ZURICH: Food giant Nestle confirmed its full-year outlook on Friday after strong demand in emerging markets and price increases helped underlying sales growth beat forecasts despite high raw materials prices.
"The first quarter of 2011 saw a number of high-impact events ranging from civil unrest and natural disasters to extreme volatility in raw material prices," the maker of KitKat chocolate bars and Nespresso portioned coffee said in a statement.
"Nonetheless, our strong momentum, both in organic growth and our drive for improved efficiency and effectiveness, enables us to confirm our full-year guidance," the group said.
Food groups are grappling with soaring costs for raw materials such as coffee, cocoa, milk, grain and crude oil and are betting on price increases and cost savings to offset the hit.
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