Nestle(US:NSRGY) 2 1 Shi Ji Jing Ji Bao Dao·2025-09-02 07:30Core Viewpoint - Nestlé has appointed Philipp Navratil as the new CEO, replacing Laurent Freixe, who was dismissed due to a violation of the company's code of conduct related to an undisclosed romantic relationship with a subordinate [1][2]. Group 1: Leadership Changes - The board of directors emphasized that the decision to replace Freixe was necessary [2]. - Philipp Navratil has been with Nestlé since 2001, holding various roles, including leading the coffee and beverage business in Mexico and overseeing global strategy for Nestlé Coffee and Starbucks brands [2]. - Navratil joined the executive board of Nestlé on January 1, 2025, and has been credited with accelerating growth in the Nespresso brand [2]. Group 2: Strategic Focus and Reforms - Freixe initiated significant reforms during his tenure, focusing on operational efficiency, marketing investments, and enhancing core capabilities [3][4]. - The company aims to achieve an additional cost savings of at least 2.5 billion Swiss francs by the end of 2027 [3]. - Freixe's strategy included restructuring the geographical market divisions, particularly integrating the Greater China region into the Asia, Oceania, and Africa division [4]. Group 3: Market Performance - Nestlé's sales in the Greater China region declined to 2.47 billion Swiss francs in the first half of the year, down 6.4% from 2.639 billion Swiss francs in the same period last year [9]. - The organic growth rate for the Greater China region was -4.2%, with a negative internal growth rate of -1.5% and a pricing contribution of -2.7% [10]. - Overall, Nestlé's revenue decreased by 1.8% to 44.228 billion Swiss francs, with net profit down 10.3% to 5.065 billion Swiss francs in the first half of the year [11].