Supply chain disruption, Russia’s invasion of Ukraine and a sharp rise in energy and commodity prices are predicted to hinder the German coffee roaster and retailer’s 2022 performance despite strong supermarket sales
Hamburg-based Tchibo achieved revenue growth of 4% compared to 2020, reaching €3.25bn ($3.25bn). Holding company maxingvest cited improved online and supermarket retail sales as offsetting disrupted trading in Tchibo cafés and stores which were shuttered for parts of the period due to the Covid-19 pandemic.
The company also stated that global supply chain disruption negatively impacted the business in the final few months of the financial year.
Tchibo’s profit was reported at €176m ($176m), a 95% increase on the €90m ($90m) achieved the previous year.
The German company anticipates increasingly disrupted supply chains and the ongoing war in Ukraine to hamper operations in the year ahead, with rising raw material and energy prices expected to lead to a decline in consumer spending in the approximately 1,000 Tchibo cafés across Europe.
Tchibo expects sales and profit to fall from 2021 levels.
Tchibo’s retail coffee products are available at nearly 25,000 retail locations in eight countries, including the US, where the company partnered with distribution company Rainmaker Food Solutions, LLC in late 2020.
In July 2021, Tchibo introduced its retail coffee products at more than 180 Jewel-Osco supermarkets in the US city of Chicago.
Tchibo acquired Italy’s Caffè Molinari, a coffee roaster, processor and distributor with a presence in more than 60 countries, for an undisclosed sum in January 2022.
