Nestle Again Nudges 2022 Sales Outlook Higher

Nestle Again Nudges 2022 Sales Outlook Higher

ZURICH (Reuters) – Nestle has tweaked its 2022 sales outlook higher, the world’s largest packaged food company said ahead of an investor seminar on Tuesday.

“We now expect organic sales growth between 8% and 8.5%. The underlying trading operating profit margin is expected around 17.0%. Underlying earnings per share in constant currency and capital efficiency are expected to increase,” it said after forecasting in October organic sales would rise around 8%.

Organic growth, which cuts out the impact of currency movements and acquisitions, was 8.5% in the nine months to the end of September, the highest since 2008.

Nestle also said it had decided to explore strategic options for peanut allergy treatment Palforzia “following slower than expected adoption by patients and healthcare professionals”. It expected the review to be completed in the first half of 2023.

(Reporting by Michael Shields, Editing by Miranda Murray)