First Half 2023 Results

Revenues increase in all major markets: United States +16%

Double-digit growth of profitability (+21%)

New distribution agreement in China to accelerate development

Revenues up in all major geographies, particularly in the United States (+16%), identified in the Strategic Plan as a priority market for growth
Profitability accelerating through organic growth and increased operational efficiency
New distribution agreement in China to accelerate the development of HOME channels, particularly online

Milan, July 25th 2023 – The Board of Directors of illycaffè S.p.A. approved the interim financial report for the first half of 2023.

Cristina Scocchia, CEO of illycaffè, commented:
“We are satisfied with the results for the first half of 2023. The growth in all the main markets, particularly in the United States and in the key countries of the Eurozone, demonstrates the effectiveness of the strategies outlined in the business plan. At channel level, there was a strong boost in out-of-home (+16%), confirming our leadership position in the super-premium segment.

We have decided to accelerate in China, and I am happy to announce that we have just finalized an exclusive distribution agreement for three years with Hangzhou Onechance Tech Group (Chancemate), listed on the Shenzhen Stock Exchange with a market capitalization of over 800 million euros. Thanks to this partnership, we will strengthen our presence in the HOME channels, particularly online, with the aim of tripling our business over the plan period”.

Consolidated revenues of illycaffè in the first half of 2023 recorded an increase of 5% compared to 2022, with a particularly positive result in the United States (+16%) which grew in all the main distribution channels and despite an unfavorable exchange rate impact. In particular, the Ho.Re.Ca. channel recorded a 27% growth rate supported by a double-digit new customer acquisition rate and by a trend of constant increase in average consumption per customer. The e-tailer channel recorded a 20% growth mainly driven by Amazon.

Group profitability increased by 21% compared to the previous year, thanks to organic growth in all major markets and greater operational efficiency.