- Sales of CHF 20.8 billion, organic growth of 4.2%, real internal growth of 2.6%
- Growth in developed markets 0.6%, emerging markets 8.5%
- Full-year outlook unchanged: organic growth around 5% and improvements in margins, underlying earnings per share in constant currencies and capital efficiency
Vevey, Switzerland, 15-4-2014 — /EuropaWire/ — Paul Bulcke, Nestlé CEO: “Our organic growth in the first months of the year was in line with expectations and driven by volume rather than price. The continued roll-out of new products, along with good execution, sustained this growth in difficult market conditions. We will keep up the pace of innovation, while further strengthening support for our brands. We confirm our outlook for the full year: performance weighted to the second half, outperforming the market, with organic growth around 5% and improvements in margins, underlying earnings per share in constant currencies and capital efficiency. We expect the continued strengthening of the Swiss Franc to have a negative impact on reported sales.”
Business Review
In the first quarter organic growth was 4.2%, composed of 2.6% real internal growth and 1.6% pricing. Sales were CHF 20.8 billion, impacted by substantial negative foreign exchange of 8.6%, and acquisitions, net of divestitures, further reduced sales growth by 0.7%. As a result the total evolution of sales was -5.1%.
We continued to grow in all geographies: 4.6% in the Americas, 0.3% in Europe and 7.3% in Asia, Oceania and Africa. The developed markets grew 0.6% and the emerging markets 8.5%.
Zone Americas
Sales of CHF 6.0 billion, 4.1% organic growth, 0.9% real internal growth
- In North America the market remained subdued and the severe weather conditions had an impact across the categories. With consumer spending low, new product launches drove performance including DiGiorno Pizzeria, California Pizza Kitchen Thin and Crispy, Girl Scout flavours for Coffee-mate, Lean Cuisine Stuffed Pretzels, and in confectionery,Butterfinger Cups. In petcare the rollout of Lightweight and Glade cat litters supported growth, as did the re-introduction of Waggin’ Train.
- Overall Latin America performed well with growth in Brazil in most categories despite the effect of the late Easter. Soluble coffee was the highlight in Mexico, and petcare continued its strong momentum in the region, with Dog Chow and Pro Plan driving market share improvements.
Zone Europe
Sales of CHF 3.5 billion, -0.8% organic growth, 0.7% real internal growth
- The Zone achieved positive volume growth in a flat retail environment, deflationary pressures kept pricing negative. Innovation ensured we met the expectations of consumers from popularly positioned products to super premium. Nescafé Dolce Gusto gained market share with strong double-digit growth, the successful roll-out of Papyrus cooking papers continued and ice cream, particularly Mövenpick, had a good start to the year. Confectionery was affected by the late Easter although Russia and Spain had strong performances. Petcare continued its momentum, with Felix and Purina ONE Dry Cat delivering strong growth.
- In Western Europe Spain and Portugal showed encouraging early signs of a recovery, while France, Germany and the UK had a slower start to the year.
- In Central and Eastern Europe while Russia continued to grow strongly the current instability and uncertainties affected the rest of the region.
Zone Asia, Oceania and Africa
Sales of CHF 4.4 billion, 5.3% organic growth, 2.9% real internal growth
- In what remains a mixed and volatile economic environment across the Zone, we leveraged our deep and long-standing presence in different markets and launched new products.Nescafé 3 in 1 delivered double-digit growth for soluble coffee, as did Milo for powdered and liquid beverages and KitKat for confectionery. Nescafé Dolce Gusto also grew double-digit.
- In the emerging markets growth was solid. Africa, the Philippines, Pakistan and Turkey were highlights. In the markets with weaker trading conditions like China, India and Malaysia we gained market share in many of our categories.
- Developed markets in the Zone also grew, especially Japan where KitKat and Nescafécontinued to perform strongly.
Nestlé Waters
Sales of CHF 1.6 billion, 6.2% organic growth, 8.1% real internal growth
- Nestlé Waters’ performance was helped by sustained brand investment and the growth of the category in the United States, due to an increased awareness of bottled water as a healthier alternative, and in emerging markets.
