Johan Fred's questions to ARHUF leadership • Q1 2025
Question
Inquired about the specific breakdown of the volume decline in Food Ingredients between Bakery and non-specialty oils, the drivers of profitability in the Chocolate & Confectionery Fats (CCF) segment, and the current proportion of CBEs within CCF volumes.
Answer
The Food Ingredients volume decline was split roughly 50/50 between Bakery and non-specialty oils, with the latter being a strategic choice to avoid low-margin business. CCF profitability was driven by portfolio optimization, favorable market dynamics for cocoa butter alternatives due to high cocoa prices, and a better product mix. The company confirmed that while the market for CBEs is strong, overall volumes follow the broader confectionery market trends, and a rough 50% CBE split within the segment remains a relevant estimate.