German chocolate maker Halloren has admitted profits in 2011 will only match last year’s level after “soaring” input costs offset record sales.
The company said “massive increases” in commodity prices weighed on earnings in a year in which sales grew 13%.
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“Soaring sugar prices and higher energy costs were a bitter downer in 2011,” CEO Klaus Lellé said on Thursday (27 January).
Halloren’s net income was EUR1.6m (US$2.1m) in 2010, up from EUR1.5m in 2009. The company plans to file its full financial results on 30 March.
Halloren’s net sales reached EUR70m in 2011. The company said the 13% increase was the sixth year in a row in which its sales increased at a double-digit rate.
“The entire range and breadth of the business supported the very good growth in sales,” Lellé said.
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By GlobalDataThis week, at the ISM confectionery industry exhibition in Cologne, Halloren plans to present a range of new products, including those sold under a licensing deal with Playboy. The company will also reveal a new “contemporary” corporate logo.
Last month, Halloren said it had acquired full ownership of Dutch confectioner Steenland. The Gouda-based firm makes chocolate under licence for companies including Disney and makes 95% of its sales outside the Netherlands.
