Lindt & Sprüngli reports double-digit sales growth

Net income improved by 36.2% to CHF 138.4 m.

Given the ongoing high free cash flow and the strong balance sheet, Lindt & Sprüngli initiates a new buyback program for registered shares and participation certificates of CHF 1 bn. In the segment Europe, Lindt & Sprüngli achieved organic sales growth of 9.1% to CHF 980.1 m. The core markets Germany and Italy reached double-digit sales growth thanks to the good Easter business. The Swiss market and the smaller subsidiaries in Austria, Central Eastern Europe, Poland, and Benelux also recorded good sales growth.

The North America region recorded a double-digit organic sales increase of 15.2% to CHF 739.1 m. The Lindt companies in the USA and Canada as well as Ghirardelli are standing out, as they grew at an above-average rate. Russell Stover, on the other hand, was able to keep sales around previous year’s levels. The North American market thus became the absolute strongest growth driver for the company, and Lindt & Sprüngli further expanded its leading position as premium manufacturer in the world’s largest chocolate market.

The segment Rest of the World increased sales organically by 16.9% to CHF 272.5 m. Noteworthy are the companies in Japan, China, Brazil, and the duty-free business, all of which posted good double-digit sales growth. The duty-free business benefited from the renewed rise in worldwide passenger traffic at airports and was able to increase sales accordingly with an attractive range of products.

For the full year 2022, Lindt & Sprüngli expects organic sales growth in the range of 8 – 10% (previously 6 – 8%) with an operating profit margin of around 15%. These assumptions are based on expectations that the present geopolitical tensions will not increase further and that the existing supply chain bottlenecks will improve slightly in the second half of the year.