Admin I Thursday, August 22, 2024
HAMBURG – German coffee group Tchibo returned to profitability in its 2023 financial year, the Hamburg-based parent company Maxingvest reported on Thursday.
Earnings before interest and taxes (EBIT) amounted to €68 million ($76 million), Maxingvest said.
In the 2022 financial year, the retail group and coffee roaster posted a loss of €167 million.
The company did not disclose its earnings after taxes.
Tchibo credited the turnaround to lower raw material, energy and logistics prices as well as lower marketing and sales costs.
In addition, strategic and structural changes, including almost 300 job cuts, had begun to take effect, the company said.
Product ranges have been aligned more closely with the various sales channels – stores and online retail.
Sales amounted to around €3.2 billion, down 1% compared to the previous year.
The consumer goods business performed comparatively worse due to a general decline in demand.
In addition to coffee, Tchibo also sells clothing, household items and home accessories.
Sales abroad have also increased, according to the earnings report.
Tchibo exports coffee to more than 60 countries and has retail operations in several countries such as Austria, Switzerland and Poland.
