Volume growth for Barry Callebaut
In its latest financial report, Barry Callebaut has reported that its sales figures for the last nine months of the 2015/16 Fiscal Year show steady volume growth.
Specifically, sales volume growth was up 4.2%, sales revenue was up 11.4% in local currencies (fuelled by a better product mix and higher ingredient prices), and strong growth in chocolate was supported by all geographic regions and segments.
Antoine de Saint-Affrique, CEO of the Barry Callebaut Group, says: “Our sales volume continued its strong growth in the third quarter of the current fiscal year. Our chocolate business performed particularly well, despite still sluggish demand for chocolate confectionery. At the same time, we continued to phase out less profitable contracts in the cocoa business. All our key growth drivers contributed to the good volume momentum.”
Looking ahead to prospects and challenges expected in the near future, Saint-Affrique adds: “As anticipated at the beginning of the fiscal year, the market conditions remain challenging in the short-term. In that context, we will continue to reduce sales of cocoa products to third parties by phasing out less profitable cocoa agreements, which is impacting short-term growth. Overall, and looking into the next fiscal year, we have a healthy portfolio. Based on the disciplined focus on our ‘smart growth’ approach – i.e. a balance between volume growth, enhanced profitability and free cash flow generation – we confirm our mid-term guidance”.
– Further details will appear in the August 2016 edition of Kennedy’s Confection.