Business
Nestle Expects Stable Sales Growth As Cost Inflation Eases
Swiss food giant Nestle has anticipated stable growth in sales volumes from the second quarter onwards, as cost inflation eases, according to CEO Markus Schneider.
In an interview with Swiss weekend paper “Schweiz am Wochenende” on Saturday, Schneider expressed confidence that the company has overcome challenges posed by cost inflation and lower sales volumes due to marked-up prices.
“From the second quarter and for the rest of the year, we can expect a stable, positive contribution to growth from volume and product mix,” Schneider said
This optimistic outlook came after Nestle reported a 5.9% decline in sales in the first quarter, although sales rose 1.4% when adjusted for currency swings. The company had forecast currency-adjusted 2024 sales growth of 4% in April.
Nestle, the maker of popular brands such as Nespresso, KitKat, and Perrier, is poised to benefit from easing cost inflation and stabilising sales volumes, paving the way for stable growth in the remainder of the year.
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