Nestle cuts 2020 growth forecast after second-quarter sales slow

ZURICH (Reuters) – Food group Nestle on Thursday cut its full-year underlying sales forecast after strong consumer stockpiling at the start of coronavirus related-lockdowns in Europe and North America was followed by weaker demand in the second quarter.

Organic sales growth, excluding currency swings and mergers and acquisitions, slowed to 1.3% in the three months to June, from 4.3% in the first quarter, the maker of KitKat chocolate bars and Nescafe coffee, said in a statement.

The Swiss giant lowered its expectations for organic growth this year to 2-3%, from “more than 3.5%” previously.

(Reporting by Silke Koltrowitz)