The food giant Nestlé presented its new medium-term financial objectives on Tuesday, with average organic growth around 5%, the multinational said as part of a day for investors.
The Veveysan group also aims to return to a recurring current operating margin of 17.5% to 18.5% by 2025. With the sharp rise in input costs in 2021 and 2022, profitability has indeed been penalized lately. .
Recurring earnings per share should grow by 6% to 10% each year, at constant exchange rates, until 2025.
Organic growth forecasts for the current year have been raised slightly, an increase of 8% to 8.5% is now expected, once morest 8% previously.
Nestlé will also continue its share buyback program for an amount of 20 billion francs over the period 2022-2024. The company has already repurchased regarding 9.7 billion shares this year.
Shareholders will also benefit from a policy of increasing the dividend from year to year.
On the product side, the focus is on food and beverages, including Nestlé Health Science and nutrition products, which offer further growth potential, the statement said.
Regarding the drug Palforzia, used to treat peanut allergies, different strategic options must be examined by the end of the first half of 2023, while the adoption by patients and healthcare professionals is slower than expected.
/ATS
