Barry Callebaut AG
SIX:BARN

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Barry Callebaut AG
SIX:BARN
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Price: 1 258 CHF -2.18% Market Closed
Market Cap: 6.9B CHF

Barry Callebaut AG
Investor Relations

Nestled in the heart of Switzerland, Barry Callebaut AG stands as a formidable titan in the world of cocoa and chocolate manufacturing, weaving a legacy that blends traditional craftsmanship with cutting-edge innovation. This culinary powerhouse, born from the merger of Belgian chocolate maker Callebaut and French counterpart Cacao Barry, orchestrates a seamless symphony of chocolate production, from bean sourcing to final product delivery. By maintaining a vertically integrated supply chain, Barry Callebaut ensures the quality and consistency of its offerings, a critical component to cater not only to major food and beverage companies but also artisan chocolatiers around the world. This meticulously controlled process allows the company to uphold its promise of delivering superior chocolate products while capitalizing on the ever-rising global chocolate demand.

Yet, Barry Callebaut is not only about turning cacao into confections; it's a master at concocting profitability by engaging in value-added services. By offering customized solutions to its clients and leveraging its innovation center, the company aids its partners in developing tailored chocolate products, enhancing their market offerings. It also provides comprehensive services like training and technical support, ensuring clients can maximize the utility of Barry Callebaut's creations. Through its strategic focus on emerging consumer trends such as premiumization, health-conscious alternatives, and sustainability, the company taps into lucrative market segments, all while reinforcing its commitment to ethical sourcing. Thus, Barry Callebaut synthesizes its rich heritage with a progressive approach, crafting not just chocolate, but a sustained and robust business narrative.

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Last Earnings Call
Fiscal Period
Q2 2023
Call Date
Apr 5, 2023
AI Summary
Q2 2023

Profitability: Barry Callebaut delivered strong operating profit, with EBIT up 11% and net profit up 10.4% in local currencies for the half-year, despite challenging market conditions.

Volume Outlook: Sales volume declined 2.9% for the half-year, and management now expects flat to modest volume growth for the full year, revising down previous expectations for acceleration.

Mix & Pricing: Improved product mix, especially from specialty and value-added products, and successful price increases helped offset inflation and weaker demand.

Region Performance: EMEA recovered well, Americas lagged due to destocking and weaker demand, and Asia Pacific saw flat volumes but double-digit growth in China post-reopening.

Raw Materials: Cocoa bean prices rose, sugar prices surged in the EU, but dairy prices fell; cost-plus model largely protected profitability though working capital rose.

Leadership Change: New CEO Peter Feld affirmed commitment to company purpose and strategy but will take time before making changes; sustainability remains a core focus.

Key Financials
Operating Profit (EBIT)
CHF 348 million
Adjusted Free Cash Flow
CHF 71.2 million
Reported Free Cash Flow
-CHF 188 million
Return on Capital (ROC)
12.7%
Return on Equity (ROE)
16.1%
Combined Ratio
3.5x
Cocoa Bean Price
GBP 2,129 per ton (as of Feb 28, 2023)
EU Sugar Price Change
up 83.4%
World Sugar Price Change
up 5.3%
Dairy Price Change
down 6.1% (average vs prior year half-year period)
Interest and Income Taxes Paid
-CHF 88 million
Working Capital Increase
CHF 100 million
Adjusted Net Debt
CHF 368 million
Net Debt
CHF 1,581 million
Effective Tax Rate
18.7%
Earnings Call Recording
Other Earnings Calls
2023

Management

Mr. Peter Feld
Chief Executive Officer
No Bio Available
Mr. Peter Vanneste
Chief Financial Officer
No Bio Available

Contacts

Address
ZUERICH
Zurich
Westpark, Pfingstweidstrasse 60
Contacts