Nestlé reports 3.3% organic sales growth, plans 16,000 job cuts

VEVEY, Switzerland - Nestlé SA announced Thursday a 3.3% organic sales growth for the first nine months of 2025, with real internal growth (RIG) of 0.6% and pricing of 2.8%, as the food giant plans to cut approximately 16,000 jobs globally over the next two years.

The Swiss company reported total sales of CHF 65.9 billion ($73.1 billion), down 1.9% from the previous year, primarily due to negative foreign exchange impacts of 5.4%.

Nestlé CEO Philipp Navratil emphasized that driving growth is the company’s top priority, stating: "We have been stepping up investment to achieve this, and the results are starting to come through. Now we must do more and move faster."

The planned workforce reduction includes approximately 12,000 white-collar professionals across functions and geographies, expected to generate annual savings of CHF 1.0 billion by the end of 2027. An additional 4,000 positions will be eliminated through productivity initiatives in manufacturing and supply chain.

Nestlé increased its total cost savings target to CHF 3.0 billion by the end of 2027, up from the previous target of CHF 2.5 billion.

Third-quarter organic growth accelerated to 4.3%, with RIG recovering to 1.5%, driven by the company’s investments and actions to manage price elasticity.

By product category, coffee and confectionery were the largest contributors to organic growth. Geographically, all regions delivered positive organic growth, with emerging markets growing at 5.2% compared to 2.1% in developed markets.

For the full year 2025, Nestlé expects organic sales growth to improve compared to 2024, with an underlying trading operating profit margin at or above 16.0%.

The company’s strategic review of its Waters & Premium Beverages business continues, including exploring partnership opportunities, according to the press release statement.

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