(Reuters) – Barry Callebaut reported on Wednesday half-year sales volumes generally unchanged compared to the previous year, in line with its annual forecasts, which the Swiss chocolatier also reiterated.
The rise in cocoa prices and the inflationary environment benefited turnover which increased by 11%, well above the 5.7% expected by analysts.
This information reassures investors despite the fall in operating profit in the first half.
At 08:15 GMT, Barry Callebaut shares rose 7.6% on the Zurich Stock Exchange.
Operating profit (Ebit) fell 40% to 178 million Swiss francs (181.55 million euros) in the six months to the end of February, while analysts had expected 266 million Swiss francs, according to a consensus compiled by the company.
According to Jean-Philippe Bertschy, analyst at Vontobel, the volumes are reassuring given the significant increase in the price of the raw material.
Cocoa is currently trading at a higher price than copper.
Barry Callebaut also reported a lower-than-expected second-half operating profit as the group recorded exceptional expenses related to restructuring costs, while indicating in a statement that its plan is proceeding as planned.
Entitled BC Next Level and announced in September 2023, this plan aims to reduce the group’s annual costs by 250 million Swiss francs.
Despite the fragility of the situation and the negative trajectory of cash flow, “it seems that the organization is digesting the recent flow of negative news and adopting the Next Level strategic roadmap”, specified Jean-Philippe Bertschy.
(Reporting Paolo Laudani and Mateusz Dobrzyniewski, Augustin Turpin and Alban Kacher, editing by Kate Entringer)
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