Sale Nestlé reports full-year results and wants to sell Herta

by Editor fleischwirtschaft.com
Friday, February 15, 2019
This business is no longer healthy enough for Nestlé, the world's largest food producer.
Photo: Herta
This business is no longer healthy enough for Nestlé, the world's largest food producer.

Organic growth of 3.0%, with continued strong real internal growth (RIG) of 2.5% and pricing of 0.5%. Growth was supported by stronger momentum in the US and China, as well as in infant nutrition. Total reported sales increased by 2.1% to CHF 91.4 bn. (2017: CHF 89.6 billion). Net acquisitions had a positive impact of 0.7% and foreign exchange reduced sales by 1.6%.

The company will explore strategic options for the Herta charcuterie (cold cuts and meat-based products) business as a further step in positioning the portfolio towards attractive high-growth categories like alternative proteins.

This business is no longer healthy enough for Nestlé, the world's largest food producer. This is why the Group wants to sell the traditional brand. By the end of the year, the managers around CEO Mark Schneider will be examining their options.

In 2019 the company expects continued improvement in organic sales growth and underlying trading operating profit margin towards our 2020 targets. Underlying earnings per share in constant currency and capital efficiency are expected to increase.

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