- In developed markets our premium brands Perrier and S.Pellegrino supported growth as well as our regional spring waters, in the United States Deer Park, Arrowhead and Ozarka, in the United Kingdom Buxton, and in France Contrex and Vittel.
- Growth accelerated in the emerging markets with China, Egypt and Brazil the highlights, driven mostly by Nestlé Pure Life and our strong local brands such as Erikli in Turkey.
Nestlé Nutrition
Sales of CHF 2.3 billion, 6.4% organic growth, 2.2% real internal growth
- Nestlé Nutrition achieved good growth but at a slower rate in the context of tough comparisons. The drivers were the emerging markets, notably China and the Middle East. Infant formula and cereals performed strongly. Our flagship brands continued to do well, withNAN remaining a key growth driver for infant formula, supported by innovations such as easy scoop packaging. Our super premium offering Illuma also drove performance. In the United States we took a strategic decision to focus on value generation and optimising use of our assets, exiting some contracts which had an impact on growth.
Other activities
Sales of CHF 2.9 billion, 6.4% organic growth, 5.3% real internal growth
- The out-of-home environment continues to be soft in Western Europe and was affected by the severe weather in North America. Nestlé Professional delivered a good performance in most emerging markets, especially the Middle East, Russia, and the Philippines and there was also a good recovery in China.
- Nespresso maintained its strong growth momentum with additions to the permanent range of Grand Cru coffees, the launch of the new Inissia machine, new boutique openings and further geographic expansion. In North America there was an encouraging early reaction from consumers to the launch of VertuoLine, a system designed to revolutionise the long-cup coffee market.
- Nestlé Health Science had a good start to the year across all regions and businesses even though the pressure on public sector healthcare budgets continued to have an impact. Key brands driving growth included Boost, Peptamen and Alfamino.
Outlook
We confirm our full-year outlook: performance will be weighted to the second half, outperforming the market, with organic growth around 5% and improvements in margins, underlying earnings per share in constant currencies and capital efficiency.
Annex
First Quarter sales overview 2014
Jan.-Mar. 2014 Sales in CHF millions |
Jan.-Mar. 2013 Sales in CHF millions(*) |
Jan.-Mar. 2014 Organic Growth (%) |
Jan.-Mar. 2014 Real Internal Growth (%) |
|
---|---|---|---|---|
By Operating Segment | ||||
– Zone Americas | 6’042 | 6’632 | +4.1 | +0.9 |
– Zone Europe | 3’533 | 3’669 | -0.8 | +0.7 |
– Zone Asia, Oceania, Africa | 4’436 | 4’664 | +5.3 | +2.9 |
Nestlé Waters | 1’603 | 1’605 | +6.2 | +8.1 |
Nestlé Nutrition | 2’297 | 2’482 | +6.4 | +2.2 |
Other | 2’911 | 2’887 | +6.4 | +5.3 |
Total Group | 20’822 | 21’939 | +4.2 | +2.6 |
By Product | ||||
Powdered and liquid beverages | 4’771 | 4’914 | +5.3 | +5.3 |
Water | 1’499 | 1’501 | +6.3 | +8.4 |
Milk products and ice cream | 3’764 | 3’946 | +7.9 | +2.6 |
Nutrition & HealthCare | 2’758 | 2’929 | +6.6 | +3.0 |
Prepared dishes and cooking aids | 3’124 | 3’378 | -1.8 | -1.9 |
Confectionery | 2’204 | 2’524 | -0.5 | -3.3 |
Petcare | 2’702 | 2’747 | +5.4 | +4.7 |
Total Group | 20’822 | 21’939 | +4.2 | +2.6 |
(*) 2013 figures have been restated following the transfer of responsibility for Nestea RTD businesses in the geographic Zones to Nestlé Waters effective as from January 2014.
