Nestle S.a. · SIX:NESN
Nestle — Investor Presentation (November 2010)
21 slides from Nestle's investor presentation, Nov 15, 2010
Slide 1: ... captures the very essence of Nestlé and the promise we commit ourselves
... captures the very essence of Nestlé and the promise we commit ourselves to everyday, everywhere as the leading Nutrition, Health & Wellness Company 1 15 November 2010
Slide 2: Building on Nestlé's heritage
Building on Nestlé’s heritage 1866 1929 1938 1947 1960s Henri Nestlé 1970s 1980s 1990s 2000s 2010 2 15 November 2010
Slide 3: Nestlé's greatest assets
Nestlé’s greatest assets Nestlé Culture: aligning over 280,000 people from 120 countries Consumer Trust: 1 billion customers a day A product for every moment of every day, from morning to night and from birth to old age 3 15 November 2010
Slide 4: The Nestlé Roadmap
The Nestlé Roadmap Competitive advantages Operational Growth pillars drivers 4 15 November 2010
Slide 5: Nestlé's geographic reach
Nestlé’s geographic reach Unmatched global scale Europe CHF 35bn Americas CHF 44bn AOA CHF 20bn Emerging markets sales of CHF 35bn 5 15 November 2010
Slide 6: Emerging market performance
Emerging market performance Emerging markets are enhancing to organic growth and are enhancing to EBIT margins and are a focus of Capex and M&A 6 15 November 2010
Slide 7: Nestlé's diverse portfolio
Nestlé’s diverse portfolio Unparalleled breadth across product groups Global % of Global % of Sales Sales in Sales Sales CHF bn EMs CHF bn in EMs Dairy 13.0 80 Ambient Culinary 7.4 50 PetCare 12.9 10 Ice Cream 6.6 20 Confectionary 11.8 45 Powdered Beverages 3.4 65 Soluble Coffee 10.6 50 RTD Beverage
Slide 8: Building enduring franchises
Building enduring franchises Billionaire Brands contribute 75% of sales 8 15 November 2010
Slide 9: Innovation & Renovation
Innovation & Renovation From game changing ideas to consumer relevant adaptation The essential Generating Exceptional Continuous start... concepts performance improvement Market/Zone lead SBU/GMB/Zone lead 9 15 November 2010
Slide 10: Nestlé's approach to Nutrition, Health & Wellness
Nestlé’s approach to Nutrition, Health & Wellness Enabling consumers to make healthy choices Pleasure Balance 60/40+ Branded Active Benefits Combining best taste Making a good Nestlé with best health brand even better Understanding Nutritional Compass Helping consumers with informed dietary choices
Slide 11: Nestlé's specific business models
Nestlé’s specific business models Targeting emerging consumer groups Premium Mainstream PPP PPP = Popularly Positioned Products 11 15 November 2010
Slide 12: Creating shared value
Creating shared value Nestlé’s belief is that businesses can only be successful in the long term by creating value for shareholders and society Nutrition Water Rural Development 12 15 November 2010
Slide 13: Nestlé's objective
Nestlé’s objective is to be the recognized leader in Nutrition, Health & Wellness, and the industry reference for financial performance 13 15 November 2010
Slide 14: The Nestlé Model
The Nestlé Model Creating value through profitable growth Organic growth of 5% to 6% EBIT margin improvement every year Increase return on invested capital 14 15 November 2010
Slide 15: 10 years of the Nestlé Model: organic growth
10 years of the Nestlé Model… … together with a high level of organic growth… 10-year annual averages Organic Growth 6.2% 9.7% Real Internal Growth 3.5% % Organic Growth 8.3% RIG 7.4% 6.2% 6.2% 6.1% 5.4% 4.9% 5.1% 4.5% 4.1% Data corresponds to published figures – not restated for accounting changes.
Slide 16: 10 years of the Nestlé Model: EBIT margin
10 years of the Nestlé Model Consistent improvement in the EBIT margin… Group EBIT EBIT margin CHF bn Data corresponds to published figures – not restated for accounting changes. 16 15 November 2010
Slide 17: Significant cash returns to shareholders
… has enabled significant cash returns to shareholders… Dividend Payout Ratio Dividend (CHF bn) Share Buy-Back *Forecast 17 15 November 2010
Slide 18: Nestlé continues to deliver total performance
Nestlé continues to deliver total performance Achieving and Investing and Driving Scale and Accelerating Simplicity for Growth Benefits Performance THE NESTLÉ MODEL 18 | 15 November 2010 |
Slide 19: Nestlé's operational efficiency
Nestlé’s operational efficiency Delivering the highest quality, lowest cost & best customer service Performance Operation EXCELLENCE 2007 Target 2004+ MH'97 CI as an enabler 1997 2001 2005 2008 2010... 19 15 November 2010
Slide 20: Nestlé outlook
Nestlé outlook Opportunities for growth Nestlé's global presence: an unparalleled foundation for growth We are investing in R&D, in capabilities, infrastructure, people and brands to drive growth The Nestlé Roadmap: the building blocks for growth by category and country – global strategy, loca
Slide 21: Nestlé's objective
Nestlé’s objective is to be the recognized leader in Nutrition, Health & Wellness, and the industry reference for financial performance 21 15 November 2010