Nestlé has presented its full-year results for 2021, showing an increase in total reported sales of 3.3% to CHF87.1bn. Organic growth reached 7.5%, with real internal growth (RIG) of 5.5% and pricing of 2.0%. Growth was supported by continued momentum in retail sales, steady recovery of out-of-home channels, increased pricing and market share gains, according to the statement. Foreign exchange reduced sales by 1.3%. Net divestitures had a negative impact of 2.9%.
Frozen and chilled food reported mid-single-digit growth for the Americas area, supported by strong sales developments for Stouffer’s, Lean Cuisine, and Hot Pockets. Pizza saw a sales decrease following a high base of comparison in 2020, with a return to positive growth in the fourth quarter. Water reported mid-single-digit growth, led by strong growth for the recently acquired Essentia Water business. Sales in confectionery in Canada grew by close to 10%, driven by KitKat. Home-baking products, including Toll House and Carnation, saw a sales decrease following exceptional demand in 2020 but remained above 2019 levels.
“In 2021, we remained focused on executing our long-term strategy and stepping up growth investments, while at the same time navigating global supply chain challenges. Our organic growth was strong, with broad-based market share gains, following disciplined execution, rapid innovation and increased digitalization. We limited the impact of exceptional cost inflation through diligent cost management and responsible pricing. Our robust underlying earnings per share growth shows the resilience of our value creation model. The entire Nestlé team demonstrated exemplary perseverance and agility in a challenging environment,” Mark Schneider, Nestlé CEO, said.