“As you might imagine, at this level, we are not going to price cocoa further, but it is also important to know that our profit took quite a material hit in 2025.”

In context

“ch. Luca Zaramella: Thank you, Andrew. Shep Dunlap: We'll now move on to Peter Galbo with Bank of America. Your line is now open. Peter Galbo: Hey, good afternoon, Dirk and Luca. Thanks. Thanks for the questions. Luca, maybe if I can actually pick up on the comments you just made around some of the phasing more on the cost side. I know that you mentioned, I think the lion's share of it comes in the first quarter. So maybe you can just talk us through a bit more the cost phasing on cocoa through 2026. And then maybe how we would think about the phasing on potential price investments in chocolate over the balance of the year? Luca Zaramella: Thank you, Peter. So fundamentally, maybe I'll start with the top line because I think that's a clear component of how we think about the plan in 2026. As you might imagine, at this level, we are not going to price cocoa further, but it is also important to know that our profit took quite a material hit in 2025. And so we were not certainly fully priced at the level of cocoa in 2025. And, albeit the pipeline cost is coming down in 2026, we need to keep a level of pricing that is pretty much the same as we have in 2025. In terms of cost, the way our inventory accounting works is that we will have to adjust the level of inventory in the first day of the year to the actual pipeline cost that we see in 2026 versus how we exit the year in 2025. And that is a one-time adjustment that takes place on the inventory, and that is causing in the first February, but predominantly in Q1, an impact that is at a billion dollars. And that gives you an idea of the costs that we see throughout the two years. So in terms of top line, I would say in chocolate specifically, flat pricing, in terms of volume, some impli”