Nestle S.a. · SIX:NESN
Nestle — FY2025 Earnings Presentation
34 slides from Nestle's earnings presentation, Feb 19, 2026
Slide 1: Full-year Results 2025 Roadshow presentation
Full-year Results 2025 Roadshow presentation
Slide 2: Key takeaways
Key takeaways Our actions Strategy Execution is Performance are working is clear accelerating is improving Improved organic Focused portfolio, Performance Expect sustained sales growth bolder investment culture, efficiency improvement in trends in 2025 in growth through simpler 2026 and beyond organ
Slide 3: Strategic priorities for 2026 and beyond
Strategic priorities for 2026 and beyond 1 Winning portfolio 2 RIG-led growth 3 Transformation and efficiency 4 Cash and capital allocation 5 Performance culture 3 February 19, 2026 Full-year results 2025
Slide 4: Winning portfolio
Winning portfolio Winning business Structural growth Leading position Attractive returns Gaining share Winning combination Commercial Shared synergies capabilities 4 February 19, 2026 Full-year results 2025
Slide 5: Focused on four businesses with leading positions and brands
Focused on four businesses with leading positions and brands Coffee Petcare Nutrition Food & Snacks Group sales* 29% 21% 21% 29% CHF 25 billion CHF 18 billion CHF 18 billion CHF 25 billion Market Portion #1 Cat #1 Infant #1 Food** #1/2 positions Soluble #1 Dog #2 Kids & all family #1 Confectionery**
Slide 6: Nutrition business well-positioned across four categories
Nutrition business well-positioned across four categories Medical nutrition Infant nutrition Kids & all family nutrition Adult nutrition CHF 2 bn CHF 5 bn CHF 6 bn CHF 5 bn 4-6% CAGR 1-3% CAGR 2-4% CAGR 5-7% CAGR 2025 sales by zone 2025 sales by zone 2025 sales by zone 2025 sales by zone AOA EUR AMS
Slide 7: Expanding priority growth platforms and driving the core
Expanding priority growth platforms and driving the core underpins 4%+ medium term OG Coffee Petcare Nutrition Food & Snacks Category growth* Category growth* Category growth* Category growth* Core business Growth platforms 3-4% 3-4% 3-5% 2-3% OG 3-4% OG HSD RIG 1-3% RIG MSD Growth platforms Growth
Slide 8: Growth platforms – examples
Growth platforms – examples Cold coffee Pet therapeutics Medical nutrition KitKat Drivers • New need states: refreshment, • Pet humanization • Ageing populations, • Continued growth in snacking functionality, indulgence accelerating premiumization chronic disease prevalence culture • Convenience, ex
Slide 9: Growth platforms – examples
Growth platforms – examples Cold coffee Pet therapeutics Medical nutrition KitKat 9 February 19, 2026 Full-year results 2025
Slide 10: Strategic priorities for 2026 and beyond
Strategic priorities for 2026 and beyond 1 Winning portfolio 2 RIG-led growth 3 Transformation and efficiency 4 Cash and capital allocation 5 Performance culture 10 February 19, 2026 Full-year results 2025
Slide 11: Increased pace of delivery of cost savings
Increased pace of delivery of cost savings ‘Fuel for growth’ P&L impact, CHF billion ‘Fuel for growth’ key figures • Fuel for growth cost savings target increased to CHF 3.0 billion in October 2025 3.0 2.8 • Accelerated delivery in 2025 with CHF 1.1 billion versus CHF 0.7 billion target 2.0 • Saving
Slide 12: Improving cash flow is a focus
Improving cash flow is a focus Working capital*, % of sales Cash generation action plan 3.2% • Enhanced governance and accountability 1.9% 1.6% 1.4% 1.3% 1.2% 0.6% • Data-led control 0.0% 0.1% 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 • Capex discipline tightened Capex**, % of sales • Safety
Slide 13: Capital allocation priorities
Capital allocation priorities Growth Shareholder returns Leverage Organic growth M&A Dividend Share buyback Debt reduction Targeted growth Bolt-ons in areas Practice of year-on- Use of excess cash, Lower leverage, investments with with proven ability year DPS increase when available within target ri
Slide 14: Strategic priorities for 2026 and beyond
Strategic priorities for 2026 and beyond 1 Winning portfolio 2 RIG-led growth 3 Transformation and efficiency 4 Cash and capital allocation 5 Performance culture 14 February 19, 2026 Full-year results 2025
Slide 15: Organization to promote accountability and leverage scale
Organization to promote accountability and leverage scale Local execution at market level • Consumer insights and customer relationships • Commercial execution and prioritization • Local brand activation • Deploying and scaling innovation pipelines • Responsibility for operational P&L Strategic abov
Slide 16: Incentives adjusted to support priorities and reward performance
Incentives adjusted to support priorities and reward performance Annual bonus metrics evolution, 2026 vs 2024 Key changes in 2026 vs 2024 • RIG ‘gatekeeper’ introduced Growth Profitability Personal goals 2024 60% 40% Often • Personal goals linked to standard KPIs OG UTOP margin subjective and projec
Slide 17: Reinforced governance through Board of Directors
Reinforced governance through Board of Directors Continued practice of regular Board refreshment • Two new Directors proposed for election in April 2026 – Fama Francisco - CEO Global Baby, Feminine and Family Care at Procter & Gamble – Thomas Jordan – former Chairman of the Governing Board at the Sw
