2024 Nestlé Capital Markets Day

This transcript may have been edited for clarity

Address by Laurent Freixe – CEO Nestlé

Good morning and welcome to Nestlé.

The objective of today is to show you how we will accelerate Nestlé. We have a super power at Nestlé. Our super power is in being the most global and at the same time the most local company.

We have a global footprint in 188 countries. Around 70% of our sales are in number one or strong number two positions. We have an unmatched portfolio of products and brands.

And last but not least we have incredible people and a great culture of quality and long-term continuous improvement.

To accelerate our performance and our transformation, our actions come into three key areas of opportunity and it starts with operational excellence, with a focus on the core. The second big theme is unlocking the full potential of our portfolio. It means expanding the biggest winners and the good news is that we have exciting opportunities. The third big theme is strengthening our foundational capabilities. All of this will drive performance, acceleration and transformation to create a better and more capable Nestlé for the long term.

Address by Anna Manz – CFO Nestlé

On organic growth, we aim to accelerate our categories and improve market share and this will translate into + 4% organic sales growth in normal market conditions, and will support us returning to a UTOP margin of + 17% in the medium term. Driving category growth and improving market share will be key to fund our growth plans. We aim to deliver incremental cost savings of CHF 2.5 billion by the end of 2027 in addition to our existing efficiency initiatives. We will be more polarized in our resource allocation and rigorously track the return.

The good news here is we have so much opportunity and we're clear on where to focus and what actions to take and we're embedding a new level of rigor. It will take time but it will have an impact.

Address by Laurent Freixe – CEO Nestlé

In innovation, the focus, as I said, will be on the impact and on the incrementality with fewer and bigger initiatives. We have leading science and research capabilities. We invest more in R&D than any other company in our industry and for 2025 at group level we have selected six initiatives to prioritize. Not all of them will become billionaire brands, billionaire businesses, but each has the potential to achieve at least CHF 100 million in sales.

You heard how we will fuel and accelerate the growth and we are wasting no time. We are making changes to make things happen and drive a strategic virtuous circle of sustainable and profitable growth.

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