The Swiss chocolatier and confectionery company reported that operating profit (EBIT) increased by 15.5% year on year to CHF 744.6 million (€749.5 million).
This resulted in an EBIT margin of 15.0% (14.1% in 2021), while net income rose to CHF 569.7 million (€573.5 million), with return on sales of 11.5%.
Locations And Segments
The company's Europe segment generated sales of CHF 2.30 billion (€2.3 billion), which equates to organic growth of 5.3%.
Its North America segment generated sales of CHF 2.03 billion (€2 billion), corresponding to an organic growth of 15.7%.
Elsewhere, its 'Rest of the World' segment generated sales of CHF 646 million (€649.9 million), recording the strongest organic growth of any segment, of 16.6%.
Brazil, China and Japan all recorded double-digit growth rates.
High Inflation And Volatility
In a statement, Lindt & Sprüngli noted it is preparing for the fact that the current economic conditions – characterised by high inflation and volatility – will continue in most markets.
Nevertheless, the group says it is committed to its long-term strategy. In terms of its medium to long-term targets, it expects organic growth of 6% to 8% per annum, as well as an improvement in the operating margin ranging between 20 to 40 basis points per annum.
The group says increasing consumer footfall in shops and in travel retail, as well as improvements in the supply chain in North America, were the drivers of increased profitability in 2022.