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| URL | https://fortune.com/2025/09/02/nestle-picks-insider-to-replace-ceo-fired-over-affair/ |
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| Meta Title | Nestlé picks insider to replace CEO fired over affair | Fortune |
| Meta Description | Philipp Navratil is taking over as chief executive officer of the company known for its staid corporate culture. |
| Meta Canonical | null |
| Boilerpipe Text | (Bloomberg) â NestlĂ© SA is turning to the executive who runs its Nespresso coffee empire to try and steady the worldâs largest food business after it was rocked by the second CEO firing in a little over a year.
Philipp Navratil is taking over as chief executive officer at the Swiss company, after the exit of Mark Schneider for underperformance last year and Laurent Freixe on Monday for failing to disclose an affair with a direct subordinate.
Read More:Â
Nestlé
 Ousts CEO Over Office Affair and Taps Nespresso Boss
Itâs unprecedented turmoil for a company that has been renowned for its internal succession planning and staid corporate culture.
Freixeâs ouster âhas left us shocked,â RBC analysts including James Edwardes Jones said in a note. âWe thought of him as a NestlĂ© lifer who would restore the companyâs reputation of slightly boring predictability. How wrong we were.â
The quick reshuffle raises the question of why NestlĂ© immediately appointed a permanent internal CEO, âinstead of taking time to conduct a full assessment of internal and external candidates,â Jefferies analysts said.
NestlĂ©âs shares fell 3.6% early Tuesday before paring some of the drop.
Now investorsâ eyes are on Navratil, a company veteran of more than 20 years who at the age of 49 could conceivably run the maker of KitKat chocolate bars for a decade or more. He joined NestlĂ© in 2001 and has spent much of his career in central America including Mexico, with a focus on the coffee business.
He later ran the groupâs global coffee unit, overseeing the NescafĂ© brand and the license agreement with
Starbucks
Corp., which analysts see as one of NestlĂ©âs most promising businesses. He became CEO of Nespresso, the maker of coffee machines and single-use capsules, in July 2024.
Navratilâs appointment, along with NestlĂ©âsÂ
change of chairman
 next year, is âthe real generational step that should probably have happened 12 months earlier,â Baader analyst Andreas von Arx said in a note.
Even so, theÂ
Swiss and Austrian national
 faces skepticism about whether he can reboot a company whose shares have slumped over 40% since their early 2022 peak. The slide, which began under Schneider, had been Freixeâs job to reverse.
But the ex-CEOâs efforts came to an abrupt end after an investigation found Freixe had violated NestlĂ©âs code of conduct, according to a release late Monday. He will not receive an exit package, a spokesperson said.
The matter was first brought to company officialsâ attention through an internal system called âspeak up,â according to a person familiar with the situation who asked not to named. After the allegations couldnât be substantiated via an initial probe, further concerns were raised via the internal system and an investigation with external counsel was launched, the person said.
Commenting on his new role, Navratil said he will âfully embrace the companyâs strategic directionâ â a clear signal heâll continue Freixeâs strategy of boosting spending on advertising, betting on fewer but bigger product initiatives and getting rid of underperforming units.
Read More:Â
Nestl
Ă©
 Weighs Sale of Vitamin Brands After Volumes Decline
He inherits ongoing restructuring including the potential sale of struggling vitamin brands, and finding a potential partner for NestlĂ©âs bottled water business, which Freixe separated into a standalone unit.
âWe are disappointed that the CEO is boxed in for now to follow his predecessorâs strategy at a time where the market is doubting the outcome,â JPMorgan analyst Celine Pannuti said in a note.
Some of NestlĂ©âs challenges are beyond its direct control. While Freixe often noted about 90% of its US-sold products are made domestically and are therefore outside the scope of President Donald Trumpâs tariffs, a key exception is Nespressoâs Swiss-made coffee capsules. They now face a 39% levy.
Itâs a business Navratil knows well, at least. |
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# Nestlé picks insider to replace CEO fired over affair
By
[Sonja Wind](https://fortune.com/author/sonja-wind/)
Sonja Wind
and
[Bloomberg](https://fortune.com/author/bloomberg/)
Bloomberg
By
[Sonja Wind](https://fortune.com/author/sonja-wind/)
Sonja Wind
and
[Bloomberg](https://fortune.com/author/bloomberg/)
Bloomberg
September 2, 2025, 8:51 AM ET
Add us on

Nestle CEO Laurent Freixe speaks during a general shareholders meeting of Swiss food giant Nestle in Ecublens, near Lausanne, on April 16, 2025. Photo by GABRIEL MONNET/AFP via Getty Images
(Bloomberg) â NestlĂ© SA is turning to the executive who runs its Nespresso coffee empire to try and steady the worldâs largest food business after it was rocked by the second CEO firing in a little over a year.
