Nestle SA (NESN.EB) said Tuesday it will accelerate its share buyback plan and confirmed its 2020 organic growth target.
The Swiss consumer goods company said it will spread the buybacks evenly over the next three years, having allocated 20 billion Swiss francs ($20.62 billion) for mergers, acquisitons and buybacks in June. It previously said it would conduct most of the buybacks in 2019 and 2020.
Continue Reading Below
The planned buybacks would increase the returns to shareholders of more than CHF100 billion seen over the past ten years, including CHF43 billion in buybacks, the company said.
Nestle also set a target of achieving an underlying trading operating profit margin of 17.5% to 18.5% by 2020, compared with 16% in 2016.
It confirmed its goal of reaching mid-single digit organic growth by 2020.
Chief Executive Mark Schneider said the company is intensifying its focus on innovation, operational efficiency and portfolio management.
Nestle has already taken steps to adjust its portfolio, having recently invested in Blue Bottle Coffee, Sweet Earth and Freshly.
Write to Anthony Shevlin at firstname.lastname@example.org
(END) Dow Jones Newswires
September 26, 2017 02:23 ET (06:23 GMT)