You are here: Home » International » News » Companies
Business Standard

Nestle raises full-year guidance after third quarter sales beats poll

For the first nine months of the year, Nestle's organic sales grew by 3.5%, compared to analysts' average estimate for 2.8%, according to a company-supplied consensus

nestle | Q3 results

Reuters  |  ZURICH 

Photo: Reuters
Photo: Reuters

ZURICH (Reuters) - raised its guidance for organic sales growth to around 3% for 2020 on Wednesday after posting better-than-expected growth of 4.9% for the third quarter driven by strong demand for pet food and health products.

The world's biggest food group has weathered the COVID-19 pandemic better than some of its peers thanks to its broad portfolio, with resilient pet food and health businesses making up for a slump in food sales to restaurants and cafes.

Demand for foods and drinks consumed at home, well-known brands and products with health benefits remained strong during the pandemic, while sales of products destined to out-of-home venues struggled in the third quarter, the maker of Nescafe coffee and KitKat chocolate said in a statement.

For the first nine months of the year, Nestle's organic sales grew by 3.5%, compared to analysts' average estimate for 2.8%, according to a company-supplied consensus.

Sales in the Americas posted the strongest growth rate in the nine-month period, while Asia was only slightly positive.

Sales in Swiss francs fell 9.4% to 61.9 billion Swiss francs ($68.33 billion) hit by the sale of Skin Health and the U.S. ice cream business.

had previously expected organic growth of 2-3% for this year.



($1 = 0.9059 Swiss francs)


(Reporting by Silke Koltrowitz, editing by John Revill)

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Wed, October 21 2020. 11:32 IST