Interim report Q1, 1 September - 30 November 2010; Third financial year starts with strong Christmas sales.
In the first quarter, which is the company’s seasonally strongest, sales of Cloetta’s products rose by 2% to SEK 293 million (287). The company’s operating profit was SEK 45 million (44).
“Our important Christmas sales have shown favourable development and Cloetta’s popular Juleskum has once again increased,” comments Cloetta’s Managing Director and CEO Curt Petri. “The autumn’s launch of Tarragona in the grocery trade also contributed to the positive sales trend.”
In the Swedish market, which accounts for around 85% of sales, net sales were up by 4% compared to the same period of last year. Cloetta’s total net sales amounted to SEK 333 million (332) and gross margin for the quarter improved to 36.0% (34.3).
“One of the critical success factors was continued high efficiency in production,” continues Curt Petri. ”On the downside, we have seen historically high prices for cocoa and therefore have a need to raise the prices of some of our products.”
“A high rate of product development and new product launches is important for us, and in the past quarter we intensified our activities in marketing and product development,” says Curt Petri.
Cloetta will introduce several new products at the beginning of 2011. In January Cloetta will relaunch its chocolate bags. 2011 will also mark the start of a whole new design for Cloetta’s largest brand, Kexchoklad.
“The goal is to modernise and strengthen the brand’s position as Sweden’s most sold confectionery item. For the start of the ski season, it will also be launched in a new taste combination - Kexchoklad blueberry,” concludes Curt Petri.
The information in this press release is subject to the disclosure requirements of Cloetta AB (publ) pursuant to the Swedish Securities Market Act. The information was submitted for publication on 15 December 2010, 11.30 CET.
For further information contact
Curt Petri, Managing Director and CEO, mobile +46 70-593 21 69 or Kent Sandin, CFO, mobile +46 70-582 77 95.
About Cloetta
Founded in 1862, Cloetta is the oldest confectionery company in the Nordic region. The company’s most important brands are Kexchoklad, Center, Plopp, Polly, Tarragona, Guldnougat, Bridge, Juleskum, Sportlunch, Extra Starka and the chocolate bar series Good. Cloetta has two production units in Sweden, one in Ljungsbro and one in Alingsås. For the period from 1 September 2009 to 31 August 2010, Cloetta posted net sales of SEK 1,061 million. The company’s class B shares are traded on NASDAQ OMX Stockholm.
www.cloetta.com