Commenting on the first quarter figures, Mark Schneider, Nestlé CEO says: “Nestlé delivered strong organic growth in the first quarter, as our teams worked diligently to protect volume and ensure resilient mix. Portfolio optimisation efforts and responsible pricing helped to offset the ongoing pressures from two years of cost inflation.
We continued our portfolio management journey with the creation of a joint venture dedicated to the frozen pizza business in Europe. The new partnership provides the best platform to develop the full potential of this business.
Following a strong start to the year, we confirm our full-year 2023 outlook and remain focused on creating value for all stakeholders”.
Organic growth was 9.3%. Pricing was 9.8%, reflecting significant cost inflation. RIG was -0.5%, impacted by capacity constraints and portfolio optimisation actions. Demand elasticity and consumer downtrading remained limited in the context of pricing actions.
Growth was broad-based across most geographies and categories. Organic growth was 8.6% in developed markets, led by pricing. Organic growth in emerging markets was 10.3%, driven by pricing and positive RIG.
Outlook
Full-year 2023 outlook confirmed: we expect organic sales growth between 6% and 8% and underlying trading operating profit margin between 17.0% and 17.5%. Underlying earnings per share in constant currency is expected to increase between 6% and 10%. For the full report visit nestle.com
