Slimfast suffers as dieters turn to Ozempic

Slimfast manufactures meal replacements and protein shakes, as well as other supplements. Credit: Martin Lee/Alamy Stock Photo

Slimfast has experienced a drop in sales as dieters turn to blockbuster drugs like Ozempic to lose weight.

Consumption of Slimfast meal replacement shakes in the US dropped by a third from May to July, according to new data from owner Glanbia.

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This comes amid a surge in demand for weight loss drugs, many of which have taken the diet food market by storm.

Ozempic, an over-the-counter drug for people with type 2 diabetes, is a weekly injection made by the Danish pharmaceutical giant Novo Nordisk.

This is the best-known of the new drugs.

Boris Johnson has admitted to taking a hit that is reportedly widely used in Hollywood.

However, a host of competitors have emerged, creating a market valued at $100 billion a year. by the mid-2030s.

Mark Garvey, CFO of Glanbia, said drugs have already had a significant impact on the US market.

He said: “When it comes to weight management, then this category is certainly questionable. You see more drugs for weight control, which affects the sector.”

Slimfast's latest drop in sales follows a 17% decline in the same period last year.

Despite declining popularity, meal replacement still makes up 11 percent of Glanbia's sports nutrition division.

< p>The Irish company, which also makes protein shakes and other supplements, plans to prioritize investment in its sports nutrition and healthy lifestyle brands amid troubles in the diet food market.

This comes after Glanbia posted a profit of $214 million in the first half, up from $158 million a year earlier. This came despite a 10% drop in revenue to $2.8 billion as the company stepped up its cost-cutting efforts.

The company raised its guidance for the full year and adjusted earnings per share are now expected to rise by 12%. and 15%.

Glanbia boss Siobhan Talbot also announced plans to step down after ten years at the helm. Hugh McGuire, currently head of the food business, will become chief executive in January.

Ms Talbot said: “I am delighted to report that Glanbia's results for the first half successfully coped with the continuing volatility of global market conditions.

«Strong operational performance, continued demand for our finest brands and nutritional ingredients, and the exceptional commitment of our people have contributed to this.»