Barry Callebaut falls on concerns over high cocoa prices weighing on FCF

Barry Callebaut falls on concerns over high cocoa prices weighing on FCF

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Barry Callebaut falls on concerns over high cocoa prices weighing on FCF

BUZZ-Barry Callebaut falls on concerns over high cocoa prices weighing on FCF

** Shares in Swiss chocolate maker Barry Callebaut BARN.S fall 9%, with analysts pointing to concerns over record-high cocoa prices impacting its free cash flow (FCF)

** “The market realizes that the high cocoa bean price is having a significant impact on the free cash flow and the financing costs,” Vontobel analyst Jean-Philippe Bertschy says

** Cocoa bean prices were 131% higher in the September 2023 – May 2024 period than in the previous comparable period, according to the London terminal market prices

** Barry’s chocolate sales volumes fell 0.3% in its third quarter ended in May, while in Eastern Europe they dropped by 7%

** If losses hold, the stock will see its worst day since November 2015; it is at the bottom of pan-European STOXX 600 index .STOXX

** Peer Lindt & Spruenlgi LISN.S slips around 2%

($1 = 0.8986 Swiss francs)

Reporting by Andrey Sychev

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