Nestle India share price climbs 8% after tepid Q3 results; profit rises 5%

Nestle India reported a 5 per cent year-on-year increase in consolidated net profit, reaching Rs 688 crore, compared to Rs 655 crore in the same quarter of the previous year

Nestle India share price gained 7.60 per cent at Rs 2,387.45 a piece on the BSE in Friday’s intraday trade after the company announced its earnings for the third quarter of financial year 2024-25 (Q3FY25).

 

Nestlé India reported a 5 per cent year-on-year increase in consolidated net profit, reaching Rs 688 crore, compared to Rs 655 crore in the same quarter of the previous year.  

 

Revenue from operations stood at Rs 4,779 crore, reflecting a 4 per cent growth from Rs 4,600 crore recorded in the corresponding quarter last year.  

 

On the operational side, earnings before interest, tax, depreciation and amortisation (Ebitda) came in at Rs 1,103 crore, marginally higher than Rs 1,095 crore in Q3FY24, while the Ebitda margin remained steady at 23 per cent.  

 

Nestle India also declared a second interim dividend of Rs 14.25 per equity share (with a face value of Rs 1 per share) for FY25, totaling Rs 137.39 crore. The dividend is scheduled for payment on or after February 27, 2025. This follows the first interim dividend of Rs 2.75 per share, which was paid on August 6, 2024.  ALSO READ: Astral share price gains 4% after Q3FY25 performance; details here

 

Suresh Narayanan, Chairman and Managing Director of Nestlé India stated, “This quarter 3 out of 4 product groups delivered healthy growth led by a combination of pricing and volume. Key brands continue to perform and this augurs well in a challenging environment. 

 

On commodity outlook, the company said that commodity prices continue to be firm for coffee, cocoa and cereals and grains. Prices of edible oil have stabilised, while prices continue to remain stable for milk and packaging, it said.

 

On the equities front, Nestle India share price has fallen 4.8 per cent in the last six months, while losing 6.7 per cent in the last one year. In comparison, the BSE Sensex has slipped 5.7 per cent in the last six months, while rising 7.3 per cent in the last one year. 

 

Nestle India has a total market capitalisation of Rs 2.26 trillion. Its shares are listed at a price to earnings multiple of 64.38 and at an earning per share of Rs 34.46, according to BSE. 

 

At 12:59 PM, the stock price of the company was up 5.46 per cent at Rs 2,340 a piece on the BSE. By comparison, the BSE’s Sensex was up 0.82 per cent to 77,390.50 level.