Confectionery firm Lindt & Sprüngli has posted a group sales increase of 3.1% to CHF 1.55 billion in the first half of its financial year.
The group posted organic growth of 3.6%, and if the 'strategic realignment' of its US-based Russell Stover business is excluded, organic growth was +6.6%. The company posted a 5.7% increase in net profit for the period, to CHF 76.3 million.
Consumer Sentiment
'In the first half-year, Lindt & Sprüngli was once again confronted with stagnating or slow-growing chocolate markets, especially in its most important market, North America, and consumer sentiment that remained largely restrained,' the company said in a statement.
'Thanks to numerous innovations and excellent point-of-sale presentations, the seasonal business performed very well in the first half-year. Lindt & Sprüngli is once again growing faster than the chocolate market as a whole and was able to gain important market shares.'
Europe Performance
The group's European business generated sales of CHF 759.8 million, which represents organic growth of 6.0%. Its Swiss market recorded 'positive' sales results, while Germany and the UK were 'very good' according the company.
In Austria and Spain, sales increases were 'in the high single-digit and even double-digit range,' it said. 'Also noteworthy are the positive developments in the recently developed markets, such as the subsidiaries in Russia, Poland and the Czech Republic, which are showing great promise and strong growth rates.'
Lindt & Sprüngli opened 20 retail outlets in the first half of the year, in 'attractive premium shopping locations' in Japan, Canada, and Europe, bringing its store count worldwide to 390 stores.
© 2017 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: The European Supermarket Magazine.