Follow today’s event live
08:30 CET Investor call audio webcast
Full details in Events
Contacts:
Media: Robin Tickle Tel.: +41 21 924 22 00
Investors: Tel.: +41 21 924 35 09
- Astor Asset Management 3 Ltd: Salinas Pliego Incumple Préstamo de $110 Millones USD y Viola Regulaciones Mexicanas
- Astor Asset Management 3 Ltd: Salinas Pliego Verstößt gegen Darlehensvertrag über 110 Mio. USD und Mexikanische Wertpapiergesetze
- ChargeEuropa zamyka rundę finansowania, której przewodził fundusz Shift4Good tym samym dokonując historycznej francuskiej inwestycji w polski sektor elektromobilności
- Strengthening EU Protections: Robert Szustkowski calls for safeguarding EU citizens’ rights to dignity
- Digi Communications NV announces the release of H1 2024 Financial Results
- Digi Communications N.V. announces that conditional stock options were granted to a director of the Company’s Romanian Subsidiary
- Digi Communications N.V. announces Investors Call for the presentation of the H1 2024 Financial Results
- Digi Communications N.V. announces the conclusion of a share purchase agreement by its subsidiary in Portugal
- Digi Communications N.V. Announces Rating Assigned by Fitch Ratings to Digi Communications N.V.
- Digi Communications N.V. announces significant agreements concluded by the Company’s subsidiaries in Spain
- SGW Global Appoints Telcomdis as the Official European Distributor for Motorola Nursery and Motorola Sound Products
- Digi Communications N.V. announces the availability of the instruction regarding the payment of share dividend for the 2023 financial year
- Digi Communications N.V. announces the exercise of conditional share options by the executive directors of the Company, for the year 2023, as approved by the Company’s Ordinary General Shareholders’ Meetings from 18th May 2021 and 28th December 2022
- Digi Communications N.V. announces the granting of conditional stock options to Executive Directors of the Company based on the general shareholders’ meeting approval from 25 June 2024
- Digi Communications N.V. announces the OGMS resolutions and the availability of the approved 2023 Annual Report
- Czech Composer Tatiana Mikova Presents Her String Quartet ‘In Modo Lidico’ at Carnegie Hall
- SWIFTT: A Copernicus-based forest management tool to map, mitigate, and prevent the main threats to EU forests
- WickedBet Unveils Exciting Euro 2024 Promotion with Boosted Odds
- Museum of Unrest: a new space for activism, art and design
- Digi Communications N.V. announces the conclusion of a Senior Facility Agreement by companies within Digi Group
- Digi Communications N.V. announces the agreements concluded by Digi Romania (formerly named RCS & RDS S.A.), the Romanian subsidiary of the Company
- Green Light for Henri Hotel, Restaurants and Shops in the “Alter Fischereihafen” (Old Fishing Port) in Cuxhaven, opening Summer 2026
- Digi Communications N.V. reports consolidated revenues and other income of EUR 447 million, adjusted EBITDA (excluding IFRS 16) of EUR 140 million for Q1 2024
- Digi Communications announces the conclusion of Facilities Agreements by companies from Digi Group
- Digi Communications N.V. Announces the convocation of the Company’s general shareholders meeting for 25 June 2024 for the approval of, among others, the 2023 Annual Report
- Digi Communications NV announces Investors Call for the presentation of the Q1 2024 Financial Results
- Digi Communications intends to propose to shareholders the distribution of dividends for the fiscal year 2023 at the upcoming General Meeting of Shareholders, which shall take place in June 2024
- Digi Communications N.V. announces the availability of the Romanian version of the 2023 Annual Report
- Digi Communications N.V. announces the availability of the 2023 Annual Report
- International Airlines Group adopts Airline Economics by Skailark ↗️
- BevZero Spain Enhances Sustainability Efforts with Installation of Solar Panels at Production Facility
