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The Lindt & Sprüngli Group once again recorded pleasing double-digit organic growth to CHF 5.20 billion. All geographical segments had significant growth, with Europe maintaining its position as the largest region by sales value. Once again, North America showed strong development across all subsidiaries – including Russell Stover, which celebrated its 100th anniversary in 2023. The “Rest of the World” growth markets segment also confirmed its substantial future potential. The success is particularly noteworthy in the Global Retail organization, where significant growth was achieved in both physical and digital Lindt Shops.
The financial year 2023 was – once again – very challenging. While the effects of the Covid crisis have largely faded into the background, the ongoing war in Ukraine and the new geopolitical trouble spots have led to stubborn inflation, coupled with persistently depressed consumer sentiment in many countries. The Swiss franc also strengthened further against important currencies, which was reflected in the annual financial statements. On top of this, cocoa prices also rose to historic highs due to the global shortage of cocoa beans. Weather conditions and plant diseases played a major role here. The procurement measures introduced in the previous year had a positive impact. Despite this challenging environment, we achieved Group sales of CHF 5.20 billion, which corresponds to organic growth of 10.3%.
In all regions, the key franchise Lindor, the largest brand in our range, continues to record impressive sales figures and double-digit organic growth. A visit from friends, family celebrations at important seasonal events such as Easter and Christmas, or the personal presentation of a small thank-you gift are all occasions on which our exquisite Lindor pralines in their exclusive gift packaging are frequently favored. We have thus succeeded a thousand times over in adding a unique, sweet touch to a special moment and bringing a little joy into the day-to-day lives of many consumers.
Compared with the strong growth of previous years, the Excellence line developed solidly with an already strong market share in the category. We continue to see the trend in several markets in consumption of dark chocolate with a high cocoa content.
Seasonal sales increased significantly. These have been a driving force behind sales growth. Both at Easter and at Christmas, our products – from the Lindt Gold Bunny to the Lindor Truffle – were in demand to delight friends and family with something special. Sales across all distribution channels developed very well. Sales in the Global Retail area show that consumers value the personal contact, the wide selection of gifting options, and the brand experience in the exclusive Lindt Shops. At the same time, the online channels are also doing well.
Employees in procurement, production and logistics made a significant contribution to the success of the past year. Rising raw material prices and inflation-related cost increases were partially offset by gains in efficiency. The market prices for cocoa beans have risen massively, meaning that sales prices have had to be adapted. Our results show that consumers have accepted price increases for their favorite chocolate and have remained loyal to our brands.