Recommended Video
***
Philipp Navratil is taking over as chief executive officer at the Swiss company, after the exit of Mark Schneider for underperformance last year and Laurent Freixe on Monday for failing to disclose an affair with a direct subordinate.
Read More: [Nestlé](https://www.bloomberg.com/news/articles/2025-09-01/nestle-dismisses-ceo-freixe-over-relationship-with-subordinate) [Ousts CEO Over Office Affair and Taps Nespresso Boss](https://www.bloomberg.com/news/articles/2025-09-01/nestle-dismisses-ceo-freixe-over-relationship-with-subordinate)
Itâs unprecedented turmoil for a company that has been renowned for its internal succession planning and staid corporate culture.
Freixeâs ouster âhas left us shocked,â RBC analysts including James Edwardes Jones said in a note. âWe thought of him as a NestlĂ© lifer who would restore the companyâs reputation of slightly boring predictability. How wrong we were.â
The quick reshuffle raises the question of why NestlĂ© immediately appointed a permanent internal CEO, âinstead of taking time to conduct a full assessment of internal and external candidates,â Jefferies analysts said.
NestlĂ©âs shares fell 3.6% early Tuesday before paring some of the drop.
Now investorsâ eyes are on Navratil, a company veteran of more than 20 years who at the age of 49 could conceivably run the maker of KitKat chocolate bars for a decade or more. He joined NestlĂ© in 2001 and has spent much of his career in central America including Mexico, with a focus on the coffee business.
He later ran the groupâs global coffee unit, overseeing the NescafĂ© brand and the license agreement with [Starbucks](https://fortune.com/company/starbucks/) Corp., which analysts see as one of NestlĂ©âs most promising businesses. He became CEO of Nespresso, the maker of coffee machines and single-use capsules, in July 2024.
Navratilâs appointment, along with NestlĂ©âs [change of chairman](https://www.bloomberg.com/news/articles/2025-06-18/nestle-proposes-isla-to-replace-retiring-bulcke-as-chairman) next year, is âthe real generational step that should probably have happened 12 months earlier,â Baader analyst Andreas von Arx said in a note.
Even so, the [Swiss and Austrian national](https://www.nestle.com/sites/default/files/2024-12/Philipp-Navratil-CV.pdf) faces skepticism about whether he can reboot a company whose shares have slumped over 40% since their early 2022 peak. The slide, which began under Schneider, had been Freixeâs job to reverse.
But the ex-CEOâs efforts came to an abrupt end after an investigation found Freixe had violated NestlĂ©âs code of conduct, according to a release late Monday. He will not receive an exit package, a spokesperson said.
The matter was first brought to company officialsâ attention through an internal system called âspeak up,â according to a person familiar with the situation who asked not to named. After the allegations couldnât be substantiated via an initial probe, further concerns were raised via the internal system and an investigation with external counsel was launched, the person said.
Commenting on his new role, Navratil said he will âfully embrace the companyâs strategic directionâ â a clear signal heâll continue Freixeâs strategy of boosting spending on advertising, betting on fewer but bigger product initiatives and getting rid of underperforming units.
Read More: [Nestl](https://www.bloomberg.com/news/articles/2025-07-24/nestle-sales-rise-on-price-hikes-may-divest-vitamins-business)Ă© [Weighs Sale of Vitamin Brands After Volumes Decline](https://www.bloomberg.com/news/articles/2025-07-24/nestle-sales-rise-on-price-hikes-may-divest-vitamins-business)
He inherits ongoing restructuring including the potential sale of struggling vitamin brands, and finding a potential partner for NestlĂ©âs bottled water business, which Freixe separated into a standalone unit.
âWe are disappointed that the CEO is boxed in for now to follow his predecessorâs strategy at a time where the market is doubting the outcome,â JPMorgan analyst Celine Pannuti said in a note.
Some of NestlĂ©âs challenges are beyond its direct control. While Freixe often noted about 90% of its US-sold products are made domestically and are therefore outside the scope of President Donald Trumpâs tariffs, a key exception is Nespressoâs Swiss-made coffee capsules. They now face a 39% levy.
Itâs a business Navratil knows well, at least.
