Nestle S.a. · SIX:NESN
Nestle — Investor Day (November 2024)
17 slides from Nestle's investor day presentation, Nov 19, 2024
Slide 1: The world of Nutrition at the center of Nestlé Nutrition Health and Wellness
The world of Nutrition at the center of Nestlé Nutrition Health and Wellness (NHW) World of Nutrition CHF 22.3 bn (2023 Sales) ~71% ~29% • F&B solutions targeted by life-stage • Medical Nutrition and Consumer Care • Dedicated brands by age segment • Broadline brands across life stages • Mass retail
Slide 2: Leading from pre-conception to healthy longevity
Leading from pre-conception to healthy longevity Nutrition Strategy & Growth Platforms Serena Aboutboul | Nutrition Strategic Business Unit Head Kais Marzouki | CEO Nestlé Philippines
Slide 3: Disclaimer
Disclaimer This presentation contains forward looking statements which reflect Management’s current views and estimates. The forward-looking statements involve certain risks and uncertainties that could cause actual results to differ materially from those contained in the forward- looking statements
Slide 4: #3 category for Nestlé: sizable and profit accretive business
#3 category for Nestlé: sizable and profit accretive business Sales 2023 Where we sell What we sell and our position CHF 15.8 bn North Europe America Early Childhood 10% 11% 55% #1 Nutrition #3 in Nestlé Greater 18% of total China 10% Group Sales Kids and All Family Nutrition 39% #1 Latin AOA Underl
Slide 5: Our Scope
Our Scope Age-adapted nutritional solutions from pre-conception to healthy longevity New SBU created in 2023 merging Infant Nutrition and Dairy Young Young Infants Toddlers Kids Teens Kidults Adults Seniors CONSUMER & Children Adults NEEDS Breastfeeding & Becoming independent Healthy eating at home
Slide 6: Four macro forces shaping the future evolution of the market
Four macro forces shaping the future evolution of the market Flattening number of live DECLINING BIRTH RATES BUT China weight declining 1 GEOGRAPHIC DISCREPANCIES births and less babies per while AOA rising household Older age groups: 45-65+ Proactive approach 2 AGING POPULATION growing fastest to a
Slide 7: A CHF ~160B addressable market with attractive growth pools
A CHF ~160B addressable market with attractive growth pools ADDRESSABLE Early Childhood Kids & All Family Adult MARKET Nutrition Nutrition Nutrition ~160bn (CHF bn, 2023) MARKET CAGR 2025-2027 2-3% 3% 5%+ KEY DRIVERS OF GROWTH • Premiumization • Convenience & on-the-go: • Women’s health • High penet
Slide 8: We are best positioned to lead across the lifelong journey globally
We are best positioned to lead across the lifelong journey globally A global powerhouse Trusted brands across Proprietary science & price segments technology mastership Strong local presence across all Biotics Premium segment Probiotcs, HMOs, Zones symbiotic Leader in largest geographies Sugar reduc
Slide 9: Focus on consumer centricity and portfolio choices
Focus on consumer centricity and portfolio choices Challenging context …but resilient business …with clear strategic in 2021-2023… & portfolio choices... principles • Overperformed the category in Early Childhood Birth rates decline, particularly Infant Formula Expanding beyond the first 1000 Nutrit
Slide 10: Our key strategic growth platforms
Our key strategic growth platforms Accelerate market share gain Drive volume growth in Kids 1 2 3 Scale Adult Nutrition in Early Childhood Nutrition and All Family nutrition • Lead in premium Infant Formula with • Step-up investments behind kids' • Grow presence in Women health next generation HMOs
Slide 11: Cutting edge innovations fueling our growth
Cutting edge innovations fueling our growth Accelerate market share gain Drive volume growth in Kids 1 2 3 Scale Adult Nutrition in Early Childhood Nutrition and All Family nutrition Next generation HMOs Nutritious beverages for teens Maternal supplements & nutrition Unlocking Synergistic Nutrition
Slide 12: Powerhouse Nestlé Philippines
Powerhouse Nestlé Philippines Woven into the fabric Challenging yet relevant of Philippine society consumer context • 1.5 million babies born per year 0.8% of the Philippine’s GDP Sizable contribution • Micro-nutrient deficiencies are rampant to economy • 27% of all children below 5 are stunted 18%
Slide 13: Leader in the lifelong journey with power brands across price segments
Leader in the lifelong journey with power brands across price segments Early Childhood Nutrition Kids & Family Nutrition Adult Nutrition LEADING BRANDS Strong #1 leader in each age bracket, RBES score >140 in each segment LEADING +4.2% Sales CAGR (2021-2023) POSITION Most trusted brand when it comes
Slide 14: Early childhood nutrition: strengthening our leadership through superior innovations and engagement
Early childhood nutrition: strengthening our leadership through superior innovations and engagement Past success Unlocking future growth Advanced formulation with proprietary Sales CAGR 2021-23 clinical trials 1. Address inappropriate 6.8% substitutes Integrated digital ecosystem Engaged consumers 2
Slide 15: Kids and family nutrition: Bear Brand and Milo strong footprint with opportunity to expand further
Kids and family nutrition: Bear Brand and Milo strong footprint with opportunity to expand further Past success Unlocking future growth Strong value proposition at accessible price points 1. Continue address micro-nutrient Household deficiencies with proprietary penetration technologies >90% 2. Scal
Slide 16: Adult nutrition: leverage strong brand equity to value-up and capture additional consumption moments
Adult nutrition: leverage strong brand equity to value- up and capture additional consumption moments Past success Unlocking future growth • Leveraged strong brand equity Market share gain of Bear Brand to enter Adult YTD 1. Drive penetration of Bear Nutrition segment Brand Adult +230 • Tailored nut
Slide 17: Key messages
Key messages • Nutrition is core to Nestlé with attractive growth pools to accelerate – Premiumization, Affordable solutions and Adult Nutrition. • We’re uniquely positioned to lead from pre-conception to healthy longevity. Philippines being a lighthouse to illustrate that. • We focus on: 1) Acceler