Nestle S.A (NSRGF) Q2 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good morning and welcome to Nestlé's half-year 2025 results conference call. I'm David Hancock, Head of Investor Relations, and I'm joined today by Laurent Frex, CEO, and Anna Manns, CFO. Before we begin, please take careful note of the disclaimer on page two of our presentation. So for the agenda today, after Laurent shares the key messages, Anna will take us through the results in detail, then Laurent will provide an update on our strategic progress. We will then open up for Q&A. And with that, I'll hand over to Laurent. Thank you, David, and good morning to all. We delivered a good performance in the first half of 2025 in a difficult environment. Thanks to the focus of our teams, we are continuing to execute our strategy and transform our business. Our growth foundations are improving and we are beginning to see the results. Looking ahead, we have maintained our guidance for 2025 despite increased headwinds and we remain confident in delivering our medium-term guidance. In the first half, organic growth reached 2.9%. This reflects broad-based sales growth across geographies and categories with a slight improvement in Q2 compared to Q1. We delivered a solid UTOP margin as we increased investment and faced Cox and Forex headwinds. These results demonstrate our ability to manage short-term dynamics while staying focused on long-term value creation. I will hand over to Anna to take you through the results in detail. Thanks, Laurent, and good morning. Here are the key takeaways. We delivered broad-based organic growth. As expected, pricing accelerated and rigs slowed. UTOP margin was slightly better than our expectations, even though we stepped up gross investments and faced some headwinds from tariffs and FX. In the second half, our margins will be significantly lower...