• Lifts 2025 organic sales growth outlook to high-teens range
• Adjusted EBIT beat at 709 million euros
• Analysts say European market driving the beat

July 30 (Reuters) - Coffee and tea company JDE Peet's (JDEP.AS) , opens new tab lifted its annual forecast on Wednesday after posting a higher than expected operating profit for the first half of 2025, supported by strong revenue growth, despite high green coffee prices.

The Dutch maker of coffee brands Jacobs, L'Or, Tassimo and Douwe Egberts now expects 2025 organic sales to grow in the high-teens percentage range compared with a high single-digits forecast announced previously. It also expects to report a stable adjusted operating profit.

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"Our performance was... strong across topline, profitability and cash flow, despite operating in a challenging environment that continues to be characterised by persistently high green coffee prices," new CEO Rafa Oliveira said in a statement.

Soaring coffee prices are a thorn in the side of both suppliers and retailers, with JDE Peet's citing an average yearly rise of 60% in green coffee prices in the first half of 2025.

JDE Peet's shares surged as much as 11.3% early on Wednesday, before paring gains to be up more than 10% by 0716 GMT. They were among the top performers on the Pan-European STOXX 600 index (.STOXX) , opens new tab.

Analysts from J.P. Morgan and KBC Securities point to Europe - the group's main market - as the main driver behind the beat, as the clients have been pre-buying stock ahead of price hikes, which should reverse in the second half of the year.

The company reported growth across all of its markets, with Europe and LARMEA, covering Latin America, Russia, Middle East and Africa, rising the most.

Adjusted earnings before interest and taxes grew to 709 million euros ($813.33 million) for the first half, from 692 million euros a year earlier. Analysts were expecting adjusted EBIT of 622 million euros, a company-provided consensus showed.

($1 = 0.8656 euros)

https://www.reuters.com/markets/europe/jde-peets-lifts-annual-forecast-profit-growth-defies-high-coffee-prices-2025-07-30/