Nestle third-quarter sales rise as real internal growth accelerates

(AWP Alliance News) - Nestle SA on Thursday reported a rise in sales in the third-quarter, bringing its nine-month sales performance up to in line with a year before, as the food and drink maker credited its focus on core product lines.

The Vevey, Switzerland-based group reported total sales of CHF22.76 billion, about USD27.74 billion, in the three months that ended September 30, up 5.2% from CHF21.64 billion a year before. On an organic basis, third-quarter sales were up 4.0%, including real internal growth of 2.8% and 1.1% from price increases. Real internal growth picked up from 1.8% in the second quarter.

Nestle noted that real internal growth was positive across all of its geographic zones and global business units in the third quarter. RIG was 2.4% for the Americas, 5.0% for Asia, Oceania & Africa, and 1.0% for Europe. It was 1.1% for Nespresso and 7.3% for Nestle Waters & Premium Beverages.

Chief Executive Officer Philipp Navratil said the recent agreement to divest Nestle's mainstream vitamins, minerals and supplements business has helped to focus the company on areas where it has the strongest competitive advantage.

At the start of September, Nestle said it agreed to sell its vitamins, minerals and supplements business to US private equity firm Yellow Wood Partners LLC for USD1 billion.

The positive third-quarter performance brought nine-month sales to CHF65.87 billion, flat on the same period of 2025. Organic growth in the year-to-date was 3.7%. Real internal growth contributed 1.9% growth and price hikes 1.8%.

Nestle maintained its full-year 2026 guidance for 3% to 4% organic revenue growth, with RIG accelerating compared to 2025, when it was 0.8%. Underlying trading operating profit margin also is expected to improve on 2025, when it was 16.1%, with the second half margin similar to the first half, excluding any US tariff refunds.

This is Navratil's first full year as CEO, having received an emergency promotion from leading the Nespresso unit after then-CEO Laurent Freixe was fired for having a romantic relationship with a direct subordinate.

Nestle shares were up 1.8% to CHF84.99 in Zurich on Thursday morning.

By Tom Waite, Alliance News editor

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