Cadbury, the world’s largest confectioner, has reported a 46% profit surge, due to higher pricing and stronger sales of Trident sugarless gum in the US. It reported its results for the six months ending June 30 today (July 30).
The London-based group, which makes Trident Gum and Dairy Milk chocolate, reported that profits had risen to £223m, ahead of analysts’ forecasts. Sales grew by 14% to £2.6bn.
Cadbury chief executive, Todd Stitzer, says the company remains confident of a “successful outcome” for 2008 with revenue growth at the top end of its goal range.
Cadbury spun off its North American drinks business Dr Pepper Snapple in May this year, but is suffering higher commodity costs as consumers tighten their belts in Europe and North America. The company is raising prices on Dairy Milk Chocolate and moving its head office from central London.
Stitzer adds: “Despite difficult economic conditions, we are committed to deliver mid-teen margins by 2011.”