FOOD and drink giant Nestle, maker of Nescafe coffee, said it had reaped the reward of its "relentless push for continuous improvement", reporting record full-year figures.

The group, which has its UK operations based in York, saw its net profits surge 22 per cent to £2.37bn, based on sales of £33.32bn, up nine per cent on 1999.

Nestle said all parts of the business had contributed to the growth, with a particularly strong performance in Eastern Europe, Asia and Latin America.

The Switzerland-based company, which employs 230,000 people in 509 factories globally, is the world's largest food company.

Its products also include Crosse & Blackwell and Perrier.

Peter Brabeck, chief executive, said the group's strategy was delivering sustainable long-term growth

"Nestle has achieved record levels of growth and profits in comparison with 1999's figures," he said..

"We are now harvesting the results of our relentless push for continuous improvement."

The company said streamlining of its product ranges, improving efficiency and a continuing restructuring programme had boosted operational efficiency and margins.

A company spokesman added that, "barring unforeseen events", it would finish this year with a further improvement in sales and profits.