Nestle India Q3 Results: Net profit climbs 46% to ₹1,018 crore, revenue up 19%

The company had posted a post-tax profit of ₹696.13 crore in the corresponding quarter last fiscal.

Standalone revenue from operations in the third quarter stood at ₹5,667.04 crore, up 18.56% compared to ₹4,779.73 crore in the year-ago period, according to a regulatory filing.

EBITDA, or earnings before interest, taxes, depreciation, and amortisation, advanced 9% to ₹1,202 crore as against ₹1,103 crore in the same period of the previous fiscal year. EBITDA margin was at 21.21% vs 23.07%.

Nestle India share price

Post earnings, Nestle India shares hit a 52-week high of ₹1,339.6 apiece on the NSE.

At 2:38 pm, the stock was trading 3% higher at ₹1,326.90 on the National Stock Exchange (NSE). Its market capitalisation stood at ₹2,56,195.84 crore.

Manish Tiwary, Chairman and Managing Director of Nestle India, said, "I am pleased to share that this quarter, Nestle India saw robust, broad-based volume led sales growth of 18.5%, resulting in our highest-ever quarterly turnover of ₹5,643.5 crore and the strongest volume growth in nearly five years. This success is attributed to strategic investments in increasing capacity and building our brands, supported by a market recovery following GST benefits. During the quarter, we increased consumer-focused media and advertising spending by 42% year-on-year and the EBITDA margin stood at 21.3%."

In a regulatory filing, the company said that confectionery was the fastest-growing product group, witnessing a strong double-digit growth fuelled by robust underlying volume increases.

The powdered and liquid beverages product group again saw a robust growth in Q3, marking 18 consecutive quarters of double-digit sell-out growth.

"The Milk Products and Nutrition product group showed improved performance with mid-single-digit growth, with certain segments demonstrating promising growth while others exhibited muted performance. We are encouraged by the improving underlying trends in consumer-facing channels," Nestle India said.

In the premium segment, NESPRESSO’s growth path continued due to strong momentum during the festive season. The out-of-Home business, Nestle Professional, also recorded double-digit growth.