Nestlé total sales rose 1.5% from CHF 41.3 billion ($45.64 billion) in the first six months of 2020 to CHF 41.8 billion ($46.19) for the first six months of 2021, according to an earnings release.

Organic growth rose 8.1%, with real internal growth of 6.8% and pricing of 1.3%. Growth was supported by retail sales, a return to growth in out-of-home channels and increased pricing and market share.

Underlying earnings per share rose 10.5% in constant currency and rose by 8.3% on a reported basis to CHF 2.17 ($2.40). Earnings per share rose 3.2% to CHF 2.12 ($2.34) on a reported basis.

Net profit rose 1.1% to CHF 5.9 billion ($6.52 billion).

Shares traded at $126.66 today against a 52-week range of $104.50-$128.17.

The company expects full-year organic sales growth between 5% and 6%. Beyond 2021, the mid-term outlook for continued moderate margin improvement remains unchanged. Underlying earnings per share in constant currency and capital efficiency are expected to increase this year.

By product category, the largest contributor to organic growth was coffee, fueled by strong demand for the three main brands Nescafé, Nespresso and Starbucks.

Starbucks products posted 16.7% growth, with sales reaching CHF 1.4 ($1.56) billion across 79 markets.

Purina PetCare saw double-digit growth led by science-based and premium brands Purina Pro Plan, Purina ONE and Felix, as well as veterinary products.

Prepared dishes and cooking aids posted high single-digit growth, based on strong demand for Maggi and Stouffer's.

Vegetarian and plant-based food offerings continued to see strong double-digit growth, led by Garden Gourmet.

Dairy reported high single-digit growth, led by fortified milks, coffee creamers and ice cream.

Confectionery recorded double-digit growth, supported by a strong sales development in impulse products.

Sales in Nestlé Health Science grew at a double-digit rate, reflecting strong demand for vitamins, minerals and supplements and healthy-aging products.

Infant nutrition saw a sales decrease, impacted by lower birth rates in the context of the pandemic.

Water returned to positive growth, led by international premium brands S. Pellegrino and Perrier.

By channel, organic growth in retail sales was 7.3%, moderating to a mid single-digit rate in the second quarter due to a high base of comparison in 2020.

E-commerce sales grew by 19.2%, reaching 14.6% of total group sales, with strong momentum in most categories, particularly coffee, Purina PetCare and culinary.

Organic growth in out-of-home channels was 21.3%, helped by the easing of movement restrictions in some geographies.

"Organic growth was strong across most geographies and categories, with robust momentum in retail sales and a return to growth in out-of-home channels," Mark Schneider, Nestle CEO, said in the press release. "Through fast-paced innovation, strong brand support, increased digitalization and stringent portfolio management we have built the foundation for delivering consistent mid single-digit organic growth for years to come."

The company expects full-year organic sales growth between 5% and 6%. The underlying trading operating profit margin is now expected around 17.5%, reflecting initial time delays between input cost inflation and pricing as well as the one-off integration costs related to the acquisition of The Bountiful Co.'s core brands.

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