Lindt & Sprungli confirms its forecast after a good half
Lindt & Sprungli has increased its net profit in the first half but remains cautious for the year 2010 because of the volatile commodity prices and foreign exchange.
Net income was posted at 24.8 million francs (18.8 million euros) in the first half, almost tenfold from 2.7 million achieved a year earlier, said Tuesday the Swiss chocolate.
Analysts polled by Reuters on average expected 20.4 million.
"Despite the excellent results of the first half of 2010, Lindt & Sprungli sticks to what it was made public in March 2010, the company said in a statement, citing an economic environment not yet fully consolidated and conditions still volatile.
It confirms expected this year organic growth of 5% to 7% and operating profit (EBIT) of 300 to 340 million francs.
The EBIT after exceptionals jumped by 40.7% in the first half, to 33.9 million francs, against 26.8 million expected by the market.Turnover increased 7.9% to 1056.6 million (against 1.043 million expected), after 979 million in the first half of 2009.
In value terms, the group notes that most of the chocolate market grew moderately in the first half, while in terms of volumes, it continues to see a certain stagnation.
During a conference call, CEO Ernst Tanner said the group wanted to resume its long term objectives in 2011 and expected that commodity prices remain relatively flat next year.
In exchange, after advertising the entry form Lindt progressed from 1.39% to 2,410 francs and the share value took 3.3% to 27,580 francs, while the broader index fell by 1% SPI.