VEVEY (dpa-AFX) - Nestlé (NSRGY.PK, NSTR.L) reported that its profit attributable to shareholders of the parent for the first half of the year decreased by 11.7% to 5.25 billion Swiss francs from 5.95 billion francs in the previous year.
Net profit margin decreased by 270 basis points to 11.5% as a result of one-off items, including higher impairments and taxes. As a consequence, earnings per basis share decreased by 9.5% to 1.92 francs on a reported basis.
Underlying earnings per share increased by 8.1% in constant currency and increased by 7.3% on a reported basis to 2.33 francs.
Underlying trading operating profit increased by 6.0% to 7.7 billion francs.
Total reported sales for the period increased by 9.2% to 45.6 billion francs from 41.8 billion francs last year. Net acquisitions had a positive impact of 1.0%. Foreign exchange increased sales by 0.1%.
Organic growth reached 8.1%, with real internal growth or RIG of 1.7% and pricing of 6.5%. Growth was broad-based across most geographies and categories, with increased pricing and resilient RIG.
Looking ahead for 2022, the company now expects organic sales growth between 7% and 8%. The underlying trading operating profit margin is now expected around 17.0%. Underlying earnings per share in constant currency and capital efficiency are expected to increase.
The company said in April that it expected annual organic sales growth around 5% and underlying trading operating profit margin between 17.0% and 17.5%. Underlying earnings per share in constant currency and capital efficiency were expected to increase.
For more earnings news, earnings calendar, and earnings for stocks, visit rttnews.com
Copyright(c) 2022 RTTNews.com. All Rights Reserved
Copyright RTT News/dpa-AFX