Swiss chocolate maker Barry Callebaut has posted net profit for the first nine-months of fiscal 2005/06 ended 31 May of CHF126m (US$100.98m), up 23.8% from the CHF101.8m reported for the same period last year. Operating profit (EBIT) increased by 14.6% to CHF215.6m for the current fiscal year, up from CHF188.1m in the prior year.
Go deeper with GlobalData
Consolidated sales volumes were practically unchanged from the previous year, increasing 0.1%. Sales revenue increased 8.7%, including above average cocoa bean sales on the second quarter – excluding this, sales revenue increased by 4.4%. Sales in the third quarter showed greater growth compared to the second and first quarters, increasing by 3.8% in volume and 9.5% in revenues.
Increased revenues across all units, the company said, drove profitability along with cost reductions facilitated by the successful completion of a restructuring process at the consumer products Europe business.
Growth in sales revenues was boosted by positive currency transactions. However these were partly offset by slightly lower underlying cocoa bean prices.
Patrick De Maeseneire, CEO of Barry Callebaut, said: “I am very pleased with the strong third quarter results, which show positive developments in terms of volumes, revenue and profitability. The turnaround in the European consumer business has been achieved. As we pointed out at the end of the first semester, we see the effects of this year’s late Easter confirmed with some sales being shifted from the second to the third quarter in the food manufacturers and consumer products business units.”
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataBarry Callebaut announced the adoption of a new organisational structure with a regional focus, effective from the beginning of September.
The group also confirmed its three-year financial targets to 2007, stating that it is targeting average organic top-line growth of between 3% and 5%, EBIT growth of around 10% and net profit growth of 12-15%.
