Barry Callebaut sells more chocolate despite surge in cocoa prices

(Reuters) -Swiss chocolate maker Barry Callebaut reported on Thursday slightly higher sales volumes during the nine months ended May despite a surge in cocoa prices putting pressure on demand.

Barry Callebaut’s nine-month sales volume grew by 0.4% to 1.71 million tonnes, as expected by analysts.

Sales revenue jumped by 23.1% to 7.32 billion Swiss francs ($8.14 billion), the company said in a statement.

May’s cocoa grind in Ivory Coast, the world’s top cocoa producer, fell by 30% year-on-year to 43,628 metric tons, driving cocoa prices up, data from exporter association GEPEX showed in June.

Climate change, years of insufficient planning and tree diseases have created a perfect storm for farmers in Western Africa, a region which accounts for roughly 70% of global cocoa supplies.

The Zurich-based company, which supplies chocolate for a range of producers including industry leaders such as Unilever (LON:) and Nestle, said sales volumes were down 0.3% in the third quarter.

Barry Callebaut confirmed its full-year 2023/24 guidance of flat volume and flat EBIT growth in a “highly challenging supply and demand environment”, according to the statement.

($1 = 0.8991 Swiss francs)