Hotel Chocolat reports record Christmas sales

In the nine weeks to 25 December, UK like-for-like sales were up 10% year-over-year. Including the international segment, however, LFL sales were 8% lower.

The company said it had seen the strongest ever sell-through of full-price seasonal products, with residual Christmas inventory into the January sale 80% lower year-on-year. Its Velvetiser in-home drinking chocolate system was the star category, with new mince pie drinking chocolate proving a hit.

For the 26 weeks to 25 December, UK retail LFL sales rose 7% to £74m, and were ahead 25% versus the pre-Covid period in H1 FY19. Including the international business, however, group sales fell 9% to £130m, although this was a 65% increase versus pre-pandemic levels.

Co-founder and chief executive Angus Thirlwell said: "A late festive surge delivered sparkling store performances. When times are tough, shoppers prioritise quality products that are really worth it. Hotel Chocolat will continue to live up to these expectations: investing in more cacao and less sugar, funding nature-positive cacao farming, and championing British-made quality.

"We have grown Hotel Chocolat by 65% over the period since the start of the pandemic, adapting to some of the most difficult economic conditions on record. Taking a year, over FY23, to sharpen-up our operating model is the right thing to do, before we embark on further pursuit of the multiple growth opportunities ahead for our brand."