Cloetta updates growth targets and strategic priorities
Confectionery company Cloetta has announced updated long-term financial targets and strategic priorities aimed at driving profitable growth.
Swedish confectionery firm Cloetta announced on Wednesday, March 27, 2025, that it is updating its long-term financial targets and strategic priorities to foster profitable growth.
The company has raised its organic sales growth target to 3-4% annually, up from a previous target of 1-2%. The long-term adjusted EBIT margin target remains at 14%, with an added goal of reaching at least 12% by 2027. The net debt to EBITDA ratio target has been strengthened to below 1.5x, compared to the previous target of around 2.5x.
Furthermore, the dividend payout target has been increased to above 50% of profit for the year, revised from the previous range of 40-60%. These updated objectives were detailed during the company's Investor Day event held in Stockholm.
Cloetta's strategic priorities involve concentrating on strengthening its core "Superbrands," expanding beyond its current markets into Germany, the UK, and North America, and enhancing marketing and innovation efforts. The company also plans to improve its operating model through optimizations in its supply chain and cost structure.