Switzerland: Strong franc stifles Nestle

NESTLé reported slumping first-half earnings and sales yesterday, blaming the effect of a strong Swiss franc. During the six months to June it had made a net profit of Sf4.6 billion (R54.4bn), down 9.5 percent year on year, the Swiss food giant said. Analysts polled by AWP had anticipated a Sf4.9bn net profit. Sales shrank 4.8 percent to Sf43bn. Nestlé stressed that the strong Swiss franc had a “substantial negative impact”. Its organic growth expanded 4.7 percent. – Sapa-AFP