Lindt & Sprüngli reaches sales of 4 billion Swiss francs for first time | Progresiv

For the first time in its history of almost 175 years, Lindt & Sprüngli achieved sales worth 4 billion Swiss francs (3.43 billion euros). Besides gaining significant shares in almost all markets, Lindt & Sprüngli once again grew faster than the overall chocolate market. Given the challenging conditions, such as largely saturated chocolate markets, a changing retail landscape and growing pressure on prices, this represents a good performance. The results achieved in Europe and the Rest of the World segment are particularly worth mentioning, as is the development of the Group's own retail network, which continues apace and reached sales worth half a billion for the first time. Despite weaker results in the USA, Lindt & Sprüngli remains on track in the world's largest chocolate market and during the last financial year set the foundation for further profitable growth.

Group sales in 2017 amounted to 4.088 billion Swiss francs, equivalent to a +4.8% increase in Swiss francs. 2017 saw a degree of fluctuation in terms of currency trends. This resulted in a positive currency translation effect on the consolidated results - mainly due to a stronger euro. The organic sales growth of Lindt & Sprüngli was with +3.7% below the range of the long-term strategic growth target due to the modest growth of the US companies. Excluding Russell Stover, Lindt & Sprüngli achieved +5.9% organic sales growth and underlines that the business remains in a strong position.

Lindt & Sprüngli generated good results in EUROPE, where it achieved organic sales growth of +6.2%. This result is a great achievement, with Lindt & Sprüngli once again delivering above-average growth and gaining market share in already saturated markets. Lindt performed particularly well in the United Kingdom, Germany and Switzerland. France and Italy showed a positive sales growth development and almost all the smaller subsidiaries accomplished double-digit growth.

Global Retail achieved an important milestone for the first time by recording sales worth half a billion. In 2017, the Group's operating margin is expected to increase within the long-term strategic target range. Moreover, Lindt & Sprüngli confirms its mid- to long-term strategic sales growth target of 6-8% and the improvement of its operating margin by 20-40 basis points. (www.4-traders.com)