Nestlé S.A., along with its subsidiaries, is engaged in offering food and beverage products. Nestlé has over 2,000 brands comprising a wide range of products across a number of markets, including coffee, milkshakes, bottled water, and other beverages; breakfast cereals, infant food products; performance and healthcare nutrition; soups and sauces, seasonings, frozen and refrigerated foods, and pet food.
Financial results in perspective
- The company’s revenue increased from US$ 90.8 Billion in 2017 to US$ 92.6 Billion in 2018, which was an incline of 2.1%
The company operates through seven business segments namely: powdered and liquid beverages, nutrition and health science, milk products and ice cream, pet care, prepared dishes and cooking aids, confectionary, and water
- Powdered and liquid beverages segment includes coffee, cocoa and malt beverages, and tea categories. This business features major brands such as Nescafé, Nespresso, and Milo.
- Nutrition business segment includes infant formula and baby food. In addition, Nestlé Health Science (NHSc) is engaged in medical nutrition, consumer care, and vitamins, minerals, and supplements.
- Milk products segment offers dairy products under the Nido brand. In addition, the company’s coffee creamer business is based on constant innovation with a market‑leading brand, “Coffee Mate”. With regards to ice cream, the company offers a wide range of indulgent products, from affordable price, to premium offerings.
- Nestlé Purina’s segment includes major brands such as Pro Plan, Purina ONE, Gourmet, and Merrick, among others. The company focuses to improve core products, address consumer preferences for natural pet food, advance e-commerce capabilities, and also offer newly personalized Direct‑to‑Consumer experiences.
- Prepared dishes and cooking aids segment offers a wide range of daily staples – from bouillons, soups, ambient, and chilled culinary products – to frozen food and pizzas. Through brands including Stouffer’s, Maggi, and Buitoni, the company is focusing on renovating product portfolio with more natural, tasty, and healthy ingredients. The group also engaged in manufacturing cold sauces and condiments under various brands such as Thomy, Crosse & Blackwell and Winiary.
- Confectionery segment includes the global brand – KitKat – and a large portfolio of much‑loved local brands. The company is continuously focusing on innovation to provide consumers with healthier options. In March 2018, Nestlé launched MilkyBar Wowsomes, which is a new chocolate bar with 30% less sugar.
- Nestlé waters business segment includes Nestlé Pure Life – the world’s biggest bottled water brand, which provides affordable healthy hydration in many markets worldwide. International sparkling water brands such as Pellegrino and Perrier added a new natural, fruit‑flavored offerings and aluminum can format to cater to surging consumer demand for flavored water.
- 1866: Foundation of Anglo-Swiss Condensed Milk Co.
- 1867: Launched ‘farine lactée’ (‘flour with milk’) in Vevey, Switzerland
- 1905: Merged with Anglo-Swiss Condensed Milk Company
- 1929: Peter, Cailler, Kohler, Chocolats Suisses S.A. merged with the Nestlé Group
- 1934: Launched Milo brand
- 1938: Nescafé brand launched in Switzerland after two years of intensive research
- 1947: Merged with Swiss food company, Alimentana Ltd.
- 1948: Launched Nestea and Nesquik brand
- 1971: The group acquired Ursina Franck AG in Germany
- 1973: The company acquired Stouffer
- 1974: Nestle owned a stake in L’Oreal S.A., which has decreased from 29.4% to 23.29% in 2014
- 1985: The company acquired US-based Carnation Company for US$ 3 Billion, thereby adding brands such as Carnation and Coffee-Mate to its portfolio
- 1986: Nestlé founded Nestlé Nespresso S.A. and introduced Herta brand
- 1988: The company acquired Rowntree Mackintosh, and Italian chocolate confectionery company, Perugina
- 1991: Company established a joint venture with General Mills, Cereal Partners Worldwide, with the objective to produce and market breakfast cereals globally. Also, the company created a joint venture with The Coca-Cola Company to form Beverage Partners Worldwide, in order to manufacture and market brands, including Nestea.
