Nestle posts full-year net profit of $11.55bn

PanARMENIAN.Net - Nestle SA, the world's biggest food and drinks maker, overcame tough global economic conditions to post a full-year net profit of 10.6 billion Swiss francs ($11.55 billion) for 2012, but predicted another challenging year ahead, the company said in a statement, according to The Associated Press.

The maker of Nescafe, Perrier, Jenny Craig, Haagen Daz, Carnation and Perrier said Thursday, feb 14, it continued to see broad-based growth across all categories and regions with sales reaching 92.2 billion francs ($100.5 billion), up from 83.6 billion francs ($91.11 billion) in 2011.

But the Vevey-based company said "the environment looks to be every bit as challenging in 2013 as it was in 2012."

The results compare with a full-year 2011 profit of 9.5 billion Swiss francs ($10.35 billion). With 330,000 employees worldwide and 461 factories in 83 countries, Nestle is a major buyer of food commodities such as wheat, sugar, milk and coffee and its results are a good indicator of consumer demand and the health of the global economy as a whole.

Chief Executive Paul Bulcke said Thursday that all of the company's businesses, both in developed and emerging markets, contributed to the overall 5.9 percent organic growth.

"Despite the many challenges 2013 will no doubt bring, we expect to deliver the Nestle model of organic growth between 5 percent and 6 percent as well as an improved margin and underlying earnings per share in constant currencies," he added.