Lavazza reports revenue and profit growth for the year

Lavazza reported a 15.7 percent revenue increase to 3.9 billion euros for the year. Profit grew 8.8 percent despite high bean prices and weak global demand.

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The prominent coffee producer based in Italy, Lavazza, reported a significant rise in its annual financial results, navigating a landscape of elevated bean costs and cooling global demand. The group's revenue surged by 15.7% to reach 3.9 billion euros ($4.48 billion), while core profit saw an 8.8% increase, totaling 340 million euros.

Performance was particularly robust in the United States and the broader North American market, where sales jumped by 27%. This growth occurred despite the impact of import tariffs and a general contraction in global sales volumes.

A selection of coffee items from Lavazza are arranged on a retail shelf in a Sarajevo supermarket, captured on October 29, 2024. REUTERS/Dado Ruvic

The 130-year-old company noted that the coffee sector remains under pressure from high green coffee prices, regulatory hurdles, and a persistent logistics crisis. These factors have contributed to increased operating costs and extended delivery timelines across the industry.

These first months of the year have been marked by further serious geopolitical tensions, which will also impact on companies operating costs.

Antonio Baravalle, CEO of the Lavazza Group, emphasized that the current economic environment requires careful navigation as geopolitical instability continues to influence the global market.

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