Barry Callebaut
Note: This is a daily stock update and the information stands true as of 02/06/26, 09:00 CET
Company Update:
Barry Callebaut launched its new strategic action plan this morning, Focus for Growth, the first under new CEO Hein Schumacher. It is the full version of the plan previewed at H1, built around five growth priorities on top of stabilizing fundamentals:
- Global Accounts: unlocking growth with seven targeted global accounts, under CEO oversight
- Regional Food Manufacturers: restoring reliability and capturing growth in 10 priority markets (incl. emerging markets Brazil and Indonesia)
- Gourmet: accelerating in premium, with a sharper route-to-market, stronger brand/channel and improved availability
- Specialties: scaling select margin-accretive, technically differentiated solutions
- Cocoa powders : accelerating in premium, differentiated segments (black, low-fat, organic)
New mid-term guidance (assuming a GBP 3,000 bean price) :
- 2-4% volume growth
- mid-to-high single-digit recurring EBIT growth
- low-teens recurring PBT growth
- CHF 300-400m free cash flow
- Net debt/EBITDA recurring <2.0x
- ROIC 11-13%
- stable or increasing dividend, payout >35% (on recurring profit)
FY25/26 guidance reiterated :
volume -1% to -3% (positive growth in H2), recurring EBIT mid-teens decline (majority recovered at PBT), leverage <3.0x, subject to Middle East disruption.
Overall the growth-rate is broadly in line with the prior framework, with the group expecting near-term a gradual demand recovery and a return to 1-3% volume growth over the next 12-18 months.
Expert Opinion:
The new CEO is attempting to change the narrative from a company driven by volume and highly sensitive to raw ingredient inflation to a key premium B2B partner that focuses on profitability rather than volume. Very well. However the fact that they didn’t change any guidance for 25/26 is a disappointment. We are skeptical on the change of narrative as the business actually stays the same and it is a business where volumes is also a key factor for profitability Valuation isn’t cheap , trading on 24x current FY PE. We see no reason to rush in the name.
For daily updates, subscribe to our newsletter and for detailed information, reach out to us at sales@alphavalue.eu
The new CEO is attempting to change the narrative from a company driven by volume and highly sensitive to raw ingredient inflation to a key premium B2B partner that focuses on profitability rather than volume. Very well. However the fact that they didn’t change any guidance for 25/26 is a disappointment. We are skeptical on the change of narrative as the business actually stays the same and it is a business where volumes is also a key factor for profitability Valuation isn’t cheap , trading on 24x current FY PE. We see no reason to rush in the name.
For daily updates, subscribe to our newsletter and for detailed information, reach out to us at sales@alphavalue.eu
Subscribe to our blog
