UPDATE: The company's CFO, Wan Ling Martello, is heading to anew roleas executive vice president of Asia, Oceania, and Africa for the company starting in May, replacing Nandu Nandkishore who is retiring. CEO Paul Bulcke will handle some CFO responsibilities before a replacement CFO is named.
Dive Brief:
- While Nestle SA reported only a slight 0.5% rise infirst quarter salesending March 31, the company also posted a 4.4% increase in organic sales, the latter which topped analysts' estimates.
- Those sales numbers included a 3.7% boost for Nestle'sAmericas unit.
- Nestle confirmed a full-year prediction of 5% organic growth attributed to "improvements in margins, underlying earnings per share in constant currencies and capital efficiency,” Paul Bulcke, Nestlé CEO said in astatement.
Dive Insight:
Nestle was thethird European companythis week, followingUnileverandDanone, to announce better-than-expected financial numbers for the quarter. While multiple sources called the sales numbers positive, The Wall Street Journal noted sales numbers were below expectations. After abouttwo yearsof uncertainty in the global food market, this could be a sign of recovery.
At Nestle's annual meeting,Nestlé ChairmanPeter Brabeck-Letmathe said that themergerbetween H.J. Heinz Co. and Kraft Foods Group could inevitably lead to amajor contenderfor the top spots in the food industry.
Nestle is alsoin talksto shed Davigel, andfacesscrutinyamid California's drought.
