Price rises drive Nestlé turnover up, but profits disappoint 

Frankfurt, Feb. 16, (dpa/GNA) –  Multinational food concern Nestlé boosted turnover during 2022 on the back of increased prices to consumers, while profits declined sharply, the Swiss-based company reported on Thursday. 

“Last year brought many challenges and tough choices for families, communities and businesses. Inflation surged to unprecedented levels, cost of living pressures intensified, and the effects of geopolitical tensions were felt around the world,” Nestlé chief executive Mark Schneider said. 

Turnover rose 8.4% to 94.4 billion Swiss francs ($102.3 billion), exceeding management forecasts but falling short of what analysts had expected. Turnover in Nespresso coffee capsules in both the European and the North American markets was below average. 

By contrast, profits fell by as much as 45% to 9.3 billion Swiss francs. 

Schneider said the company aimed to boost margins over the current year. “Looking to 2023, we expect another year of robust organic growth, with a focus on restoring our gross margin, stepping up marketing investments and increasing free cash flow.” 

Nestlé was “in a strong position to achieve our 2025 targets and to generate reliable, sustainable shareholder returns,” he added. 

GNA