Nestlé reports H1 2025 sales plunge amid FX pressure, reviews underperforming Vitamin brands 

SWITZERLAND – Nestlé has reported a 1.8% decline in group sales for the first half of 2025, totaling 44.2 billion Swiss francs (US$55.8 billion), impacted significantly by adverse foreign exchange fluctuations.  

Despite the dip in total sales, organic growth—excluding the effects of currency shifts and acquisitions—rose 2.9%, marginally beating analysts’ average forecast of 2.8%. 

The Swiss food and beverage giant posted net profits of CHF 5.1 billion (US$6.4B) for the six months ending in June, down from CHF 5.6 billion (US$7.03B)in the same period in 2024. The company attributed the dip to ongoing market volatility and currency headwinds. 

CEO Laurent Freixe said the company had focused efforts on improving underperforming business segments while continuing to invest in efficiency and innovation.  

“We are executing our strategy to accelerate performance and transform for the future. These actions are already delivering results, with broad-based growth and a robust profit performance in the first half,” he stated. 

Freixe also noted that where the company is investing to accelerate category growth, those areas are growing four times faster than the group average. He highlighted that Nestlé’s six major innovation initiatives delivered sales exceeding CHF 200 million (US$251.3M) in the first half. 

As part of its strategy to sharpen focus, Nestlé has initiated a review of its underperforming Vitamins, Minerals and Supplements (VMS) brands, which generate approximately CHF 1 billion (US$1.26 billion) in annual revenue.  

The brands under scrutiny include Nature’s Bounty, Osteo Bi-Flex, Puritan’s Pride, and U.S. private label products. 

These brands fall under Nestlé’s Nutrition and Health Science division, which accounted for just over 16% of total group sales in the first half of 2025. The division recorded a 0.8% decline in real internal growth, reflecting volume challenges. 

Freixe indicated that Nestlé would now concentrate on its global premium VMS offerings, with any potential divestments expected to take place in 2026. “To us, the highest potential is at the premium end,” he told reporters. 

Despite the weaker overall results, Nestlé maintained its 2025 guidance, expecting improved organic growth and an underlying trading operating profit margin of at least 16%, inclusive of tariff impacts and prevailing FX conditions. 

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