Lindt&Sprüngli attaches and adjusts growth target

Lindt&Sprüngli, said goodbye to its long-term growth target. In the medium to long term the chocolate group expects an organic revenue growth of 5 to 7 percent instead of the previously 6 to 8 percent. In the past financial year, Lindt&Sprüngli has grown out of its own power by 5.1 percent.

Overall, the group sold for 4,31 billion Swiss francs, Lindor truffles, chocolate bars and pralines. Compared to the previous year in the reporting currency, Swiss francs, an increase of 5.5 percent, as Lindt announced on Tuesday. Analysts have expected sales development in this order of magnitude. The news Agency Reuters interviewed experts (AWP-consensus) charged with a turnover of 4.33 billion Swiss francs and organic growth of 5.1 percent.

Actually, the group is accustomed to a faster pace. The bar has been a growth of 6 to 8 percent. In the last two years, these long-term targets could not be met, however. It harzte especially in the key market of USA, where the chocolate manufacturer with declining sales of its subsidiary Russell Stover fights.

To create impulse purchases,

to make the Premium chocolate manufacturer but also the changes in buying behaviour: As consumers pay more attention to how healthy foods are, and swear by sweets. In addition, they also buy more often online, where you will be less tempted to impulse purchases of chocolate. The market environment have proven to be as difficult, wrote to Lindt now.

In Europe and the United States are saturated, the chocolate markets and increasing price pressure, change the retail landscape. However, the premium waxes chocolate market as a whole continues to be - Lindt&Sprüngli could benefit. With the new objective of 5 to 7 percent growth, Lindt will continue to grow in all the markets above average.

Clear growth in China

last year, Lindt&Sprüngli was able to, especially in the regions of Europe and the "Rest of the world". In Europe, sales body increased by 5.6 percent. The group leads in the communication on the acquisition of new market share: the European chocolate markets were largely stagnant and even declining growth.

a Particularly positive sales, according to the communication from the United Kingdom, Germany, Austria, and Spain. In addition, managed all of the Eastern European subsidiary to increase sales by double digits.

A brisk growth Lindt put in the Rest of the world. With a Plus of 10.3 percent in 2018, the Segment will always be important for the group, wrote to Lindt. Strong growth spurts of the group's sales, especially in Japan, South Africa, Brazil and China.

sales of the Lindt stores boosted beyond. These are grown according to the figures in the double digits. Meanwhile, the chocolate manufacturers, operates 460 own stores in the world - alone 2018 50 stores had been opened.

Russell Stover shrinks

Slowly, however, it ran for Lindt to continue in the North America Region (Nafta). The organic growth was 2.8 percent. The market is stagnant and is marked by price pressures, Lindt. The brands Lindt USA and Ghirardelli had grown faster than the market. The problem child of Russell Stover, sales shrank again slightly.

Lindt is hoped here, however, in the medium term an improvement. The new target will be supported by a higher growth in the Nafta Region, it was said in the Outlook. The profit Lindt maintains the previous target. The EBIT margin is expected to improve every year, between 20 and 40 basis points. This goal was in accordance with the reached communication even in 2018. More information about the winning numbers, the group is known, but, as always, a little later, this year it is on 5. March to the extent. (nlu/sda)

Created: 15.01.2019, 09:27 PM