FAZER GROUP JANUARY - DECEMBER 2025: RECORD HIGH NET SALES AND COMPARABLE OPERATING RESULT

Financial information in this release is derived from Fazer Group’s consolidated financial statements which are prepared in accordance with IFRS Accounting Standards. The information in this release is unaudited. The figures in brackets refer to the same period previous year unless otherwise stated. Fazer Group’s 2025 financial statements will be published in week 11.

January - December 2025 highlights

• Net sales totalled EUR 1,188.6 million (1,183.1).
• Comparable EBITDA totalled EUR 137.8 million (141.4), or 11.6% (12.0%) of net sales.
• Comparable operating result (EBIT) totalled EUR 77.8 million (75.9), or 6.5% (6.4%) of net sales.
• Operating result (EBIT) totalled EUR -1.0 million (46.0). Operating result includes items affecting comparability EUR -78.8 million (-29.9) mainly relating to Fazer Lifestyle Foods’ goodwill impairment of EUR -69.5 million and EUR -4.0 million write-down of xylitol production related machinery and equipment.
• Cash flow from operating activities totalled EUR 127.5 million (110.0).
• Comparable earnings per share totalled 8.46 euro (8.59).

Key figures

Guidance for 2026

Fazer estimates that its net sales in 2026 will increase and that its comparable EBITDA will improve. Fazer’s guidance assumes that Fazer’s operating environment will gradually improve. 

Market Outlook 2026

Overall consumer demand is expected to be supported by improving purchasing power underpinned by salary increases, moderate inflation and stable labour market outlook. Despite this, value-driven purchasing is expected to continue to influence category dynamics, and private label competition is expected to remain strong. Geopolitical uncertainty remains high, which could potentially impact both input costs and consumer confidence.  

The confectionery market is expected to recover after a challenging year, mostly driven by volume growth. The cocoa price pressure and volatility are expected to ease from year 2025.

The bakery market outlook is cautiously optimistic, with stable to moderate growth in all three markets, amid continued competitive pressure, particularly from private label offerings. In Sweden, a reduction in food VAT could further support volume growth. 

Despite market volatility and intense competition, Fazer Lifestyle Foods’ market conditions are expected to improve somewhat.

Christoph Vitzthum, President and CEO, Fazer Group

In 2025, Fazer made solid progress toward its targets and continued to advance positively across its businesses. Despite the continued challenging market environment, we delivered all-time high net sales and comparable operating result. This was a result of disciplined margin management, increased marketing efforts as well as successful cost reduction measures. Fazer Group’s net sales totalled EUR 1,188.6 million (1,183.1) and comparable operating result totalled EUR 77.8 million increasing from the record high EUR 75.9 in the previous year. Fazer’s cash flow from operating activities was also strong and totalled EUR 127.5 million (110.0).  

Following a demanding first half of the year, with unprecedented cocoa price escalation and strong competition, Fazer Confectionery’s volumes picked up at the end of the year, resulting in improving performance and all-time high net sales for the year, totalling EUR 580.6 million (543.1). Our Christmas offering was well received in Finland and Sweden, and thanks to that, in combination with our robust commercial efforts in chocolate tablets, our trajectory in the chocolate category returned to growth. Fazer’s jelly range, with seasonal jelly novelties as spearheads performed particularly well in Finland and Sweden. In addition to good performance in Sweden, our chocolate and candy also performed well in Norway and Denmark. Fazer Retail, consisting of Fazer Cafés and Gateau bakery shops, grew significantly in Finland, while performance in Sweden did not meet our expectations.

High competition continued in the bakery markets throughout the year and as a result, Fazer Bakery net sales decreased slightly, and totalled EUR 446.9 million (452.4). Fazer Bakery Finland was disproportionally targeted by the series of spring labour strikes, but for the whole year, the performance was solid, despite the intensifying competition towards the end of the year. Net sales were underpinned by a strong contribution from the Shop‑in‑Shop (SiS) business, that reached record high net sales during the year and now contributes to almost a third of the Finnish bakery business’ net sales. SiS grew consistently across the year on the back of successful seasonal activations, a renewed surplus sales concept, and measured network expansion. Demand for Fazer’s packed fresh bread softened somewhat during the year. Fazer Bakery Sweden’s net sales remained stable year-on-year. Dark portion and country style bread continued to grow strongly, and demand for toast also returned to growth. Fazer Bakery Baltic’s net sales decreased due to continued intense price competition and private label activity in the market as well as the continued impacts of the challenges related to the production transfer from Lithuania to Latvia, particularly affecting rye loaf and sweet product availability.

