Nestle CEO Paul Bulcke speaks during the 2014 full-year results press conference of the food and drinks giant Nestle in Vevey, Switzerland, Thursday. — AP
FRANKFURT, Germany — Food company Nestle S.A. says net profit rose 44 percent last year as the company booked one-time gains from the sale of a stake in L'Oreal and its purchase of dermatology company Galderma. Stripping out those gains, the maker of Lean Cuisine, Nespresso and Maggi brands said Thursday its earnings per share increased 4.4 percent. Annual sales fell in Swiss franc terms due to hesitant consumers in Europe and shifting exchange rates.
Swiss-based Nestle reported weak sales growth in Europe, saying business conditions there were volatile, "with deflationary pressure increasing during the year." That meant little flexibility to increase prices. Sales in Europe rose only 1.5 percent stripping out currency effects and acquisitions. Consumer prices have fallen in Europe due to lower oil prices and a weak economy. That has led the European Central Bank to announce a 1.1 trillion euro monetary stimulus through bond purchases to start next month in an attempt to get the economy moving. – AP