- 1992: The company acquired Source Perrier S.A., and Nestlé became the leading player on the world bottled water market, under the name Nestlé Sources International (NSI)
- 1997: Established Nutrition Strategic Business Division (2006: Nestlé Nutrition)
- 1998: Nestlé purchased Italian mineral waters business Sanpellegrino Group, and Nestlé Pure Life was launched in developing countries
- 2001: Nestlé bought US pet food business, Ralston Purina, and merged it with Nestlé Friskies Petcare to establish Nestlé Purina Petcare as new market leader in pet food products
- 2005: Nestlé acquired Greek company Delta Ice Cream for €240 Million (US$ 270.8 Mn)
- 2006: Nestlé acquired Medical Nutrition division of Novartis Pharmaceutical for US$ 2.5 Billion
- 2007: The company acquired milk-flavoring brand known as Ovaltine
- 2010: The company acquired Kraft Foods’s frozen pizza business in the US and Canada for US$ 3.7 Billion
- 2011: Nestlé acquired 60% stake of Hsu Fu Chi International Ltd. for around US$ 1.7 Billion
- 2012: Nestlé acquired Pfizer Inc.’s infant-nutrition unit for US$ 11.9 Billion
- 2013: Nestlé expanded its R&D center in Singapore. Nestlé invested US$ 4.1 million to expand its research facility
- Nestlé Health Science purchases US-based medical foods company, Pamlab, which specializes in medical nutrition for patients with conditions such as mild cognitive impairment and depression
- 2014: With the creation of Nestlé Skin Health, the company fully controls the Galderma dermatology joint venture, which it created with L’Oréal in 1981
- 2015: Nestlé launched its Swiss bean-to-bar premium chocolate brand Cailler in major international markets via e-commerce platform
- 2017: Nestlé USA acquired insurgent coffee company Chameleon Cold-Brew for an undisclosed sum
- The same year, Nestlé acquired a majority stake in Blue Bottle Coffee, which is a high-end specialty coffee roaster and retailer based in California
- Nestlé announces exploration of strategic options for its US confectionery business. The company expands its consumer healthcare portfolio with the acquisition of Atrium Innovations, which supports Nestlé’s pursuit of growth opportunities in consumer healthcare
- 2018: The Nestlé and Starbucks Corporation closed the deal for granting Nestlé perpetual rights to market Starbucks Consumer Packaged Goods and Foodservice products globally and outside of the company’s coffee shops
- As of 1 January 2018, Nestlé and The Coca-Cola Company ended their Beverage Partners Worldwide joint venture, which was established 2001
- 2019: On 13 February, Nestlé launched a new range of coffee products under the Starbucks brand, and these will be available globally
- In February 2019, Nestlé launched a new range of coffee products under the Starbucks brand to be available globally
- In September 2018, Nestlé acquired a majority stake in Terrafertil Goldenberry, which is a natural foods company and main global producer of goldenberries
- In April 2018, Nestlé Purina PetCare acquired a majority stake in com, which is a tailor-made dog food company from Draper Esprit
- In December 2017, the company acquired privately-held Atrium Innovations, which is a global leader in nutritional health products, from a group of investors led by Permira Funds for US$ 2.3 Billion
- In November 2017, Nestlé USA acquired Chameleon Cold-Brew, which is a leading provider of premium-crafted coffee
- In September 2017, Nestlé acquired a majority stake in Blue Bottle Coffee
- Nestle was formed by the amalgamation of two major companies: Farine Lactée Henri Nestlé and Anglo-Swiss Condensed Milk Company, which were both founded in 1866
- When Nestle was founded in the year 1866, the company was primarily into baby foods
- The first product that the Anglo-Swiss Condensed Milk Company sold in 1867, was Henri Nestlé’s Infant Cereal
- Nestle deals in a wide range of products that range from baby food to snacks. However, the company sells the highest number of products in the powdered and liquid beverages segments, followed by milk products and ice creams.
- Nestlé is one of the main shareholders of L’Oréal, which is the world’s largest cosmetics company
- Nescafe is the popular coffee brand from Nestle served as a staple drink for US personnel in the military during World War II
- The company operates in 197 countries and has around 442 factories, with the US having the most (163) factories
- Nestlé invests around US$ 1.5 Billion in research and development every year
- Nestlé produces over 10,000 different products, and over one Billion of them are sold every day
Nestlé acquired numerous International Companies:
- In 2001, Nestlé’s Friskies business merged with Ralston Purina for US$ 10.3 Bn
- In 2006, Nestlé merged its US ice cream business with Dreyer’s Grand Ice Cream Holdings, Inc.
- In 2007, Nestle acquired Gerber Products Company from Novartis AG for US$ 5.5 Billion
- In 2010, Nestlé acquired DiGiorno and Delissio brands from Kraft Heinz Company for US$ 3.7 Billion
- In 2017, the company acquired Atrium Innovations, which is a dietary supplements manufacturer for US$ 2.3 Billion
Innovating with Purpose:
- Accelerating growth through innovation in a fast-changing environment
- Developing recyclable packaging solutions to reduce impact on the environment
- Developing plant-based offerings and promoting sustainable nutrition
- Improving operational efficiency
- Promoting affordable nutrition, which includes delivering products with simpler ingredients, as well as premium, natural, organic, and fortified foods and beverages. The company also focuses on offering a range of affordably-priced, high‑quality, nutritious products especially for children, including micronutrients such as iron, iodine, vitamin A, and zinc to support good health and well
- Nestle has market value of 281.3 billion US$