside which will see the building almost double in size.

“The work will not only give additional production and warehouse space for an ever growing tea business, but it will allow for the relocation and development of our coffee roasting and processing facility. This move will support recent growth of our coffee business and create a production space capable of significant expansion in this fast growing market.

“Although Ringtons’ prime product is likely to continue to be tea – our factory produces enough tea each week for 60 million cups – we have always had our own roasted coffee and we will now target the wider coffee market where we expect significant volume growth in the years ahead. Facilities and office areas for the team at the factory will also be improved through the expansion at Balliol.”

Nigel Smith Group Chairman added: “These results have given us the confidence to continue to invest a substantial part of our profits in developing business opportunities further. These results have been achieved due to our loyal and focused workforce who are exceptional. Because we are a 100 year old family business we are also able to benefit from the ability to plan long-term.”