Barry Callebaut Continues to Deliver
Barry Callebaut Group, the world’s leading manufacturer of high-quality chocolate and cocoa products, increased sales by 1.2% in local currencies and by 1.9% in SFr to SFr6.805 billion (€5.858 billion) for the year ended August 31, 2017, as a result of a good product mix, offset by lower cocoa bean and cocoa product prices. Sales volume rose by 4.4% to 1,914,311 tonnes, which is well above the global confectionery market growth rate of 0.1%.
Operating profit (EBIT) jumped by 22.3% in local currencies (+21.5% in SFr) to SFr488.2 million. Recurring operating profit, excluding a one-off effect of SFr18.1 million from acquisitions, increased by 17.8% in local currencies (+17.0% in SFr) to SFr470.1 million. Net profit for the year increased by 39.6% in local currencies to SFr302.9 million (+38.3% in SFR).
Barry Callebaut continued its geographic and footprint expansion during the year. In July 2017, the Swiss confectionery specialist announced the acquisition of D’Orsogna Dolciaria in Italy, thus expanding its value-adding Specialties & Decorations business and making Barry Callebaut a leading supplier of decoration and inclusion products in Western Europe. In September 2017, the company also announced the acquisition of Gertrude Hawk Ingredients in the US, adding specialized product know-how and product capabilities in the areas of shell moulding, panning, enrobing, and solutions for shaped inclusions and peanut butter chips. Barry Callebaut opened a new CHOCOLATE ACADEMYTM Center in Milan, relocated and upgraded its training academies in Mexico City and Mumbai, and redesigned the ones in Shanghai and Singapore.
Antoine de Saint-Affrique, chief executive of Barry Callebaut, says: “We will continue to deliver on our ‘smart growth’ strategy. A more supportive cocoa products market and slightly improving global demand for chocolate, together with the consistent execution of our strategy, give us confidence to extend our mid-term guidance to fiscal year 2018/19. We are targeting 4-6% volume growth, and EBIT above volume growth in local currencies on average for the 4-year period 2015/16 to 2018/19, barring any major unforeseen events.”
