Gousto in major expansion as it takes on Hellofresh
Recipe kit provider Gousto has revealed plans to expand into the Republic of Ireland and create new jobs as it ramps up competition with Hellofresh.
The company said the move will add more than 30 jobs in 2025 across management, marketing, food, supply chain and fulfilment.
Gousto, which joins Hellofresh in operating in the Republic of Ireland, added that more roles will be created as the business scales in the country.
The company said that, at launch, more than one third of ingredients will be sourced from the island of Ireland.
‘Next natural step’ for Gousto
Gousto founder Timo Boldt said: “Our research reveals Irish consumers are highly engaged in health but until now this has not been reflected in dinner choices across the country.
“We aim to fill this gap in the market, with an inspiring range of nutritious, fresh, home-cooked recipes, which make healthy eating simple.”
He added: “Launching into the Republic of Ireland was the natural next step following our successful expansion into Northern Ireland.
“We will deliver to the nation’s 1.8 million households an unrivalled recipe choice, expanding their cooking repertoire with simple to create dishes from around the world, exceptional value, combined with the convenience to make cooking from scratch the obvious choice, all backed up by local fulfilment and local sourcing.”
Return to profit after huge job cuts
The expansion comes after Gousto said in September 2023 that it was on track to return to profit during that financial year.
However, accounts published in October 2024 revealed that the company had failed to do so but had slashed its pre-tax loss from £157.5m to £75.6m.
In 2022, Gousto cut its headcount from 1,750 to 1,416.
In a trading update issued in May 2024, the business declared it was now profitable but declined to reveal exact figures.
Its next set of full accounts are not due to be filed with Companies House until the end of September this year.
Since inception Gousto has raised nearly $350m (£276.8m) in equity from global investors including SoftBank and Fidelity International.
In recent years, meal box companies in the UK have been contracting following huge growth after they first launched.
In September 2024, CityAM reported that the UK arm of Hellofresh significantly cut its pre-tax loss as its turnover edged closer to the £500m mark and it cut 15 per cent of its workforce.
The last time the UK arm of Hellofresh made a pre-tax profit was the £8m it reported in 2020. Since then it has lost almost £50m.
A month later, it was revealed that Hellofresh was planning to close one of its major UK sites in a move which has put 900 jobs at risk.