**The Fortune 500 Innovation Forum** will convene Fortune 500 executives, U.S. policy officials, top founders, and thought leaders to help define whatâs next for the American economy, **Nov. 16-17 in Detroit. [Apply here](https://conferences.fortune.com/d7vV40?utm_source=Plea%2520Links&utm_campaign=F500%2520Innovation&utm_medium=fortune&RefId=Plea).**
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| Readable Markdown | (Bloomberg) â NestlĂ© SA is turning to the executive who runs its Nespresso coffee empire to try and steady the worldâs largest food business after it was rocked by the second CEO firing in a little over a year.
Philipp Navratil is taking over as chief executive officer at the Swiss company, after the exit of Mark Schneider for underperformance last year and Laurent Freixe on Monday for failing to disclose an affair with a direct subordinate.
Read More: [Nestlé](https://www.bloomberg.com/news/articles/2025-09-01/nestle-dismisses-ceo-freixe-over-relationship-with-subordinate) [Ousts CEO Over Office Affair and Taps Nespresso Boss](https://www.bloomberg.com/news/articles/2025-09-01/nestle-dismisses-ceo-freixe-over-relationship-with-subordinate)
Itâs unprecedented turmoil for a company that has been renowned for its internal succession planning and staid corporate culture.
Freixeâs ouster âhas left us shocked,â RBC analysts including James Edwardes Jones said in a note. âWe thought of him as a NestlĂ© lifer who would restore the companyâs reputation of slightly boring predictability. How wrong we were.â
The quick reshuffle raises the question of why NestlĂ© immediately appointed a permanent internal CEO, âinstead of taking time to conduct a full assessment of internal and external candidates,â Jefferies analysts said.
NestlĂ©âs shares fell 3.6% early Tuesday before paring some of the drop.
Now investorsâ eyes are on Navratil, a company veteran of more than 20 years who at the age of 49 could conceivably run the maker of KitKat chocolate bars for a decade or more. He joined NestlĂ© in 2001 and has spent much of his career in central America including Mexico, with a focus on the coffee business.
He later ran the groupâs global coffee unit, overseeing the NescafĂ© brand and the license agreement with [Starbucks](https://fortune.com/company/starbucks/) Corp., which analysts see as one of NestlĂ©âs most promising businesses. He became CEO of Nespresso, the maker of coffee machines and single-use capsules, in July 2024.
Navratilâs appointment, along with NestlĂ©âs [change of chairman](https://www.bloomberg.com/news/articles/2025-06-18/nestle-proposes-isla-to-replace-retiring-bulcke-as-chairman) next year, is âthe real generational step that should probably have happened 12 months earlier,â Baader analyst Andreas von Arx said in a note.
Even so, the [Swiss and Austrian national](https://www.nestle.com/sites/default/files/2024-12/Philipp-Navratil-CV.pdf) faces skepticism about whether he can reboot a company whose shares have slumped over 40% since their early 2022 peak. The slide, which began under Schneider, had been Freixeâs job to reverse.
But the ex-CEOâs efforts came to an abrupt end after an investigation found Freixe had violated NestlĂ©âs code of conduct, according to a release late Monday. He will not receive an exit package, a spokesperson said.
The matter was first brought to company officialsâ attention through an internal system called âspeak up,â according to a person familiar with the situation who asked not to named. After the allegations couldnât be substantiated via an initial probe, further concerns were raised via the internal system and an investigation with external counsel was launched, the person said.
Commenting on his new role, Navratil said he will âfully embrace the companyâs strategic directionâ â a clear signal heâll continue Freixeâs strategy of boosting spending on advertising, betting on fewer but bigger product initiatives and getting rid of underperforming units.
Read More: [Nestl](https://www.bloomberg.com/news/articles/2025-07-24/nestle-sales-rise-on-price-hikes-may-divest-vitamins-business)Ă© [Weighs Sale of Vitamin Brands After Volumes Decline](https://www.bloomberg.com/news/articles/2025-07-24/nestle-sales-rise-on-price-hikes-may-divest-vitamins-business)
He inherits ongoing restructuring including the potential sale of struggling vitamin brands, and finding a potential partner for NestlĂ©âs bottled water business, which Freixe separated into a standalone unit.
âWe are disappointed that the CEO is boxed in for now to follow his predecessorâs strategy at a time where the market is doubting the outcome,â JPMorgan analyst Celine Pannuti said in a note.
Some of NestlĂ©âs challenges are beyond its direct control. While Freixe often noted about 90% of its US-sold products are made domestically and are therefore outside the scope of President Donald Trumpâs tariffs, a key exception is Nespressoâs Swiss-made coffee capsules. They now face a 39% levy.
Itâs a business Navratil knows well, at least. |
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