Arla’ Board of Representatives decided on a supplementary payment of 2.2 EUR-cent/kg of milk to be paid to farmer owners for milk supplied in 2025.
A total of 296 million euros – the highest amount ever – will be paid from Arla’s net profit to farmer owners as supplementary payment, following a decision by the Board of Representatives at their meeting.
The decision is in line with the Board of Directors’ proposal and was voted for with 180 votes in favor and 0 votes against.
“I am very pleased that the Board of Representatives have decided to pay out the highest supplementary payment ever to our farmer owners, demonstrating Arla’s financial strength and stability. The payment is part of delivering a competitive return to our farmers to support them in continuing to develop their farms, invest in sustainability and continue local food production, says Jan Toft Nørgaard, Chair of Arla.
The supplementary payment corresponds to 2.2 eurocent/kg milk (1.81 GBP/kg milk), including interest on individual contributed capital.
Retainment amounts to 0.87 eurocent/kg (0.83 GPB/kg milk), split between 0.31 eurocent/kg (0.27 GBP/kg milk) as individual capital and 0.56 eurocent/kg (0.49 GBP/kg milk) as common capital.
The amount is adjusted for interest on contributed capital and the effect of some farmer owners having reached the ceiling for individual capital.
**Half-year payment in September **
The payment is well above the guaranteed level defined in Arla’s retainment policy; 1.5 eurocent/kg, provided a net profit of at least 2.8%, and a total retainment (individual and common) of maximum 1.0 eurocent/kg.
In September 2025, an interim supplementary payment was made corresponding to 1 eurocent/kg milk delivered in the first six months of the year. On the total milk volume for the year, this corresponds to 0.5 eurocent/kg milk.
The remaining 1.58 eurocent/kg milk, together with interest on individual capital instruments corresponding to an amount of 0.11 eurocent/kg milk, will be paid out in March 2026.
