Swiss chocolate manufacturer Lindt managed further growth in the first half of 2016, but also warns for a weaker North American and Swiss market.
Discounter pressure
Over the first half of 2016, Lindt Group’s turnover grew 6.6 % to 1.5 billion Swiss francs (1.4 billion euro). Organically, growth would have reached 4.4 %, while net profit grew 11.1 % to 72.2 million Swiss francs (67 million euro).
Despite the positive results, Lindt now warns for possible problems in the near future. It already has to deal with high resource prices and it feels the markets in Europe and North America are stagnant. Swiss numbers were not as positive, because an increasing number of consumers travels across the border to buy items, while its retail partners face more competition from discounters. North American turnover represents nearly 50 % of Lindt’s total turnover, but it only managed a 0.8 % organic turnover growth.
By 2020, Lindt aims to become the global market leader in the “premium chocolate retail” market. To that end, it will open 65 new stores, leading to nearly 400 stores in total.