Fazer Lifestyle Foods’ net sales decreased compared to the previous year and totalled EUR 190.5 million (218.5), primarily due to lower B2B sales in our plant-based business. Additionally, growth was sluggish in Cereals, due to clearly lower grain price levels than previous year. Challenges in Plant-Based Drinks continued, however demand for Fazer Aito Oat Drink Barista grew significantly in Finland, resulting in a strengthened market position in the category. Other notable achievements include the launch of our oat drinks in Germany. Despite our strong focus on improving the performance of Plant-Based Drinks’ business, it is clear that it still doesn’t meet our expectations. That said, the business has demonstrated resilience through operational efficiency improvements and its strong focus on profitability. The demand for Froosh smoothies was strong in Finland, Sweden and Norway.

During the year we achieved several strategic milestones, but the most significant achievement was the finalisation of the decision to invest approximately EUR 400 million in a new modern chocolate factory in Lahti, Finland. This investment strengthens our foundation for future growth, enabling both domestic expansion and increased international reach. It also reflects our long-term commitment to delivering superior taste, quality and innovation across our categories. The decision was supported by the welcomed withdrawal of the Finnish government’s proposal to significantly increase VAT on confectionery.

Strengthening market positions across the Nordics and internationally remains an important priority for Fazer. In Finland, we continue to reinforce our leadership by driving profitable growth across established categories while enhancing our presence in, among others, seasons and gifting. In Sweden, unmet consumer needs create opportunities in key segments where our trusted brands provide competitive advantage. Additionally, the expected halving of the food VAT rate from 12 to 6 percent in April 2026 may also support consumer demand in Sweden. In Central and Eastern Europe, our chocolate and plant‑based ranges have been well received, and we see clear potential to scale further as awareness grows. I am very pleased that in 2025, our international expansion has progressed well, in Fazer Confectionery in particular. As we continue on our international growth journey, we are actively pursuing opportunities to expand not only organically but also through M&A and remain committed to exploring all avenues that enable us to strengthen Fazer’s position in both existing and new markets.

Looking ahead to 2026, the cocoa price pressure seems to be easing. Price sensitivity among consumers is expected to remain elevated, but confidence and purchasing power are gradually improving across several markets. Value-driven purchasing continues to influence category dynamics, and private label competition remains strong. Labour market trends indicate a more stable outlook, although unemployment in Finland remains high. Globally, geopolitical uncertainty remains a concern. Despite these challenges, we enter the year with confidence supported by solid actions taken to reinforce growth and competitiveness, enhance efficiency and position our categories for sustained performance.

For further information please contact:

Jukka Erlund, CFO, Executive Vice President, Fazer Group, jukka.erlund@fazer.com, tel. +358 50 506 5735

Joséphine Mickwitz, Communications & Sustainability, Executive Vice President, Fazer Group, josephine.mickwitz@fazer.com,
tel. +358 40 078 4889

The Fazer media phone line is open Monday-Friday from 8 am to 4 pm, tel. +358 40 668 2998, media@fazer.com

Fazer Group

Fazer, The Food Experience Company, enables people to enjoy the best moments of their day. Our mission, Food with a purpose, builds on our strong more than 130-year heritage, consumer first approach and innovations to create the sustainable food solutions of the future. With our dedicated team of almost 5,000 professionals, we focus on fast-moving consumer goods and our direct-to-consumer business in Northern Europe, and beyond with exports to more than 40 countries. Fazer’s operations comply with its Code of Conduct that is based on the Group’s values and the UN Global Compact. In 2025, Fazer Group had net sales of 1.200 million euros. 
 

Northern Magic. Made Real.