- Digi Communications N.V. announces share transaction made by an Executive Director of the Company with class B shares
- BevZero South Africa Achieves FSSC 22000 Food Safety Certification
- Digi Communications N.V.: Digi Spain Enters Agreement to Sell FTTH Network to International Investors for Up to EUR 750 Million
- Patients as Partners® Europe Announces the Launch of 8th Annual Meeting with 2024 Keynotes and Topics
- driveMybox continues its international expansion: Hungary as a new strategic location
- Monesave introduces Socialised budgeting: Meet the app quietly revolutionising how users budget
- Digi Communications NV announces the release of the 2023 Preliminary Financial Results
- Digi Communications NV announces Investors Call for the presentation of the 2023 Preliminary Financial Results
- Lensa, един от най-ценените търговци на оптика в Румъния, пристига в България. Първият шоурум е открит в София
- Criando o futuro: desenvolvimento da AENO no mercado de consumo em Portugal
- Digi Communications N.V. Announces the release of the Financial Calendar for 2024
- Customer Data Platform Industry Attracts New Participants: CDP Institute Report
- eCarsTrade annonce Dirk Van Roost au poste de Directeur Administratif et Financier: une décision stratégique pour la croissance à venir
- BevZero Announces Strategic Partnership with TOMSA Desil to Distribute equipment for sustainability in the wine industry, as well as the development of Next-Gen Dealcoholization technology
- Digi Communications N.V. announces share transaction made by a Non-Executive Director of the Company with class B shares
- Digi Spain Telecom, the subsidiary of Digi Communications NV in Spain, has concluded a spectrum transfer agreement for the purchase of spectrum licenses
- Эксперт по торговле акциями Сергей Левин запускает онлайн-мастер-класс по торговле сырьевыми товарами и хеджированию
- Digi Communications N.V. announces the conclusion by Company’s Portuguese subsidiary of a framework agreement for spectrum usage rights
- North Texas Couple Completes Dream Purchase of Ouray’s Iconic Beaumont Hotel
- Предприниматель и филантроп Михаил Пелег подчеркнул важность саммита ООН по Целям устойчивого развития 2023 года в Нью-Йорке
- Digi Communications NV announces the release of the Q3 2023 Financial Results
- IQ Biozoom Innovates Non-Invasive Self-Testing, Empowering People to Self-Monitor with Laboratory Precision at Home
- BevZero Introduces Energy Saving Tank Insulation System to Europe under name “BevClad”
- Motorvision Group reduces localization costs using AI dubbing thanks to partnering with Dubformer
- Digi Communications NV Announces Investors Call for the Q3 2023 Financial Results
- Jifiti Granted Electronic Money Institution (EMI) License in Europe
- Предприниматель Михаил Пелег выступил в защиту образования и грамотности на мероприятии ЮНЕСКО, посвящённом Международному дню грамотности
- VRG Components Welcomes New Austrian Independent Agent
- Digi Communications N.V. announces that Digi Spain Telecom S.L.U., its subsidiary in Spain, and abrdn plc have completed the first investment within the transaction having as subject matter the financing of the roll out of a Fibre-to-the-Home (“FTTH”) network in Andalusia, Spain
- Продюсер Михаил Пелег, как сообщается, работает над новым сериалом с участием крупной голливудской актрисы
- Double digit growth in global hospitality industry for Q4 2023
- ITC Deploys Traffic Management Solution in Peachtree Corners, Launches into United States Market
- Cyviz onthult nieuwe TEMPEST dynamische controlekamer in Benelux, Nederland
- EU-Funded CommuniCity Launches its Second Open Call
- Astrologia pode dar pistas sobre a separação de Sophie Turner e Joe Jonas
- La astrología puede señalar las razones de la separación de Sophie Turner y Joe Jonas
- Empowering Europe against infectious diseases: innovative framework to tackle climate-driven health risks
- Montachem International Enters Compostable Materials Market with Seaweed Resins Company Loliware
