Lindt & Sprüngli (LISN) investor relations material

Executive summary

• Achieved record half-year sales of CHF 2.35–2.4 billion, with 11.2% organic growth, surpassing guidance, led by Europe and premium products.

• EBIT margin reached 11%, in line with guidance, despite higher cocoa costs; net income margin was 8%.

• Dubai Style Chocolate contributed 1–2% of sales, expanding brand reach and driving growth among younger consumers.

• Opened new flagship stores, including the first UK location; global retail division grew 22.1%.

• Recognized as a top global chocolate brand in 2025, reflecting strong brand equity.

Financial highlights

• Free cash flow was negative CHF 80 million, mainly due to higher inventory values from cocoa price increases.

• Net debt increased to CHF 1.4 billion, driven by inventory build and shareholder returns; equity ratio improved to 55–56%.

• Price increases averaged 15.8% across markets, offsetting a volume mix decline of -4.6%.

• Material costs rose to 33.3% of sales, up 170 bps from 2024, driven by cocoa prices.

• Personnel and operating expenses as a percentage of sales decreased, reflecting efficiency gains.

Outlook and guidance

• Raised full-year 2025 organic sales growth guidance to 9–11%; EBIT margin increase expected at lower end of 20–40 bps.

• Medium-term targets: 6–8% organic sales growth and 20–40 bps annual EBIT margin improvement.

• CapEx to remain around 6% of sales; tax rate expected at 22–24%.

• Anticipates accelerated growth in North America and Rest of World in H2, with Europe growth moderating.

• Price increases in H2 will have a low single digit incremental effect.