Barry Callebaut assumes higher cocoa prices as it guides for weaker profit outlook

Nov 4(Reuters) - Swiss chocolate maker Barry Callebaut BARN.S guided on Wednesday for a lower-than-expected profit in its upcoming financial year as it raised its cocoa price assumptions.

One of the world's top cocoa processors, which supplies major food producers such as KitKat maker Nestle NESN.S, said it sees recurring core earnings (EBIT) growing between 3% and 5%, measured in constant currencies, in its 2026/27 financial year.

Analysts were expecting EBIT to increase by 5.5% to 627 million Swiss francs ($760 million) on average in a company-provided consensus.

The company is projecting a cocoa bean price of £4,000. It had assumed in July cocoa prices to be at around £3,000 per ton.

It said volumes decreased by 0.7% in its full year ending in August, slightly ahead of a 0.9% fall expected by analysts.

It reported a 5.7% volume growth in the fourth quarter, matching the growth it recorded in the third quarter that bucked a long lasting negative trend.

Barry also said its current partnership agreement with Hershey HSY.N will expire at the end of 2027, which will impact volumes by 1% in the 2026/27 financial year.