Nestlé quarterly results show improved figures, yet key job losses loom

Nestlé’s first quarter performance figures have revealed improved internal growth of 3.5%, as supply chain pricing pressures ease including within cocoa, yet concerns arise over looming company job losses, reports Neill Barston.

Underscoring market challenges of the past year, the Swiss-headquartered company’s group sales results were CHF 21.3 billion, a decrease of 5.7% year on year, amid a backdrop of global trading uncertainty.

Notably the UK, workers union, GMB, has expressed concern over previously announced international job cuts, which includes a reported figure of up to 450 jobs being lost from its UK sites including its flagship KitKat production facility in York, as well as offices in Gatwick.

In terms of its quarterly results, the company said that pricing stood at 2.3% compared against results from 2025, with the business putting in place targeted measure to address inflation pressures that have hit the food sector particularly hard in the past few years.  

As the company noted, its food and snacks operations recorded quarterly internal growth of 4.2%, with confectionery cited as a core contributing factor with high single‑digit improvement.

But despite a picture of recovery emerging, industry concerns have grown regarding its plans to reduce global headcount, with the GMB union asserting that factories across the UK could be impacted. 

Last October, Nestlé confirmed that it had identified that there would be an estimated 16,000 jobs that would go across its international operations, as it sought to address market challenges.

Speaking in response to the situation, Charlotte Brumpton-Childs, GMB National Secretary, commented: “These job cuts will rip the heart out of communities. Nestle workers – who make some of the UK’s best loved treats – have already put up with years of uncertainty and job losses.

“GMB will working closely with members and the company to ease the pain of these cuts as much as possible.”

In response, the company issued a statement regarding its proposals for reducing its workforce globally.

The company said: “We said in 2025 that we will reduce our global workforce by 16,000 roles and that process is ongoing. As always, we will manage any changes in the right way and in consultation with our people. Any proposed changes will always be shared with those affected first and we have no further update to give at this time.”

Commenting on the firm’s improved performance Philipp Navratil, Nestlé CEO, remarked: “Our first-quarter performance demonstrates that our RIG-led growth strategy is delivering. Results were strong across most Zones and categories, particularly in Coffee and Food & Snacks. Growth in emerging markets stood out.

“In Europe and the US our performance was robust as our teams successfully navigated the customer and consumer environments. Building on the momentum in the first quarter, we continue to execute our strategy to deliver a stronger Nestlé. In an uncertain and complex environment, I would like to thank all our people for their dedication and our customers and consumers for their trust.”