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We are accelerating our category growth and improving our market share, through better execution and increased investment, funded through a relentless pursuit of eficiency We expect organic sales growth of at least 3%. These actions are already delivering results, with broad‐ based growth and a robust profit performance in the first half.
Growth investments stepping up, including an increase in advertising and marketing to 9% of sales by the end of 2025 Free cash flow up chf 0.6 billion to chf 4.0 billion Innovation now focused to drive greater impact, with six ‘big bets’ for 2025 benefiting from accelerated global rollout plans.
We have also increased marketing investment, with advertising and marketing expenses as a percentage of sales up to 8.6% in h1 2025 compared to 8.1% in h1 2024
The impact of these efforts can be seen in our progress on both improving our market share trends and in accelerating our category growth. Performance in the quarter benefited from some pull forward of demand ahead of price increases, which took effect towards the end of the quarter. Let’s turn now to how we have done that in q1. Laurent freixe, nestlé ceo commented
In an environment of heightened macroeconomic and consumer uncertainty, nestlé delivered organic sales growth of 2.8%, with rig of 0.7% and pricing of 2.1% Europe posted slightly negative growth in a market that remains competitive. We are accelerating our category growth and improving our market share, through better execution and increased investment, funded through a relentless pursuit of efficiency Marketing and administration as a percentage of sales increased by 130 basis points to 19.9%
Advertising and marketing expenses were 8.1% of sales, an increase of 100 basis points compared to the first half of 2023.
Underlying earnings per share increased by 8.4% in constant currency and by 0.1% on a reported basis to chf 4.80 We expect organic sales growth of around 4% and a moderate increase in the underlying trading operating profit margin Underlying earnings per share in constant currency is expected to increase between 6% and 10%. Earnings per share increased 1.8% to chf 2.16 on a reported basis
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