Increase in prices eroding consumer interest in Lindt chocolate from Switzerland
In the face of a significant increase in cocoa prices, Swiss chocolate giant Lindt & Sprüngli, renowned for its Lindor pralines and gold chocolate Easter bunnies, has successfully navigated the market challenges, posting impressive organic sales growth in the first half of 2025.
The company's sales growth, excluding the effect of changing currency values, stood at a robust 11.2 percent, with total sales reaching CHF 2.35 billion (approximately 2.35 billion Swiss francs). This growth was achieved despite a moderate decline in sales volume of 4.6 percent and a 15.8 percent increase in product prices.
Lindt's operating profit (EBIT) also rose to CHF 259.2 million, maintaining an EBIT margin of 11.0 percent, in line with expectations despite volatile market conditions and record-high cocoa costs. The company's net profit for the first half of the year, however, decreased by 13.3 percent to 189 million francs.
To mitigate the impact of the cocoa cost increase, Lindt implemented a strategic approach that included product innovation and cost-cutting efforts. These measures have more than offset the impact of the price hikes, resulting in strong organic sales growth and profitability.
In a statement, the company's CEO, Adalbert Lechner, expressed resilience in a challenging market, stating, "We are pleased with our strong organic sales growth and profitability despite the volatile market conditions. Our consumers continue to show loyalty to our brands, and we remain committed to delivering high-quality products."
In light of these positive results, Lindt has raised its full-year organic sales growth guidance from 7–9 percent to 9–11 percent, reflecting confidence in its brand resilience and consumer loyalty amid the challenging market environment caused by increased raw material costs.
With these strategies in place, Lindt & Sprüngli continues to demonstrate its adaptability and strength in the global chocolate market.
The strategic approach implemented by Lindt & Sprüngli, including product innovation and cost-cutting efforts, has offset the impact of increased cocoa costs, resulting in strong organic sales growth and profitability.
Amid challenging market conditions caused by increased raw material costs, Lindt has raised its full-year organic sales growth guidance from 7–9 percent to 9–11 percent, demonstrating confidence in its brand resilience and consumer loyalty.