Nestle(US:NSRGY) Mei Ri Jing Ji Xin Wen·2025-10-17 16:35Core Insights - Nestlé's third-quarter performance is under scrutiny due to recent leadership changes, with a new CEO taking charge during a critical transformation period [1][6] - The company reported a sales figure of 65.869 billion Swiss francs for the first three quarters, with an organic growth rate of 3.3% [1] - The new CEO, Mark Schneider, emphasized a performance-driven culture and the need to avoid market share loss [6][7] Financial Performance - For the third quarter, Nestlé achieved an organic growth rate of 4.3%, with an internal growth rate of 1.5% [1] - The Asia-Pacific region, particularly Greater China, continues to be a drag on overall growth, contributing negatively to the organic growth rates [3][4] - The company plans to cut approximately 16,000 jobs globally over the next two years, aiming to enhance agility and performance [4][5] Market Dynamics - The stock price of Nestlé rose by over 9% following the earnings report, marking the largest single-day increase since 2008 [3] - The organic growth rate in emerging markets was 5.2%, while developed markets saw a growth rate of 2.1% [3] - E-commerce sales experienced a significant organic growth of 13.2%, indicating a shift in consumer purchasing behavior [3] Strategic Initiatives - The new CEO outlined four key priorities: internal growth rate focus, profitable investment portfolio, performance culture, and transformation efficiency [6] - The company is shifting its focus in Greater China to drive consumer demand rather than reducing trade inventory levels [3][4] - The leadership changes and job cuts are part of a broader strategy to streamline operations and improve efficiency [5][6]