Nestle confirms targets, shuns sugar takeovers
ZURICH: Nestle CEO Peter Brabeck on Friday said the group was focused on building its chocolate franchise and that it was not considering acquisitions in the sugar confectionary field.
Brabeck said the group had divested several sugar confectionary operations and was, meanwhile, building up its chocolate operations.
"This is a clear indication that we do not look into sugar confectionary as any acquisition target," Brabeck said.
Separately, Chief Financial Officer Paul Polman confirmed the group's growth outlook from April, saying rising dairy costs could slow the pace of growth slightly.
Nestle aims for organic growth of 5-6 percent.
"The consensus is for the upper end of the target range. We're comfortable with that," he said.
Polman said rising dairy costs could depress margins in some units.
"You might see margins stable or you might see them going down in some units," he said.
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