Nestle(US:NSRGY) Sou Hu Cai Jing·2025-10-17 02:27Core Insights - Nestlé reported a total sales of 65.9 billion Swiss francs for the first nine months of 2025, a decline of 1.9% year-on-year, with an organic growth rate of 3.3% and an internal growth rate of 0.6% [2][6] - The company announced a global workforce reduction of approximately 16,000 positions, representing about 6% of its total workforce of 277,000, to enhance operational efficiency and support cost-cutting initiatives [4][5] - The new CEO, Philipp Navratil, emphasized the importance of driving business growth through actual internal growth rates and increasing investments to achieve this goal [2][6] Group 1: Workforce and Cost Management - The workforce reduction includes around 12,000 white-collar jobs and 4,000 positions in manufacturing and supply chain, with the restructuring expected to save 1 billion Swiss francs annually by 2027 [4][5] - The total cost-saving target for the "growth-supporting" initiative has been raised from 2.5 billion to 3 billion Swiss francs [4][5] - The company is focusing on improving operational efficiency through shared services and process automation [4][5] Group 2: Growth Strategy and Financial Performance - Nestlé's organic growth rate improved from 2.0% in the same period last year to 3.3%, with a notable increase in the third quarter reaching 4.3% [6] - The company aims to achieve over 8 billion Swiss francs in free cash flow by 2025, with a commitment to maintaining its long-standing dividend policy [7] - The management team is addressing performance issues in the Greater China region, which negatively impacted overall growth rates [6][7]