Oatly shifts focus to functional fiber beverages to spur turnaround

Oatly is positioning itself as a functional beverage brand by expanding into fiber drinks, Food Dive reported. The company aims to address the fiber gap by utilizing the natural fiber content of oats rather than competing solely as a dairy substitute. [1]

Chief Operating Officer Daniel Ordonez stated during an earnings call that the fiber range represents a natural evolution for the brand. He added that the business relies on more than 30 years of oat research. [1]

Oatly manufactures products including its Original Oatmilk and Barista Edition using oats, water, added vitamins, minerals, and enzymes. The company recorded 823.7 million dollars in revenue in 2024 following global expansion across Europe and North America. It completed an initial public offering on Nasdaq in 2021 at a valuation of approximately 10 billion dollars. [3]

The strategic transition comes as plant-based manufacturers seek new growth drivers amid competitive market pressures. Oatly intends to use functional health positioning to improve its financial performance. [1][3]