Slide 18: Results 2025
2025 Results 18 February 19, 2026 Full-year results 2025
Slide 19: External factors significant in recent years
External factors significant in recent years Organic growth - volume, mix & price, % Gross profit margin, indexed to 100 Petcare, Nutrition, and Food 100 Coffee and Confectionery Coffee & Coffee & Covid ‘at home’ Widespread cocoa Widespread cocoa consumption inflation inflation inflation inflation 0
Slide 20: Organic growth accelerated over the last two years
Organic growth accelerated over the last two years Group OG and drivers, % Organic growth, % 14.0 12.4 4.2 11.5 2.9 6.0 2.3 2.1 1.8 1.0 -1.2 -4.1 H1-24 H2-24 H1-25 H2-25 H1-24 H2-24 H1-25 H2-25 Priority growth 18 key underperformers 18 key RIG Pricing OG opportunities excluding Greater China underpe
Slide 21: Market share trends improved in 2025, but more to do
Market share trends improved in 2025, but more to do Value and volume growth gap to market reducing Drivers of market share turnaround 2024 2025 Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Total group 0 • Value share gap cut by ~60% • Volume share is broadly flat – positive lead indicato
Slide 22: Strong action on costs and pricing to mitigate headwinds
Strong action on costs and pricing to mitigate headwinds Underlying trading operating profit margin, % 17.2% 16.1% -250 bps +140 bps -50 bps +40 bps -40 bps +120 bps -70 bps UTOP Input Net tariffs Others* Advertising Cost RIG Net UTOP FY-24 costs & FX & marketing** savings leverage Pricing FY-25 * O
Slide 23: Financial impact of infant formula recall
Financial impact of infant formula recall Drivers 2025 2026 • Sales returns • Sales returns and stock shortages in Q1 Impact on of CHF c.200 million (= c.90 bps in Q1) • Stock shortages • Zero OG and sales: • Potential consumer impact • Potential consumer impact uncertain Impact on • Gross profit ef
Slide 24: 2026 and medium-term financial guidance
2026 and medium-term financial guidance 2026 Medium-term • RIG accelerating versus 2025 Range from • Range includes expected c.-20 bps impact of sales 4%+ Organic growth around 3% returns & stock shortages from infant formula recall in normal up to 4% • Additional impact is uncertain and could drive
Slide 25: Creating shared value in 2025
Creating shared value in 2025 Category Action Climate Reduction of greenhouse gas emissions 24.5% net reduction* Packaging Reduction in virgin plastic use 28% reduction* Regenerative Sourcing from regenerative agriculture 27.6% of ingredients agriculture Nutrition Micronutrient fortified food & beve
Slide 26: Appendix
Appendix 26 February 19, 2026 Full-year results 2025
Slide 27: Organic growth by quarter
Organic growth by quarter Group Group excluding Greater China & NHSc Greater China and NHSc 88% of sales (FY–25) 12% of sales (FY–25) Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 Q3-25 Q4-25 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 Q3-25 Q4-25 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 Q2-25 Q3-25 Q4-25 RIG Pricing OG RIG Pri
Slide 28: Sales in CHF and USD
Sales in CHF and USD Sales, CHF billion and USD billion 107.6 103.6 103.8 98.8 95.2 93.4 93.2 93.0 90.8 91.0 91.4 90.0 89.5 94.4 92.6 87.1 91.4 89.5 89.6 84.3 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 CHF USD 28 February 19, 2026 Full-year results 2025
Slide 29: UEPS in CHF and USD
UEPS in CHF and USD UEPS, CHF and USD 5.35 5.41 5.31 5.02 4.84 4.44 4.49 4.80 4.80 4.77 4.10 4.41 4.42 4.42 4.21 3.61 4.02 3.45 3.55 3.40 2016 2017* 2018 2019 2020 2021 2022 2023 2024 2025 CHF USD *Restated to reflect implementation of IFRS 15 and IFRS 16 in 2017 29 February 19, 2026 Full-year resul
Slide 30: Key financial guidance for 2026
Key financial guidance for 2026 Item 2025 actual 2026 guidance Organic growth 3.5% In the range of around 3% up to 4%, with RIG accelerating versus 2025 FX effect on sales -5.7% Approx. -6%, assuming current FX spot rates for remainder of the year Gross profit margin 45.6% Improving versus 2025 UTOP
Slide 31: 2025 sales by geographic area and average currency rate
2025 sales by geographic area and average currency rate Average rate FY-2025 FY-2025 Variation By principal markets (CHF m) (%) FY-2024 FY-2025 (%) AMS 42 958 48.0 US Dollar 1 USD 0.880 0.831 -5.6% United States 28 605 32.0 Euro 1 EUR 0.952 0.937 -1.6% Brazil 3 983 4.5 Chinese Yuan Renminbi 100 CNY
Slide 32: FY-2025 Operating segments including AMS & AOA breakdown (1 of 2)
FY-2025 Operating segments including AMS & AOA breakdown (1 of 2) 2025 Performance Q1-25 Q2-25 H1-25 RIG Pricing OG RIG Pricing OG RIG Pricing OG % % % % % % % % % Zone AMS 0.1 1.7 1.9 -1.2 3.5 2.3 -0.5 2.7 2.1 North America 1.1 -1.0 0.1 0.2 0.4 0.5 0.6 -0.3 0.3 Latin America -1.6 6.7 5.1 -3.9 9.8 5
Slide 33: FY-2025 Operating segments including AMS & AOA breakdown (2 of 2)
FY-2025 Operating segments including AMS & AOA breakdown (2 of 2) 2025 Performance (continued) Q3-25 Q4-25 FY-25 RIG Pricing OG RIG Pricing OG RIG Pricing OG % % % % % % % % % Zone AMS 0.0 3.4 3.4 1.3 2.4 3.7 0.1 2.8 2.8 North America -0.6 1.1 0.5 2.4 0.1 2.5 0.8 0.2 1.0 Latin America 1.5 8.3 9.9 -1
Slide 34: 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.