Nestle sales rise almost 8% as home working fuels Nespresso demand
Restaurants also stock up as they begin reopening
Swiss food giant sold more Nespresso capsules to people working from home in the first quarter of 2021. Photograph: iStock
Nestle sales grew more than twice the rate analysts expected as the Swiss food giant sold more Nespresso capsules to people working from home while restaurants stocked up as they started reopening.
Sales rose 7.7 per cent in the first quarter on an adjusted basis, the fastest in years, setting chief executive Mark Schneider up to achieve his goal of reaching annual mid-single digit growth.
Analysts will probably increase their organic-sales estimates to the higher end of a 4-5 per cent range, according to Cedric Besnard, analyst at Citigroup.
In February, Schneider said sales growth may cross the threshold of 4 per cent this year and should at least match last year’s 3.6 per cent pace. – Bloomberg