Global beverage brand JDE Peet‘s has reported strong 2024 results despite the price of green beans reaching historical highs.
In 2024, the company reported €8.84 billion (US$9.25 billion) in gross profits, a 7.9 per cent increase from 2023. Organic growth was driven by a 4.5 per cent price increase across the company’s products.
To mitigate the impact of rising prices of green coffee, JDE Peet’s said it will continue to absorb as much of the impact as possible, passing on only what is unavoidable while maintaining affordability for consumers.
In Europe, reported sales increased by 0.8 per cent to €4.72 billion (US$4.94 billion) with a 1 per cent decrease in volume in the region due to retaliations during price negotiations with retailers. Notable strong performances were delivered in countries such as the United Kingdom, Ireland and the Nordics, and brands including L’OR, Douwe Egberts, and Kenco.
In Latin America, Russia, Middle East and Africa, reported sakes increased by 32.1 per cent to €2.03 billion ($US2.13 billion), with organic sales growth supported by brands such as Pilão and Jacobs and the successful consolidation of Brazilian coffee brand Maratá.
Meanwhile, Asia-Pacific reported sales decreased by 0.7 per cent. Sales performance was geographically mixed, with solid performances in countries such as China, Australia and the Philippines, partially offset by softer performances in countries such as New Zealand and Malaysia.
Additionally, Peet’s Coffee sales increased by 9 per cent to €1.26 billion (US$1.32 bilion). In Peet’s United States coffee stores, same-store sales and ticket size were up, while Peet’s China delivered strong sales growth.
“We are very pleased with this strong set of broad-based results, especially considering the increased green coffee inflation,” says JDE Peet’s CEO Rafa Oliveira.
“In 2024, we launched a range of new products to address evolving consumer needs, including the L’OR Iced Coffee, Peet’s Ultra Coffee Concentrate in the US, OldTown’s Hot & Cold premium instant mixes in Asia, and the roll-out of the first fully recyclable at-home paper refill pack for soluble coffee across 17 markets.”
In 2025, JDE Peet’s expects high single-digit organic sales growth with a low single-digit decline in adjusted EBIT.
In January 2025, JDE Peet’s announced that Scott Gray has stepped down as CFO. In May, Gray
will be succeeded by Swiss-based Straumann Group executive Yang Xu. She brings more than 20 years of experience in finance, strategy, operational, and commercial functions.
