Finance
Lindt's price hikes hit volumes even as European sales boost outlook
Published by Global Banking & Finance Review®
Posted on July 22, 2025
3 min readLast updated: January 22, 2026
Global Banking & Finance Review®
Company
Published by Global Banking & Finance Review®
Posted on July 22, 2025
3 min readLast updated: January 22, 2026
Lindt raised its growth forecast due to strong European sales, but price hikes affected volumes. North American sales lagged, impacting profits.
By Amir Orusov and Simon Ferdinand Eibach
(Reuters) -Lindt & Sprüngli raised its organic growth forecast on Tuesday, aided by strong sales in Europe, but its shares tumbled as steep hikes in chocolate prices struck half-year volumes.
Despite this, CEO Adalbert Lechner said the maker of Lindor chocolate balls planned to raise prices again next year, albeit not as much as in 2025.
Shoppers continued to bear the brunt of high cocoa prices in the first half of the year as Lindt raised prices of its products by 15.8%. Its organic sales grew 11.2% in the period.
"Organic growth was exceptionally strong in Europe but relatively weak in North America. Assuming similar ... cocoa-price driven pricing in all regions, one wonders on the volume development in North America," analysts from Baader Helvea said in a note.
While Europe recorded organic growth of 17.7% in the first half, a weak consumer sentiment in North America weighed on sales there, resulting in just 3.6% growth.
The premium chocolate maker's shares fell around 7% by midday local time, on track for their biggest single-day drop since March 2020.
Lindt expects market growth in North America to accelerate in the second half of 2025, boosted by stronger orders, some of which it has already booked, Lechner told analysts in a conference call.
However, sales growth in Europe will likely normalize compared to the past six months, he added.
The company now expects organic growth of 9-11% this year, after previously guiding for 7-9%.
Lower volumes and high cocoa costs also weighed on its earnings, with half-year operating profit falling 11% to 259.2 million Swiss francs ($325.2 million), below market expectations based on LSEG data.
London cocoa futures have nearly halved after reaching record highs in 2024, but remain clearly above the historical average.
Lindt continues to evaluate its global sourcing strategy ahead of the expected imposition of new U.S. tariffs on August 1, a company spokesperson told Reuters.
It had said in March it would supply chocolate made in Europe to Canada to avoid reciprocal tariffs on U.S. goods, but later said it had not adapted the strategy yet.
Lindt produces 95% of the chocolates it sells in the U.S. at its five factories in the country, which also supply less than half of the products sold in Canada.
($1 = 0.7970 Swiss francs)
(Reporting by Amir Orusov and Simon Ferdinand Eibach in Gdansk, additional reporting by Anastasiia Kozlova and Anna Pruchnicka; editing by Milla Nissi-Prussak)
Lindt now expects organic growth of 9-11% this year, up from the previous guidance of 7-9%.
Despite strong sales in Europe, Lindt's price hikes led to a decline in half-year volumes, causing shares to tumble.
Lindt anticipates market growth in North America to accelerate in the second half of 2025, supported by stronger orders.
High cocoa prices have pressured Lindt's earnings, with operating profit falling 11% to 259.2 million Swiss francs in the first half.
Lindt is evaluating its global sourcing strategy ahead of expected new U.S. tariffs and has considered supplying chocolate made in Europe to Canada.
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