Barry Callebaut: 9M results: Initial thoughts

Research evidence excerpt

Barry Callebaut: 9M results: Initial thoughts

Deutsche Bank

Research

Rating Company Date

Sell Barry Callebaut 9 July 2026

Company Update

Europe

Switzerland

Reuters Bloomberg Exchange Ticker Price at 8 Jul 2026 (CHF) 1,184.00

BARN.S BARN SW SWX BARN

Price Target (CHF) 960.00

Consumer Staples

1,523.00 -

Food Manufacturing 52-week range (CHF) 825.50

9M results: Initial thoughts

Valuation & Risks

Tom Sykes

Returning to growth but volumes to slow going forward Research Analyst

Barry returned to volume growth in Q3 with chocolate up by 3.3% and the Group up +44-20-754-76418

by 5.7%. However, cocoa growth of ~14% in Q3 is unlikely to continue at this pace,

Mitch Collett

there is likely some restocking benefit in Q3 and guidance implies Q4 slower than Research Analyst

Q3. +44-20-754-11307

Archit Agarwal

The company also guide to 1-3% growth for the next 12-18m suggesting some

Research Associate

further normalisation and we note the underperformance of Gourmet which was

still down by -1.6% in Q3. If gourmet doesn't work, Barry doesn't work.

Madhu Vijay

Barry sits on 10.1x 27e EV/EBITDA, 20.3x 27e PE and a 5.9% FCF yield to EV. This Research Associate

compares with Staples ex-Tobacco on 11.7x 27e EV/EBITDA,18.1x 27e PE and a

4.9% FCF yield to EV. Pritam Palit

Off-Shore Associate

Growth was higher than expected but looks like it included some restocking that

won't continue and there may even be in-sourcing impacts next year.

Price/price relative

Barry is priced for a return to substantial volume growth and yet they are guiding at 3000

the mid point below algo/consensus for next year. 2000

We expect stock up on the initial beat then to fade over the day and we remain Sell.

2024 2025 2026

Forecasts and ratios

Barry Callebaut – (Rebased)

Year End Aug 31 2024A 2025A 2026E 2027E 2028E