- Digi Communications N.V. announces that its Belgian affiliated companies are moving ahead with their operations
- Digi Communications N.V. announces the exercise of conditional share options by an executive director of the Company, for the year 2022, as approved by the Company’s Ordinary General Shareholders’ Meeting from 18 May 2021
- Digi Communications N.V. announces the availability of the instruction regarding the payment of share dividend for the 2022 financial year
- Digi Communications N.V. announces the availability of the 2022 Annual Report
- Digi Communications N.V. announces the general shareholders’ meeting resolutions from 18 August 2023 approving amongst others, the 2022 Annual Accounts
- Русские эмигранты усиливают призывы «Я хочу, чтобы вы жили» через искусство
- BevZero Introduces State-of-the-Art Mobile Flash Pasteurization Unit to Enhance Non-Alcoholic Beverage Stability at South Africa Facility
- Russian Emigrés Amplify Pleas of “I Want You to Live” through Art
- Digi Communications NV announces the release of H1 2023 Financial Results
- Digi Communications NV Announces Investors Call for the H1 2023 Financial Results
- Digi Communications N.V. announces the convocation of the Company’s general shareholders meeting for 18 August 2023 for the approval of, among others, the 2022 Annual Report
- “Art Is Our Weapon”: Artists in Exile Deploy Their Talents in Support of Peace, Justice for Ukraine
- Digi Communications N.V. announces the availability of the 2022 Annual Financial Report
- “AmsEindShuttle” nuevo servicio de transporte que conecta el aeropuerto de Eindhoven y Ámsterdam
- Un nuovo servizio navetta “AmsEindShuttle” collega l’aeroporto di Eindhoven ad Amsterdam
- Digi Communications N.V. announces the conclusion of an amendment agreement to the Facility Agreement dated 26 July 2021, by the Company’s Spanish subsidiary
- Digi Communications N.V. announces an amendment of the Company’s 2023 financial calendar
- iGulu F1: Brewing Evolution Unleashed
- Почему интерактивная «Карта мира» собрала ключевые антивоенные сообщества россиян по всему миру и становится для них важнейшим инструментом
- Hajj Minister meets EU ambassadors to Saudi Arabia
- Online Organizing Platform “Map of Peace” Emerges as Key Tool for Diaspora Activists
- Digi Communications N.V. announces that conditional stock options were granted to executive directors of the Company based on the general shareholders’ meeting approval from 18 May 2021
- Digi Communications N.V. announces the release of the Q1 2023 financial results
- AMBROSIA – A MULTIPLEXED PLASMO-PHOTONIC BIOSENSING PLATFORM FOR RAPID AND INTELLIGENT SEPSIS DIAGNOSIS AT THE POINT-OF-CARE
- Digi Communications NV announces Investors Call for the Q1 2023 Financial Results presentation
- Digi Communications N.V. announces the amendment of the Company’s 2023 financial calendar
- Digi Communications N.V. announces the conclusion of two Facilities Agreements by the Company’s Romanian subsidiary
- Digi Communications N.V. announces the conclusion of a Senior Facility Agreement by the Company’s Romanian subsidiary
- Patients as Partners Europe Returns to London and Announces Agenda Highlights
- GRETE PROJECT RESULTS PRESENTED TO TEXTILE INDUSTRY STAKEHOLDERS AT INTERNATIONAL CELLULOSE FIBRES CONFERENCE
- Digi Communications N.V. announces Digi Spain Telecom S.L.U., its subsidiary in Spain, entered into an investment agreement with abrdn to finance the roll out of a Fibre-to-the-Home (FTTH) network in Andalusia, Spain
- XSpline SPA / University of Linz (Austria): the first patient has been enrolled in the international multicenter clinical study for the Cardiac Resynchronization Therapy DeliveRy guided by non-Invasive electrical and VEnous anatomy assessment (CRT-DRIVE)
- Franklin Junction Expands Host Kitchen® Network To Europe with Digital Food Hall Pioneer Casper
- Unihertz a dévoilé un nouveau smartphone distinctif, Luna, au MWC 2023 de Barcelone
- Unihertz Brachte ein Neues, Markantes Smartphone, Luna, auf dem MWC 2023 in Barcelona
- Editor's pick archive....