Amid weakening demand in key markets, the Lindt & Sprüngli Group has moved to revise its sales growth figures downwards from 4-6%, to a maximum of two per cent, reports Neill Barston.

The Swiss-based company cited consumer pushback on pricing of premium ranges that had led to poorer than expected sales in core territories including Germany, Switzerland and Austria.

Furthermore, the business also attributed ‘unprecedented’ heatwave conditions across Europe this summer as having a negative impact on the broader chocolate industry.

Despite the downward trend this month – which is the second forecast cut to its performance figures, according to reporting from the Global Banking & Finance Review. The latest figures released by the premium chocolatier, have consequently seen a reported drop in its shares to their lowest level since March 2021.

However, the company pointed to bright sparks in its operations, including launching its first ever retail store in India, based in New Delhi, with the wider Asian region said to be showing resilience for the business.

As the company explained, the latest addition to its stores is anticipated to generate notable interest. Located at 5 Worldmark in Aerocity, one of Delhi’s leading hospitality and business centers surrounded by luxury hotels, its presence amid a thriving retail hub points to the company’s broader ambitions within the region.

According to Lindt, the group said it was ‘confident of achieving positive growth in 2027’ through investing in brand awareness, and adjusting its price strategy. Moreover, it asserted there was also positive momentum for its US operations, and stated its outlook for 2028 was also encouraging.

The business said it would also institute a series of cost savings which would contribute a positive impact, along with the fact cocoa prices have dropped from peak comparative highs at the start of 2025, which saw futures markets in New York and London trade cocoa at $12,000 a tonne, with that figure now around the $5,000 mark.

Adalbert Lechner, Group CEO of Lindt & Sprüngli reflected on the latest guidance issued by the company.

He commented: “Necessary price increases due to historically high cocoa prices in recent years, and subdued consumer sentiment led to weaker-than-expected order volumes in certain European markets, particularly in seasonal businesses. An unprecedented heatwave this summer additionally weighed on sales in Europe. While Germany, Switzerland, and Austria have been particularly affected by weaker demand, the Group has experienced robust performance in key markets including North America and Asia.

“As cocoa prices have eased from historical highs, we expect cost pressure to gradually normalize in the coming months. We are confident that our adjusted pricing strategy, increased brand investments, innovations, and ongoing cost savings will materialize, and that demand will improve, contributing to a positive volume growth in 2027. This will be supported by our strong balance sheet and ongoing robust free cash flow generation.”