Benjamin Wahlstedt's questions to ARHUF leadership • Q4 2024
Question
Sought more detail on the 2-3% decline in chocolate volumes, asking if there were differences between categories like chocolate bars and snacks, and requested an update on the company's view of its balance sheet and M&A strategy.
Answer
The 2-3% volume decline refers to the total end-consumer market. The company's prime market is in more complex products like snack bars, which can be resilient as consumers might 'trade down' to products that contain more of AAK's ingredients. Regarding the balance sheet, it is strong and provides flexibility for M&A. However, the company will remain disciplined, will not overpay, and is actively searching for good opportunities in a market that is not highly fragmented. If no suitable M&A is found, other capital allocation methods like dividends will be considered.