Press Release: Nestle: Nestlé reports nine-month -2-

Zone Europe

-- 8.8% organic growth: - 2.3% RIG; 11.1% pricing.

Sales Sales Organic Net Foreign Reported

9M-2023 9M-2022 RIG Pricing growth M&A exchange growth

Zone CHF 14.1 CHF 14.0

Europe bn bn - 2.3% 11.1% 8.8% - 2.4% - 5.2% 1.3%

Organic growth was 8.8%, with pricing of 11.1%. RIG was - 2.3%, following capacity constraints and portfolio optimization actions. Foreign exchange negatively impacted sales by 5.2%. Net divestitures reduced sales by 2.4%. Reported sales in Zone Europe increased by 1.3% to CHF 14.1 billion.

Growth in Zone Europe was supported by pricing, strong sales development for e-commerce and continued momentum for out-of-home channels. The Zone saw market share gains in pet food and Infant Nutrition.

By product category, the key contributor to growth was Purina PetCare, driven by differentiated offerings across premium brands Felix, Gourmet and Purina ONE. Coffee saw mid single-digit growth, with particular strength for Nescafé. In September, the Zone launched Nescafé Dolce Gusto Neo paper-based pods in France and Switzerland. Confectionery reported high single-digit growth, with continued market share gains for KitKat. Nestlé Professional posted double-digit growth, led by beverages. Infant Nutrition recorded high single-digit growth, based on continued momentum for premium infant formula, particularly NAN and BEBA. Culinary posted mid single-digit growth, with robust sales developments for Maggi and Thomy. In the third quarter, the transaction to create a frozen pizza joint venture in Europe was completed. Sales growth in water was flat, as strong growth for S.Pellegrino and Acqua Panna was offset by the impact of temporary capacity constraints for Perrier.

Zone Asia, Oceania and Africa (AOA)

-- 8.6% organic growth: 0.0% RIG; 8.6% pricing.

Sales Sales Organic Net Foreign Reported

9M-2023 9M-2022 RIG Pricing growth M&A exchange growth

Zone CHF 13.2 CHF 13.9

AOA bn bn 0.0% 8.6% 8.6% - 0.1% - 13.3% - 4.8%

Organic growth was 8.6%, with flat RIG. Pricing increased to 8.6%, with broad-based contributions from all geographies and categories. Foreign exchange reduced sales by 13.3%. Reported sales in Zone AOA decreased by 4.8% to CHF 13.2 billion.

Growth in Zone AOA was supported by pricing as well as continued momentum of e-commerce and out-of-home channels. The Zone saw market share gains in coffee, cocoa and malt beverages as well as chocolate.

South-East Asia posted mid single-digit growth, with strong sales developments in the Philippines, Malaysia and Thailand. South Asia recorded strong double-digit growth across most categories. Growth in India was based on continued distribution expansion and new product launches, with particularly strong performance for KitKat and Nescafé. Middle East and Africa saw double-digit growth, with particular strength for affordable offerings in culinary, Infant Nutrition and coffee. Japan reported low single-digit growth, with particular strength for KitKat based on innovation and gifting products. South Korea posted high single-digit growth, fueled by Starbucks products. Oceania recorded mid single-digit growth, supported by Purina PetCare, KitKat and Nescafé.

By product category, Infant Nutrition was the largest growth contributor, led by Lactogen, NAN and Cerelac. Culinary recorded double-digit growth, with continued strength for Maggi based on increased distribution and new product launches. Coffee saw high single-digit growth, with robust demand for Nescafé and Starbucks products and strong commercial execution. Ambient dairy posted mid single-digit growth, driven by increased focus on value-added segments following portfolio optimization actions. Sales for Nestlé Professional grew at a strong double-digit rate across most geographies and categories, supported by channel penetration and customer acquisition. Confectionery reported high single-digit growth, fueled by strong momentum for KitKat. Purina PetCare saw mid single-digit growth, led by Purina ONE, Supercoat and Felix.

Zone Latin America

-- 10.0% organic growth: - 0.6% RIG; 10.5% pricing.

Sales Sales Organic Net Foreign Reported

9M-2023 9M-2022 RIG Pricing growth M&A exchange growth

Zone

Latin CHF 9.1 CHF 8.6

America bn bn - 0.6% 10.5% 10.0% 0.0% - 4.3% 5.7%

Organic growth was 10.0%, with pricing of 10.5%. RIG was - 0.6%, turning slightly positive in the third quarter. Foreign exchange had a negative impact of 4.3%. Reported sales in Zone Latin America increased by 5.7% to CHF 9.1 billion.

