Nestle(US:NSRGY) Sou Hu Cai Jing·2025-09-02 10:05Core Viewpoint - Nestlé Group experienced a dramatic leadership change with the dismissal of CEO Laurent Freixe due to an undisclosed romantic relationship with a subordinate, violating the company's code of conduct [3][8][17] Group 1: Leadership Change - Laurent Freixe, who served as CEO for only one year, was terminated without severance pay following an internal investigation [4][9] - Philipp Navratil, a long-time Nestlé veteran with over 20 years of experience, has been appointed as the new CEO [5][16] - The board believes Navratil will drive growth plans and enhance efficiency, maintaining the company's strategic direction and performance pace [6][18] Group 2: Company Strategy and Performance - Under Freixe's leadership, Nestlé adopted a strategy focused on "fewer, bigger, better" initiatives, aiming for an additional cost saving of at least 2.5 billion Swiss francs by the end of 2027 [11] - The company streamlined its organizational structure from five regional markets to three, merging Latin America and North America into one region [12] - In the first half of the year, Nestlé reported revenues of 44.228 billion Swiss francs (approximately 39.85 billion RMB), a year-on-year decline of 1.8%, with net profit down 10.3% to about 5.065 billion Swiss francs [13][14] Group 3: Future Outlook - Navratil is expected to support the existing strategic direction and performance improvement plans, with potential business portfolio restructuring considered [18] - The company aims to achieve a cost saving of 700 million Swiss francs by 2025, with over 150 million Swiss francs already confirmed in the first half of the year [14] - Sales in the Greater China region reached 2.470 billion Swiss francs (approximately 20.765 billion RMB), reflecting a 6.4% decline compared to the previous year [15]