MILAN — Despite a sharp drop in sales, Nestlé beats analysts’ forecasts and maintans its full-year guidance. In its quarterly results released this morning (Thursday 23 April 2026), the Swiss food giant reported better-than-expected results: sales reached 21.32 billion Swiss francs (US$27.26 billion), down 5.7%, but organic sales, which exclude the impact of currency movements and acquisitions, rose 3.5% in the three months ended March, whilst RIG (Real Internal Growth) stood at 1.2%. Analysts surveyed by the economic agency AWP had forecast revenues of 21.25 billion francs, organic growth of 2.5% and RIG of just 0.2%.
Pricing was 2.3%, moderating versus 2025, foreign exchange movements had a negative impact of 9.3%.
Recalls of contaminated infant formula subtracted 90 bps from both organic growth and real internal growth, the group states.
For the full year, Nestlé confirms its guidance, with organic growth expected to be in the range of around 3% up to 4% and RIG accelerating versus 2025, driven by the company’s focused growth plans.
UTOP margin is expected to improve versus 2025, strengthening in the second half of the year, and free cash flow expected to be above CHF 9 billion.
The impact of the geopolitical crisis triggered by the war that began in late February, following US and Israeli air strikes against Iran, has so far been limited, reports the company. However, CEO Philipp Navratil noted that consumer behaviour is changing as a result of rising fuel prices: people are using their cars less and eating more meals at home, particularly in Asian emerging markets, thereby boosting sales of food and snacks.
All Zones and Globally Managed Businesses reported positive OG and RIG, with broad-based contributions
Driving sales were growth in Food & Snacks (particularly confectionery) and, above all, coffee, for which Nestlé reported disaggregated results for the first time.
Sales in the coffee category amounted to just over 6 billion Swiss francs(US$7.67 billion), a slight decline, in reported terms, compared with the same quarter of 2025. But organic growth reached 9.3%, with RIG of 3.5% and pricing of 5.7%. This reflected a broad-based acceleration across markets and brands, with Nescafé particularly strong. Nespresso also performed well, with organic growth reaching 5.1%.
In Zone Americas, coffee (20% of Zone sales) reported OG in high single digit, still led by pricing but with RIG now positive across all our larger markets. Nescafé soluble coffee stood out, with strong RIG and pricing, reflecting the brand’s strength and enhanced consumer value proposition. Starbucks also performed well, with RIG-led growth, offsetting softer performance in Coffee mate.
In Zone Asia, Oceania and Africa, coffee’s (25% of Zone sales) OG accelerated to double digits, driven by a strong RIG improvement and continued pricing carryover from increases taken last year. Growth was led by Nescafé, with broad-based momentum.
In Zone Europe, coffee (28% of Zone sales) saw a double digit OG, led by pricing. Pricing began to moderate, as we lapped increases taken during H1-25, while the contribution from RIG improved, helped by a softer comparison base. Growth was led by Nescafé soluble coffee, supported by growth in portion coffee.
It should be noted that Nestlé has agreed in the past quarter the sale of Blue Bottle Coffee to Centurium Capital. The transaction is subject to the customary conditions and is expected to close during H1-26.
Nespresso delivered solid growth, with positive RIG momentum in the context of moderating pricing
Growth continues to be driven by the US, with a growing consumer base, while consumer acquisition trends in Europe are also improving.
Organic growth was 5.1%. RIG improved to 2.0%, led by volume growth in North America, and supported by a benefit from the reversal of negative customer order phasing in Q4-25. Pricing moderated slightly to 3.1%, as we began to annualize increases starting from Q1-25.
Reported sales were CHF 1.555 billion (US$1.99 billion), impacted by a negative effect of 7.6% from foreign exchange movements.
By geography, growth was broad based across regions, led by high single-digit growth in North America, driven by carryover pricing and strong performance from limited edition varieties. Growth was positive in Europe, driven by out-of-home sales and increased consumer acquisition supported by targeted commercial investments.
By system, growth continues to be driven by Vertuo. By channel, out-of-home grew high single-digits, led by strong hotels, restaurants and cafés (horeca) momentum.
Market share gains continued in North America, while Europe remains pressured across key markets due to ongoing competitive intensity.
Recently, Nespresso announced Dua Lipa as our new global brand ambassador. This partnership marks an exciting new chapter for the brand, grounded in culture, creativity and coffee exploration. The announcement generated over 1.9 billion impressions in its first week, generating increased channel traffic and welcoming new consumers to the brand.
The post Nestlé: quarterly results exceed expectations, driven by coffee sales (US$7.67 billion, +9.3% organically), Nespresso reports sales of US$7.67 billion (+5.1%) appeared first on Comunicaffe International.
