Research archive for NSRGY

Nestle has made a $2.6 billion offer to buy out Aimmune Therapeutics, adding it to the Nestle Health Sciences portfolio. Aimmune is a biopharmaceutical company which has been developing a drug to address peanut allergies called Palforzia. Palforzia exposes patients to small doses of peanut protein over time in order to reduce their allergic reactions.

Nestle, one of the biggest food businesses in the world, certainly one who holds the gold standard for a large part of their offering, reported full year numbers recently. We recently did a deep dive at their nine month numbers, you will recall the message Nestle 9 month numbers - slow and steady. There we covered the company history in detail, which is important in terms of where to next, most especially in the new CEO era, the first non Nestle insider to run the business. Ulf Mark Schneider has been at the business since the beginning of the year, 45 odd days in, I am sure that he is getting his footing. What often happens with fresh blood is that they "feel" their way around and find a way to inject new energy into this business. Which it desperately needs.

Nestle is a business that stands tall on brand excellence. When you talk of Nestle, you imagine the gold standard in food products, the best of the best. The company is very close to our newest colleague, Bright, who has nearly been here for a year. Bright used to work there, not a bad first employer, you would say? The company delivered a 9 month sales update yesterday, delivered from the canton of Vaud, the town of Vevey. Charlie Chaplin lived there for a quarter of a century, perhaps the attraction of fine chocolate never made him leave. Or was it the communism thing? Either way, Chaplin lived there to the end of his days, checking out on Christmas Day of 1977.

Nestle released 2015 Half-year results yesterday, at the same time an Indian court dismissed charges of a noodle scandal in that country, further testing of the product is underway, an independent body will test whether or not the product is harmful. Maggi Noodles. As they say in the English release: In India, our withdrawal of Maggi noodles resulted in negative organic growth which will continue into the second half. We are engaging fully with the authorities as we work to relaunch the product. Do you eat boxed or packaged noodles?

Nestle, one of the best known brands on the planet, closely associated with coffee, ice cream, frozen foods, cereals, milk products, infant milk products, pet food, nutrition and wellness products and of course chocolate (there are at least two vices in there) released their half year numbers yesterday. The results were from what I could tell a beat on expectations, the share price rose over three percent in New York last evening.

This morning we received first half results from Nestle. The company is primarily listed in Switzerland but fortunately for us, they have an ADR listing in New York. Looking at the numbers this company is massive. It is all reported in Swiss Francs (CHF) which will buy you $1.09 today. Sales were up 5.3% to CHF 45.2 bn, operating profit was up 6.8% to CHF 6.8 bn while operating margin increases 20 basis points to 15.1%. That seems very healthy. Earnings per share were up 3.4% or 7.2% in constant currencies. Forward guidance was downgraded to 5% organic growth for the rest of the year. This outlook has unfortunately pushed the share price down 2.2% today.

Nescafe, Nespresso, Maggi, Kit Kat, Milo, baby foods, bottled water, cereals, chocolate, coffee, dairy, ice cream, healthcare nutrition, petcare and even a 30% stake in L'Oreal. These are some of the things that make up the $225bn empire known as Nestle who released first quarter sales two days ago. This table in the results presentation literally says a thousand words, laying out sales geographically and by product.