Will Lindt sales be buoyed by cold weather earlier in the year?
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Will Lindt sales be buoyed by cold weather earlier in the year?

It might be hard to remember now we’re in the midst of a European heat wave, but the start of the summer was… shall we say, inclement. While that’s not good news for everyone, Swiss chocolatier Lindt & Spruengli (Lindt) might have something to cheer about. Because, at least in the opinion of some analysts, cold weather tends to turn us into chocoholics.

Lindt’s share price has appreciated by 11% so far this year

Lindt July 22

Source: Yahoo Finance

In a recent note, Jean-Phillipe Bertschy, a Vontobel analyst, wrote: “The start of summer has been relatively cold, meaning people have been eating more chocolate in Europe this year.” According to Mr Bertschy, this provides Lindt with a driver that may have gone unnoticed by observers. He also thinks that Lindt’s product offering is safe from wider trends towards healthier snacks, simply writing “people won’t stop eating chocolate.”

If he’s right on either (let alone both) counts, it’s good for Lindt. Because Lindt is not “just” another chocolatier – the company is one of the few confectionary specialists that is both large enough to be well known and also truly a luxury company. One only needs to read its website to be reminded of that fact: “The Maîtres Chocolatiers from LINDT, real masters of their craft, are always striving to offer you a chocolate that melts tenderly in your mouth and gently caresses all your senses.”

Whether or not Bertschy is right about the slow start to the summer having a manifest impact on Lindt’s business, we won’t have to wait long to find out. The company reports earnings tomorrow, and we’ll be reporting on them ourselves as soon as we’ve had a chance to digest the figures!


Dominion holds Lindt & Spruengli in its Global Trends Luxury Fund.

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