Corporate Actions
Nestle India rallies after Q4 profit jumps 25.8% YoY

21-Apr-26   15:01 Hrs IST
On a standalone basis, net profit rose 25.8% YoY and 9.4% QoQ to Rs 1,114.1 crore in Q4 FY26, compared with Rs 885.4 crore in Q4 FY25 and Rs 1,018.1 crore in Q3 FY26.

Revenue from operations stood at Rs 6,747.8 crore, up 22.6% YoY and 19.1% QoQ, versus Rs 5,503.9 crore a year ago and Rs 5,667.0 crore in the previous quarter.

Domestic sales grew 23.1% YoY and 19.3% QoQ to Rs 6,445.1 crore, marking the company's highest-ever domestic sales. The growth was driven by double-digit volume expansion and a more than 50% increase in advertising spends. Export sales rose 31.0% YoY and 15.7% QoQ to Rs 278.7 crore. EBITDA margin remained healthy at 26.3%.

Profit before tax stood at Rs 1,512.6 crore in Q4 FY26, up 25.6% YoY and 29.5% QoQ, compared with Rs 1,204.6 crore in Q4 FY25 and Rs 1,168.1 crore in Q3 FY26.

On the cost front, cost of materials consumed rose 19.9% YoY and 14.3% QoQ to Rs 2,811.9 crore. Employee benefit expenses declined 0.9% YoY and 12.3% QoQ to Rs 519.4 crore. Other expenses were higher by 24.3% YoY and around 7% QoQ at Rs 1,466.9 crore.

For the full year, standalone net profit rose 6.9% to Rs 3,544.6 crore in FY26 from Rs 3,314.5 crore in FY25. Profit before tax increased 3.6% to Rs 4,609.6 crore versus Rs 4,447.5 crore last year, while total income grew 14.5% to Rs 23,194.9 crore.

Standalone net cash generated from operating activities rose sharply to Rs 5,047.6 crore in the financial year ended 31 March 2026, up from Rs 2,934.5 crore in the previous year.

The company said it will focus on four key priorities going ahead: consumer centricity, penetration-led volume growth, reinvestment behind brands and capacity, and accelerating tech-led sales and operations.

On the commodity front, coffee prices continue to trend lower, supported by a favourable crop in Vietnam and the upcoming harvest in Brazil. Cocoa prices remain subdued amid improved supply and moderated demand, while sugar prices are stable. Edible oil prices have firmed up in line with global crude trends, aided by higher diversion towards biodiesel. Wheat output has been impacted by unseasonal rains in April, leading to delayed harvest and concerns over quality and yield. Milk prices have also firmed up and are expected to stay elevated through the summer lean season.

The board recommended a final dividend of Rs 5 per equity share of face value Re 1 each for FY26.

Nestle India is a subsidiary of Nestle S.A., Switzerland, and operates across categories including food, beverages, chocolate, and confectionery.

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