Click to read the original article for details. It is understood that Nestlé released its 2019 half-year results. In the first six months of 2019, the Nestlé Group achieved revenue of CHF 45.5 billion (approximately RMB 309.1 billion); among this, Nestlé Greater China revenue was CHF 3.430 billion (approximately RMB 23.3 billion, converted at the rate of 100 RMB to 14.72 CHF used by Nestlé in the first half), continuing to maintain its position as Nestlé's second-largest global market after the US. According to the disclosed financial data, Nestlé's organic growth rate was 3.6%, accelerating from 3% in 2018. This fully indicates that both volume and price achieved growth. In the first half of 2019, Nestlé's sales revenue reached CHF 45.5 billion, higher than the CHF 43.9 billion in the same period last year, with acquisitions contributing 1.1% to growth, while unfavorable foreign exchange rates offset 1.2% of sales revenue. In a statement, Nestlé CEO Mark Schneider said he was encouraged by the first-half results. "Disciplined execution and rapid innovation have contributed to our organic growth and profitability," he said. In the first half, most of Nestlé's markets and a broad range of categories achieved growth, with particularly strong performance in the US market. Pet food and coffee businesses were the main drivers of Nestlé's performance improvement. With global consumption upgrading, pet food has ushered in development opportunities, and Nestlé seized this opportunity to take the lead in the pet market. In the coffee segment, Starbucks is a brand that has achieved tremendous success for Nestlé so far. Nestlé CEO Schneider stated, "With the Starbucks products we have launched, we plan to expand to more regions and implement innovation on the products to maximize this unique opportunity." Furthermore, strategic focus and proactive category management have solidified Nestlé's position in high-growth businesses, and Nestlé's value creation model will support sustainable profitable growth. In terms of profitability, in the first half, Nestlé's underlying operating profit increased by more than 10% to CHF 7.8 billion, with an underlying operating margin of 17.1%, a significant increase of 100 basis points at constant exchange rates compared to the same period last year. Nestlé's analysis pointed out that the improvement in profit margin was mainly driven by pricing, structural cost reduction, operational efficiency improvements, and product mix improvements, with pricing in the first half significantly offsetting input costs. In addition, marketing expenses for consumer-facing activities also increased by 5.1% at constant exchange rates in the first half. In the first half, Nestlé's free cash flow increased significantly by over 40% to CHF 4.1 billion. In the Chinese market, although growth was modest, both real internal growth and pricing were positive. Nestlé believes that despite weakness in some categories, its seasonings and ice cream businesses in China performed well, describing them as achieving good growth. This is attributed to changes in the Chinese ice cream market in recent years, where consumers are pursuing healthier, higher-quality ice cream, and the trend toward premiumization is becoming increasingly evident. Not long ago, Nestlé announced the introduction of its ultra-premium Italian gelato brand Antica Gelateria del Corso to China. Additionally, Nestlé has increased new product development efforts for ice cream brands such as Wuyang, Chengzhen, and 八次方 (Bacifang). Furthermore, it is worth noting that in the AOA region, pet food brand Purina was mentioned again, with Nestlé indicating it recorded double-digit growth in the first half. Nestlé also mentioned that infant nutrition achieved "broad" mid-single-digit growth in AOA. In coffee, Nestlé noted that markets in AOA where new Starbucks products have been launched, including Japan, Hong Kong, and Taiwan, have shown very strong demand. Globally, coffee has always been Nestlé's largest business segment. To drive growth in this segment, Nestlé has recently formulated five priority strategies: strengthening core businesses, leading innovation, embracing the cold brew/cold drink trend, accelerating out-of-home coffee consumption, and driving the implementation of the Starbucks plan. Nestlé is actively exploring the implementation of this cooperation in China, and there will be many different ways. In the future, Starbucks may cooperate with Nescafé and Nestlé's office coffee business. Even in upstream coffee cultivation, the possibility of cooperation between the two parties cannot be ruled out in the future. In other businesses, in the first half of this year, Nestlé Health Science recorded mid-single-digit growth, mainly benefiting from the development of its medical nutrition business and entry into more emerging markets. "Nestlé Health Science is committed to redefining health management, including areas such as aging, metabolic health, allergies, and pediatric health." It is reported that Nestlé Health Science's investment in China has increased significantly by over 40%. Nestlé's Taizhou factory is the first factory invested by this business unit in China, which will produce special medical foods and supply the Chinese market. With the implementation of local production capacity, Nestlé Health Science has been hoping to accelerate the registration of related special medical foods in China. In June, its brand Jiashen Jialichang took the lead in obtaining the first domestic formula registration for a complete adult nutritional special medical food. It is worth noting that the results were released at a time when Nestlé's CEO is implementing a recovery plan for the company, which aims to stimulate sales growth and improve profit margins over three years. As consumer preferences change, Nestlé, like many other food peers, is continuously launching more healthy products. According to the introduction, in Western Europe, Nestlé's plant-based products recorded double-digit growth, and Nestlé also launched plant-based burgers in nine markets in the second quarter. Nestlé has been under pressure from investors due to failing to meet sales targets for several consecutive years. In response, Nestlé has divested slow-growing, non-core food businesses and placed more emphasis on nutrition, pet food, coffee, and water. It also has higher expectations for the Chinese market. Currently, in the Chinese market, the share of high-end products will grow in the future. In the second half of 2019, Nestlé will face the impact of less favorable comparable bases and higher commodity raw material prices. Compiled and edited by .