Barry Callebaut reports falling sales volume in Q1
Expects fullyear volumes to also fall as high cocoa prices weigh
Shares fall to the bottom of Europe39;s STOXX 600 index

Jan 22 Reuters Chocolate maker and cocoa processor Barry Callebaut reported a lower sales volume than expected for its first quarter on Wednesday, hit by delayed orders as its clients renegotiate product prices with retailers amid record high cocoa costs.

Its shares fell 4.3 by 0824 GMT to the bottom of Europe39;s benchmark STOXX 600 index. Vontobel analyst JeanPhilippe Bertschy said the company was facing a continued challenging situation, with the soaring raw material costs set to last.

The Switzerlandbased group, which supplies chocolate for Unilever39;s soontobespunoff Magnum ice creams and Nestle39;s KitKat bars, said its sales volume fell 2.7 to 565,000 tonnes in the quarter that ended on Nov. 30, below analysts39; forecast of 568,000 tonnes in a companyprovided consensus.

The company also expects its annual sales volume to fall by a low singledigit percentage, after previously forecasting flat cocoa sales volume for the year. It, however, reaffirmed its target for doubledigit growth in recurring operating profit on a constant currency basis.

Cocoa trades in London at around 9,240 pounds 11,379 per metric ton and analysts have said the chocolate industry is in for a rough 2025, faced with unprecedented cost of the raw material that will likely prompt further price hikes in a teens…