Investor Presentaiton

Nestlé 2023 Half-Year Results Thursday 27th July 2023 The underlying trading operating profit margin of Nestlé Health Science decreased by 70 basis points as cost inflation more than offset pricing and acquisition synergies. Slide: Nespresso Finally, Nespresso, which reported mid single-digit organic growth driven by pricing. RIG was 0.8%, with a return to positive growth across most segments and geographies in the second quarter. Growth was led by broad-based momentum for the Vertuo system. Growth in out-of-home channels was also strong, supported by the continued expansion of the Momento system, particularly in the office segment. Innovation continued to resonate with consumers, including the launch of Vertuo milk machines, new barista iced coffee creations such as juicy watermelon over ice, as well as the launch of home compostable coffee capsules in France in June. By geography, North America posted double-digit growth with continued market share gains. Europe reported slightly positive growth. Other regions combined recorded low single-digit growth. The underlying trading operating profit margin of Nespresso decreased by 260 basis points. Significant coffee cost inflation and the appreciation of the Swiss Franc more than offset pricing actions. The business continued to invest in the rollout of the Vertuo system as well as in media advertising, including the new campaign featuring George Clooney, Simone Ashley and Julia Garner. Slide: Broad-based growth across categories Let's now look at product categories. Organic growth was broad-based, supported by pricing across all categories. At-home consumption post-COVID has now normalized, while out-of- home channels continue to see strong growth momentum, with an organic growth rate twice as fast as the Group average at 17.1%. Within Powdered and liquid beverages, Coffee saw high single-digit growth. Growth was broad-based across segments, brands and geographies and led by continued momentum for out-of-home channels, which grew at a strong double-digit rate. Starbucks products grew by 9.4%, supported by a strong recovery of out-of-home channels in the United States. Cocoa and malt beverages reported mid single-digit growth, with strong contributions from Nescau and Milo. PetCare posted continued strong double-digit growth for the third year in a row, despite capacity constraints. Science-based, premium and veterinary products saw strong sales 9

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