Nestle India bucks rural growth trend in Q4 with 9% YoY revenue spike

Smaller contribution of 20-25% from rural sales helped; net profit down 20% due to exceptional item

Contrary to the slowdown in rural demand seen by most of its fast-moving consumer goods (FMCG) peers, Nestle India, the maker of KitKat chocolates managed to grow in the hinterland as only 20-25 per cent of its sales come from small towns and villages.

Nestle India, which follows the January-December accounting year, posted revenue from operations of Rs 3,739.3 crore for the fourth quarter ended December 2021 (Q4) as compared to Rs 3,432.6 crore a year ago, a growth of 9 per cent. Its domestic sales increased by 9.2 per cent in Q4 to Rs 3,559.8 crore.

The company's net