Zone Latin America recorded strong growth across all geographies and product categories. Growth was supported by pricing, strong operational execution and continued momentum of out-of-home channels. The Zone saw market share gains in pet food, Infant Nutrition and culinary.

Brazil posted strong double-digit growth, with continued momentum for confectionery, Infant Nutrition and beverages, including Nescafé and Nescau. Mexico reported high single-digit growth, with strong sales developments for dairy, coffee and Nestlé Professional.

By product category, confectionery was the largest growth contributor, reflecting strong demand for KitKat and key local brands as well as new product launches. Infant Nutrition saw double-digit growth, based on solid momentum for NAN infant formula and Mucilon infant cereal. Coffee reported broad-based double-digit growth, supported by Nescafé soluble coffee. Recent launches such as Nescafé Dolce Gusto Neo and Nescafé Farmers Origins, resonated strongly with consumers in Brazil. Dairy posted high single-digit growth, supported by dairy culinary solutions and fortified milks. Sales for Nestlé Professional grew at a strong double-digit rate, with continued strength for branded coffee solutions. Culinary posted close to double-digit growth, based on new product launches and continued traction for Recetas Nestlé, the online recipe platform. Purina PetCare saw mid single-digit growth, following a high base of comparison in 2022.

Zone Greater China

-- 4.9% organic growth: 2.3% RIG; 2.6% pricing.

Sales Sales Organic Net Foreign Reported

9M-2023 9M-2022 RIG Pricing growth M&A exchange growth

Zone

Greater CHF 3.6 CHF 3.8

China bn bn 2.3% 2.6% 4.9% 0.1% - 10.6% - 5.7%

Organic growth was 4.9%, with pricing of 2.6%. RIG was 2.3%. Foreign exchange had a negative impact of 10.6%. Reported sales in Zone Greater China decreased by 5.7% to CHF 3.6 billion.

Growth in Zone Greater China was supported by strong sales developments for out-of-home businesses, e-commerce momentum and pricing. The Zone saw market share gains in pet food and confectionery.

By product category, Nestlé Professional was the largest growth contributor, supported by innovation and distribution expansion. Confectionery recorded high single-digit growth, led by Hsu Fu Chi and Shark wafer. Culinary posted high single-digit growth, with increased demand for Totole in out-of-home channels and innovation. Infant Nutrition saw low single-digit growth, led by NAN specialty offerings. Coffee reported low single-digit growth, supported by ready-to-drink offerings. Sales for Purina PetCare grew at a double-digit rate, based on new product launches and the recent expansion of local production.

Nestlé Health Science

-- 2.5% organic growth: - 1.9% RIG; 4.4% pricing.

Sales Sales Organic Net Foreign Reported

9M-2023 9M-2022 RIG Pricing growth M&A exchange growth

Nestlé

Health CHF 4.9 CHF 4.8

Science bn bn - 1.9% 4.4% 2.5% 3.8% - 5.9% 0.5%

Organic growth was 2.5%, with pricing of 4.4%. RIG was - 1.9%, impacted by a short-term supply constraint in the third quarter for the vitamins, minerals and supplements business. Net acquisitions increased sales by 3.8%, largely related to the consolidation of Orgain. Foreign exchange negatively impacted sales by 5.9%. Reported sales in Nestlé Health Science increased by 0.5% to CHF 4.9 billion.

Vitamins, minerals and supplements saw negative growth. Sales in the third quarter decreased following an IT integration issue when implementing highly automated systems during the consolidation of U.S. packaging sites. The resulting short-term supply constraints are expected to be resolved by early 2024. Market growth in the vitamins, minerals and supplements category has returned to positive territory.

Active nutrition reported mid single-digit growth, with market share gains and a robust sales development for Orgain and Vital Proteins.

Medical Nutrition recorded strong double-digit growth, with market share gains across all segments. Growth was led by adult medical care products as well as pediatric and allergy products. The gastrointestinal portfolio, including Vowst and Zenpep, saw strong double-digit growth.

By geography, North America saw low single-digit growth. Europe reported high single-digit growth. Other regions combined posted mid single-digit growth.

Nespresso

-- 5.2% organic growth: 1.6% RIG; 3.5% pricing.

Sales Sales Organic Net Foreign Reported

9M-2023 9M-2022 RIG Pricing growth M&A exchange growth

CHF 4.6 CHF 4.7

Nespresso bn bn 1.6% 3.5% 5.2% - 0.6% - 5.7% - 1.2%

Organic growth was 5.2%, with pricing of 3.5%. RIG was 1.6%, reaching 3.5% in the third quarter. Foreign exchange negatively impacted sales by 5.7%. Reported sales in Nespresso decreased by 1.2% to CHF 4.6 billion.

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October 19, 2023 01:15 ET (05:15 GMT)