Lavazza Boosts Sales and Profit Despite High Coffee Costs and Weak Demand

Italian coffee group Lavazza reported higher annual revenue and profit, demonstrating resilience amid surging bean prices and softer global demand.

Revenue rose 15.7% to €3.9 billion, supported by strong performance in North America, where sales increased 27% despite ongoing trade pressures.

The company’s core profit climbed 8.8% to €340 million, reflecting effective cost management even as input and logistics expenses continued to rise.

Lavazza noted that the coffee sector remains under strain from persistently high green coffee prices and tight supply conditions worldwide.

Operational challenges, including regulatory uncertainty and logistics disruptions, have also contributed to rising costs and slower delivery times.

These pressures have weighed on global consumption, leading to a broader decline in sales volumes across the industry.

CEO Antonio Baravalle said recent global tensions are expected to further impact operating costs and business conditions in the near term.

Despite headwinds, Lavazza’s performance highlights its ability to navigate volatility while maintaining steady growth and profitability.

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