Nestlé Beats Analysts’ Expectations With 3.9 Percent Sales Lift
14 Apr 2016 --- Nestlé has reported a sales lift of 3.9 percent on a like-for-like basis in the first quarter, ahead of analysts’ expectation, helped by strong performances in Europe, South East Asia and Africa. Nestlé was also helped by a recovery of its Maggi noodles business which has won back market share following a food scare, but was still impacted by “unfavorable comparatives”. In June last year, regulators had banned the sale of Maggi in India due to concerns that Maggi contained high levels of lead – a suggestion denied by Nestlé.
Sales for the three months were CHF 20.9 billion ($21.6 billion) and chief executive Paul Buckle said Nestlé had gained market share in most of its markets.
He said: “As anticipated, the first quarter continued the positive momentum in real internal growth, with softer pricing. The strongest performances were in Europe, in South East Asia and in Africa as well as for Nescafe, Nespresso and petcare.”
“Our US frozen food business is progressing well. The trends seen over the last few quarters show the relevance of our investment and allow us to confirm our outlook for the year.”
Revenues from Nestlé’s powdered and liquid beverages rose 6.3 percent in the period, helped by marketing and advertising.
Nespresso maintained sold growth across all markets and continued to cement on its strong position in Europe. It was also helped by increasing consumer awareness of its VertuoLine coffee maker in the US.
Across Nestlé Nutrition, sales came in at CHF 2.6 billion ($2.7 billion), up 2.6 percent, helped by growth in emerging markets. Sub-Saharan Africa, Indonesia and Mexico all grew well in the period. But in the US, Nestlé’s move to new product formats hindered growth.
Revenues at Nestlé Waters were CHF 1.8 billion ($1.86 billion) in the period, up 5.3 percent. Key performers were premium brands Perrier, S Pellegrino, and Nestlé Pure Life.
To contact our editorial team please email us at editorial@cnsmedia.com 
Related ArticlesFood Ingredients News Weekly Roundup: Nestlé sells Gerber Life Insurance, Givaudan completes Naturex acquisition
21 Sep 2018 --- In business news this week, Nestlé announced plans to sell Gerber Life Insurance Company, to Western & Southern Financial Group for US$1.55 billion in cash. Bösch Boden Spies launched a sustainability initiative and Givaudan completed the acquisition of Naturex, following the implementation of the squeeze-out procedure and the delisting of Naturex shares from the Euronext Paris stock exchange. Firmenich appointed Emmanuel Butstraen as president of its Flavors Business Unit and member of the company’s executive committee and Tyson Foods’ CEO Tom Hayes is stepping down. Food Ingredients News Clean label and free from claims trend in Mexico as R&D efforts intensify
18 Sep 2018 --- Clean label, free from and GMO-free claims continue to trend in Mexico, as the food sector enjoys strong growth, spurring strong research and development in this dynamic sector. The new product data comes as the food industry from Mexico and beyond prepares for the FoodTech Summit & Expo, which will take place next week. Food Ingredients News Palm oil monitoring: Nestlé adopts “game-changing” cutting edge satellite system
14 Sep 2018 --- Nestlé is stepping up its game when it comes to no deforestation commitments by becoming the first food company to use a high-tech satellite-based service to monitor its palm oil supply chains. In a bid to distance itself from the controversy associated with deforestation and hit its 2020 no-deforestation targets, Nestlé has implemented Starling, a global verification system using cutting-edge technology combining high-resolution radar and optical satellite imagery to provide constant unbiased monitoring of land cover changes and forest cover disturbances. Food Ingredients News Weekly Roundup: Givaudan completes squeeze out and delisting of Naturex, Barry Callebaut finalizes expansions in US and Canada
14 Sep 2018 --- This week, following the completion of the second tender offer for the shares of Naturex, Givaudan now holds 9,436,645 of Naturex shares, representing 98.06 percent of the capital. Barry Callebaut has finalized its capability and capacity expansions in its US and Canada factories. According to the company, the investments in Canada and the US will support Barry Callebaut customers across North America. Azelis’ CSR performance has been recognized with an EcoVadis Gold rating and the Ruby chocolate revolution continues with an innovation from Baci Perugina. In the UK, Tesco launched the first zero alcohol stout as the demand for low and no alcohol beverages soars. Food Ingredients News Business policies: Tracking the growth of traceability in the supply chain
11 Sep 2018 --- Traceability has firmly entered the mainstream of company Corporate Social Responsibility agendas, it’s one of the key drivers of new business policies, modeling how a supplier must ensure that traceability is at the heart of its ingredients and processes. This comes as global consumers demand more detailed information about their food, where it comes from and its ethical and environmental impact of people and the planet. |
