Nestlé Group 2013

ResultsSales

Trading operating profit

as % of sales

Profit for the year attributable to shareholders of the parent (Net profit)

as % of sales

Balance sheet and Cash flow statementEquity attributable to shareholders of the parent

before proposed appropriation of profit of Nestlé S.A.

Net financial debt

Ratio of net financial debt to equity (gearing)

Operating cash flow

Free cash flow (a)

Capital expenditure

as % of sales

Key figures (consolidated)

In millions of CHF (except for data per share) 2013

92 158

14 047

15.2%

10 015

10.9%

62 575

14 690

23.5%

14 992

10 486

4 928

5.3%

Data per shareTotal basic earnings per share

Underlying (b)

Dividend as proposed by the Board of Directors of Nestlé S.A.

Stock exchange prices (high/low)

Yield (c)

Market capitalisation, end December

(a) Operating cash flow less capital expenditure, expenditure on intangible assets, sales of property, plant and equipment, investments (net of divestments) in associates and joint ventures, and other investing cash flows.

(b) Profit per share for the year attributable to shareholders of the parent before impairments, restructuring costs, results on disposals and significant one-off items. The tax impact from the adjusted items is also adjusted for.

(c) Calculated on the basis of the dividend for the year concerned, which is paid in the following year, and on high/low stock prices.

3.14

3.50

2.15

70.00/59.20

3.1/3.6

208 279

CHF

CHF

CHF

CHF

%

Analysis of sales, trading operating profit and organic growth (OG)

By operating segment

In millions of CHF

Zone Europe

Zone Americas

Zone Asia, Oceania and Africa

Nestlé Waters

Nestlé Nutrition

Other (a)

Unallocated items (b)

Total Group

OG

0.8%

5.3%

5.6%

2.0%

8.2%

5.4%

4.6%

Trading

operatingprofit

2 331

5 151

3 558

680

1 961

2 175

(1 809)

14 047

Sales

15 568

28 375

18 859

7 231

9 826

12 299

92 158

By product

In millions of CHF

Powdered and Liquid Beverages

Water

Milk products and Ice cream

Nutrition and HealthCare

Prepared dishes and cooking aids

Confectionery

PetCare

Unallocated items (b)

Total Group

(a) Mainly Nespresso, Nestlé Professional and Nestlé Health Science.(b) Mainly corporate expenses as well as research and development costs.

OG

4.6%

1.8%

5.8%

7.6%

0.3%

5.0%

6.8%

4.6%

Trading

operatingprofit

4 649

678

2 632

2 228

1 876

1 630

2 163

(1 809)

14 047

Sales

20 495

6 773

17 357

11 840

14 171

10 283

11 239

92 158

www.nestle.com

Contact

MediaNestlé S.A.Corporate Media RelationsAvenue Nestlé 55 CH-1800 Vevey (Switzerland)Tel. +41 (0)21 924 22 00Fax +41 (0)21 922 63 34mediarelations@nestle.com

InvestorsNestlé S.A. Investor RelationsAvenue Nestlé 55 CH-1800 Vevey (Switzerland)Tel. +41 (0)21 924 35 09Fax +41 (0)21 924 28 13ir@nestle.com

ShareholdersShare register: registrations, transfers, address changes, dividends, etc.Nestlé S.A.Share Transfer OfficeZugerstrasse 8 CH-6330 Cham (Switzerland)Tel. +41 (0)41 785 20 20Fax +41 (0)41 785 20 24shareregister@nestle.com

Company profileNestlé has sold its products in 196 countries, has 447 factories in 86 countries

and 333 000 employees.

Employees by geographic area

Europe*

Americas

Asia, Oceania and Africa

Total

* 10 175 employees in Switzerland in 2013.

