The net profit of Swiss food giant Nestle rose by 13.8 percent to a record-high of 9.2 billion Swiss francs (US$about 7.4 billion) in 2006, the company said yesterday.

Sales of the Vevey-based group grew 8.1 percent in 2006 to 98.5billion Swiss francs (about US$79.4 billion), while organic growth was 6.2 percent.

Both were above expectations.

Nestle said the result had been boosted by its food and beverages businesses. It expects its good performance to continue into 2007.

"2006 was another record year for Nestle," said Peter Brabeck-Letmathe, Nestle's chairmand and CEO, in a statement.

"We are seeing the benefits of the Group's transformation into a nutrition, health and wellness company, with stronger innovation and branding as well as improved efficiency," he said.

Nestle, whose 8,500 brands include Perrier water, Buitoni pastaand Smarties chocolate, said it expected the good results to continue into 2007, despite strong input cost pressure, especially in agricultural raw materials.

Nestle is among the first 30 companies in the world in terms of capital. It employs around 250,000 people in five continents.