Nestlé Purina pet food and treat sales reached CHF10.382 billion (US$11.444 bil) in the first nine months of 2020, up from CHF9.973 billion (US$10.993 bil) in that same period of 2019. That change represents real internal growth of 10%, according to data released along with the company’s Oct. 21 third-quarter investors call. That strong momentum in pet food sales paid off overall for the company, as organic growth reached 3.5%, with real internal growth of 3.3%. By product sector, Purina PetCare was the largest contributors to Nestlé’s overall sales growth. By brand, Felix, Purina Pro Plan and Tails.com drove growth, along with strong demand in e-commerce and specialist channels.

“Nestlé has remained resilient in a difficult and volatile environment,” Mark Schneider, Nestlé CEO, said in a press release. “Our people have acted in a responsible and prompt manner to mitigate the impact of the global pandemic and have adapted quickly to evolving consumer needs. Strong organic growth was broad based and supported by sustained momentum in the Americas, Purina PetCare and Nestlé Health Science, as well as the acceleration of our coffee business in the third quarter.”

E-commerce and regional growth for Purina PetCare

In the first three quarters of 2020, overall Nestlé e-commerce sales grew by 47.6%, making up 12.3% of total sales. Purina PetCare was one of the main contributors to this growth.

In North America, the largest growth contributor was Purina PetCare, with sustained momentum in e-commerce and premium brands. Purina Pro Plan, Purina ONE, veterinary products and supplements all grew at a double-digit rate. Overall Nestlé sales in North America maintained a mid single-digit growth rate. Latin American sales had high single-digit growth overall for Nestlé, with Purina PetCare serving as a key growth platform. Purina PetCare sales also grew at double-digits rates in Europe, North Africa and the Middle East.

Nestlé sales in China declined in the first two quarters, but turned positive in the third. Purina PetCare grew at a double-digit rate.

Southeast Asia maintained mid single-digit growth over all for Nestlé with Purina PetCare once against begin among the main contributors to growth.

Source: Tim Wall Petfood Industry

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