Nestle India Q1 profit soars 48% YoY to ₹975 crore, sales grow 25%; shares hit 52-week high

The firm recorded a standalone net profit of ₹975.12 crore during the quarter under review, marking a 47.92% year-on-year (YoY) surge from ₹659.23 crore in the first quarter of the 2025-26 fiscal year (Q1 FY26).

Its revenue from operations jumped 25.16% YoY to ₹6,378.18 crore in Q1 FY27, as against ₹5,096.16 crore in the April-June period of FY26, according to a regulatory filing.

At an operational level, its EBITDA (earnings before interest, tax, depreciation and amortisation), also known as operating profit, stood at ₹1,538 crore for the reporting period, reflecting a 39.82% YoY growth from ₹1,100 crore in the year-ago period.

Its EBITDA margin expanded to 24% in Q1 FY27, as against 21.6% in the same period of FY26.

The company’s total sales surged 25.4% YoY to ₹6,363.3 crore during the quarter, with domestic sales growth of 25%, led by strong volume growth. Its exports also grew 35.6% YoY, despite the ongoing geopolitical headwinds.

“General Trade continued to deliver strong double-digit growth across town classes, with rural markets leading the momentum. Rural distribution touchpoints expanded during the quarter, strengthening direct reach and improving the quality of coverage,” said Manish Tiwary, Chairman and Managing Director of Nestlé India.

He added that the progress was underpinned by technology-led interventions, including distribution management system (DMS) adoption at the sub-distributor level, which helped deepen retailer engagement and improve execution across rural markets.

Domestic product group performance

All four of its product groups delivered strong double-digit growth, supported by high double-digit growth across channels.

Its delivery was supported by disciplined brand investments in strengthening category fundamentals, including digital activation, consumer-needs-oriented portfolio refinement and continued focus on execution excellence across the portfolio, the company said.

Furthermore, science-based portfolio of nutritional products for infants continued to deliver sequentially strengthening performance.

Increased investments behind key brands and impactful partnerships such as KITKAT with One Piece were also among the key growth drivers. Additionally, KITKAT continued to gain market share.

The delivery was supported by disciplined brand investments in strengthening category fundamentals, including digital activation, consumer-needs-oriented portfolio refinement and continued focus on execution excellence across the portfolio.

The growth was supported by high double-digit, volume-led growth in Nescafe Classic and Nescafe Sunrise, alongside robust growth in the premium portfolio, led by Nescafe Gold. The Ready-to-Drink (RTD) business scaled rapidly during the quarter.

Key highlights

• The company’s advertising spends increased by over 40% in the quarter ended June 30, 2026.

• Its e-commerce sustained strong growth momentum, with Quick Commerce emerging as a key growth lever. Its performance was supported by improved product availability, a more tailored platform-specific pack portfolio across relevant categories, focused on- and off-platform media investments, and strong participation during key festive occasions.

• Nestle’s organised trade delivered double-digit growth across key categories, driven by sharper in-store execution, impactful consumer activations, enhanced visibility, and continued expansion of the store footprint.

• Its out-of-home (OOH) business delivered strong customer acquisition, supported by innovation and premiumisation across categories.

Commodity outlook

The company said that the commodity markets remain mixed. While coffee is expected to remain well supplied, cocoa and sugar remain under pressure.

Coffee supply is supported by higher production in Brazil and Vietnam, though short-term volatility may persist due to fund activity and weather-related harvest delays in Brazil, Nestle stated.

However, cocoa and sugar remain under pressure, with cocoa impacted by erratic rainfall across key producing origins and sugar strengthening on lower-than-expected crop estimates, with uneven monsoon conditions linked to El Niño posing a risk to the next crop.

Furthermore, edible oil prices remain stable at elevated levels, and wheat and milk are expected to remain range-bound.

Protein complex, including dairy-based proteins, continues to face inflationary pressure as demand from nutrition and protein-fortification trends outpaces supply expansion, it stated.

Nestle India stock performance

Shares of Nestle India soared as much as 4.07% to hit a 52-week high of ₹1,510 per unit on the National Stock Exchange (NSE) on Wednesday, July 22, after the earnings were reported.

At around 12:22 PM, the scrip was trading 1.33% higher at ₹1,471.20 per equity share. It had touched a year’s low of ₹1,084.70 apiece on August 14, 2025.

The stock has gained 5% in the past week and 7% over the month. On a year-to-date basis, it has risen 16%.

Nestle India has a total market capitalisation of ₹2.84 lakh crore as of July 22, 2026, according to data on the NSE.