Factories by geographic area

Europe

Americas

Asia, Oceania and Africa

Total

2013

140

164

143

447

2013

28.0%

32.5%

39.5%

100.0%

1866 Foundation of Anglo-Swiss Condensed Milk Co.

1867 Henri Nestlé’s Infant cereal developed

1905 Nestlé and Anglo-Swiss Condensed Milk Co. (new name after merger)

1929 Merger with Peter, Cailler, Kohler Chocolats Suisses S.A.

1934 Launch of Milo

1938 Launch of Nescafé

1947 Nestlé Alimentana S.A. (new name after merger with Maggi)

1948 Launch of Nestea and Nesquik

1969 Vittel (initially equity interest only)

1971 Merger with Ursina-Franck

1973 Stouffer (with Lean Cuisine)

1974 L’Oréal (associate)

The Nestlé Story – all the way to Nutrition, Health and Wellness

1977 Nestlé S.A. (new name), Alcon (disposed in August 2010)

1981 Galderma (joint venture with L’Oréal – full acquisition announced for 2014)

1985 Carnation (with Coffee-mate and Friskies)

1986 Creation of Nestlé Nespresso S.A. and Herta

1988 Buitoni-Perugina and Rowntree (with KitKat)

1990 Cereal Partners Worldwide (joint venture with General Mills)

1991 Beverage Partners Worldwide (joint venture with Coca-Cola)

1992 Perrier (with Poland Spring)

1993 Creation of Nestlé Sources Internationales (2002: Nestlé Waters)

1997 Creation of Nutrition Strategic Business Division (2006: Nestlé Nutrition)

1998 Sanpellegrino and Spillers Petfoods, Launch of Nestlé Pure Life

2000 PowerBar (disposal announced for 2014)

2001 Ralston Purina

2002 Schöller, Chef America and Dairy Partners Americas (joint venture with Fonterra)

Laboratoires innéov (joint venture with L’Oréal)

2003 Mövenpick and Dreyer’s

2005 Wagner

2006 Creation of FoodServices Strategic Business Division (2009: Nestlé Professional)

Lactalis Nestlé Produits Frais (associate)

Jenny Craig (disposed in 2013), Uncle Tobys and Delta Ice Cream

2007 Novartis Medical Nutrition, Gerber, Henniez

2008 Ruzanna

2010 Kraft Food’s frozen pizza, Waggin’Train, Malher, Technocom and Vitaflo

2011 Creation of Nestlé Health Science and Nestlé Institute of Health Sciences

Yinlu, Hsu Fu Chi (partnerships)

2012 Wyeth Nutrition

2013 Pamlab

Our ambitionNestlé’s ambition is to enhance the quality of consumer’s lives through nutrition, health and

wellness. We offer healthier and tastier choices throughout all stages of a consumer’s life and

at any time of the day. Based on science and Research and Development, we permanently

innovate our portfolio of food and beverages.

We have reinforced this strategy by extending the boundaries of nutrition with Nestlé Health

Science, enabling us to develop nutritional solutions based on science to help prevent and treat

various health conditions. With the recent setting up of Nestlé Skin Health, we are extending the

boundaries of health and wellness further, into the field of specialised medical skin treatment.

It is our firm belief that for a company to be successful over time, and create value for its

shareholders, it must also create value for society. We call this “Creating Shared Value”. Built on

strong foundations of compliance and sustainable business practices, this is our way of doing

business and of being the trusted leader in Nutrition, Health and Wellness.

The Nestlé Roadmap toGood Food, Good Life

In recent years the Nestlé

4x4x4 Roadmap has helped us

build both a strong alignment

within our Company and

a deep understanding of

what we want to achieve,

strategically and financially,

and how to go about it.

Our commitment is to provide

Good Food, Good Life.

Operational pillars

Competitive advantages

Growth drivers

Com

plia

nce

– Su

stai

nabilit

y Creating Shared Valu

e

Nestlé culture, values and principles

Nutrition, Health and Wellness Emerging

markets andPopularly Positioned Products

Out-of-home consumption

Premiumisation

Unmatchedproduct

and brandportfolio

Unmatched research and development

capabilityUnmatched geographic

presence

People, culture, values

and attitude

Consumerengagement

Operationalefficiency

Whenever,wherever, however

Innovation and renovation

Our objective is to be the leader in Nutrition Health and Wellness, and the industry reference for financial performance, trusted by all stakeholders