Barry Callebaut, the Swiss group and world leader in the production of chocolate and cocoa products, closed the 2025/26 fiscal year with revenues of 12,19 billion Swiss francs, a decrease of 17,6% compared to 14,79 billion the previous year. At constant exchange rates, the decrease was 15,2%, primarily due to lower sales prices linked to cocoa bean prices.
Overall volumes stood at 2,11 million tons, down 0,7%, but the fourth quarter saw 5,7% growth, marking the second consecutive quarter of recovery. This performance outperformed the global confectionery chocolate market, which contracted 4,3% according to Nielsen data.
Recurring operating profit fell 15,6% to 594 million francs, while net profit stood at 157,7 million francs, a decrease of 16,3%. The Global Chocolate segment recorded a 0,5% decline in volume, while Global Cocoa declined 1,8%, but recovered in the second half of the year.
The Asia-Pacific, Middle East, and Africa region performed particularly well, with volumes growing 9,8%, driven primarily by India, China, and Australia. Western Europe recorded a 0,2% increase, while North America suffered a 6,1% decline. The Gourmet segment closed the year with volumes up 0,8%, thanks primarily to a 13,6% increase in the final quarter.
One of the most significant elements of the balance sheet concerns the financial position. Free cash flow reached 2,01 billion francs, compared to a negative 312 million francs in the previous year, allowing for a 42,5% reduction in net debt, from 4,3 billion francs to 2,47 billion francs.
On the commodity front, Barry Callebaut reports that average cocoa bean prices decreased by 44% compared to the previous year, thanks to improved global supply and the recovery of production in West Africa and Latin America. Sugar prices also recorded an average decrease of 14%.
Meanwhile, the group continues to implement its Focus for Growth strategic plan, which includes investments in production, innovation, and the rationalization of its industrial network. An expansion of the Canadian plant in Brantford and the construction of a new production site in Karawang, Indonesia, have been approved, while the closures of the plants in Hendersonville, USA, and Chester, UK, are planned.
On the commercial front, Barry Callebaut announced the evolution of its historic relationship with Hershey, whose current agreement will expire at the end of 2027. The transition will have an estimated negative impact of 1% on volumes next year. A 15-year strategic agreement has also been signed with Mondelēz International to develop new cocoa cultivation models in Brazil.
"The results for the 2025/26 financial year demonstrate initial progress, including a return to volume growth in the second half of the year, strong cash generation, and a significant reduction in debt," said CEO Hein Schumacher, emphasizing the company's desire to focus resources on higher-value segments and customers.
For the 2026/27 financial year, Barry Callebaut expects volume growth of between 1% and 3%, an increase in recurring operating profit of between 3% and 5%, and an improvement in recurring pre-tax profit of approximately 30% at constant exchange rates. Finally, the Board of Directors will propose an unchanged dividend of CHF 29 per share.
