VEVEY, SWITZERLAND — Nestlé Purina PetCare reported 11.36 billion Swiss francs ($12.38 billion) in sales for the first nine months of 2021, with real internal growth up nearly 10% from the same period in 2020. The company shared pricing was up 2.3% and organic growth of 12.1% for this segment.
Pet care continues to be one of Nestlé’s top-performing segments, reporting the second-highest net sales numbers and highest real internal growth and organic growth rates over this nine-month period. Growth was fueled by premium brands including Felix, Gourmet and Purina Pro Plan, as well as Purina’s veterinary products.
“Pet care continued to see very strong growth globally,” said François-Xavier Roger, executive vice president and chief financial officer, in an Oct. 20 corporate sales call. “Most segments and geographies grew at a double-digit rate with market share gains. Purina's performance was driven by continued strong demand for premium products, supported by successful innovation and momentum across all channels.”
In North America (Zone AMS), Purina PetCare was one of the largest contributors to mid-single-digit sales growth, driven by Purina Pro Plan, Fancy Feasy and Purina ONE brands. The brand’s LiveClear allergen-reducing cat food line also saw continued momentum in this region.
In Latin America (Zone AMS), “the largest contributor to growth was Purina PetCare, with strong sales developments across all brands, markets and channels,” Roger said.
Note: Swiss franc to USD conversions are based on Oct. 21 exchange rates.
In Zone EMENA, which includes Europe, the Middle East and North Africa, pet food sales also contributed to “broad-based market share gains,” according to Roger.
“The key growth drivers continue to be Purina PetCare and coffee, supported by continued innovation across all brands,” he added about Zone EMENA growth. “In pet care, new business models including Tails.com and Lily's Kitchen, all saw strong double-digit growth.”
Purina PetCare also grew at a strong double-digit rate in China, gained market share in Zone AOA (which includes Asia, Oceania and sub-Saharan Africa), and contributed to high-single-digit growth for the company in Japan.
Overall, e-commerce sales grew by 17% and now account for 14% of total Nestlé sales.
“Most categories saw strong momentum in e-commerce, particularly coffee, Purina PetCare and culinary,” Roger said.
Company-wide, Nestlé achieved sales of 63.29 billion Swiss francs ($68.97 billion) for the first nine months, which was up 2.2% from 61.91 billion Swiss francs ($67.47 billion) for the same timeframe the previous year. Organic sales growth was 7.6%. Momentum in retail sales, recovery in out-of-home channels, increased pricing and market share gains all supported sales growth.
Read a more comprehensive overview of Nestlé’s overall financial performance from our sister publication, Food Business News.