Nestle India released its fourth quarter results for FY25 on Thursday wherein it posted profit for the period at Rs 873.46 crore, missing estimates. This was down 6.50 per cent in comparison to Rs 934.17 crore recorded during the corresponding quarter of FY24. It posted revenue from operations at Rs 5503.88 crore, posting a growth of 4.49 per cent as against Rs 5267.59 crore reported during the fourth quarter of previous financial year. While the total income recorded during the quarter stood at Rs 5512.32 crore, total expenditure incurred in Q4FY25 came in at Rs 4307.76 crore.
According to a CNBC TV18 poll, Nestle India was expected to post Q4 profit at Rs 892 crore and revenue for the quarter was estimated at Rs 5540 crore.
Nestle India reported a growth of 3.7 per cent in total sales and 4.2 per cent in domestic sales for the quarter. “Domestic sales growth was broad based. Domestic sales crossed Rs 5,235 crore, the highest ever, surpassing that of January- March 2024 quarter,” it said.
Suresh Narayanan, Chairman and Managing Director, Nestlé India, said, “I am pleased to report that this quarter we witnessed double-digit growth in Beverages and Confectionery, with 3 out of 4 product groups delivering healthy growth. Our domestic sales crossed Rs 5,235 crore mark, the highest ever in any quarter supported by improving volume growth.”
In terms of commodity outlook, Nestle India said that the commodity prices continue to be firm for coffee. Further, it maintained that cocoa prices have corrected but continue to be high. Prices continue to remain stable for edible oils. Milk prices have cyclically firmed up with the onset of summers.
Dividend announcement
The board of directors of Nestle India recommended a final dividend of Rs 10 per equity share of the face value of Re 1 each for the financial year 2024-25 on the entire issued, subscribed and paid-up share capital of the company of 964,157,160 equity shares of face value of Re 1.
Nestle India Q4 performance across business verticals
During the financial year, Powdered and Liquid Beverages was the largest growth contributor, it said, with high double-digit growth. Nescafe strengthened its leadership position by gaining market share and bringing more than 5.1 million households into the coffee category.
Confectionery grew at a high single-digit pace both in value and volume driven by Kitkat. Prepared Dishes and Cooking Aids posted mid-single-digit growth with Maggi returning to volume growth and Maggi Masala-Ae-Magic consistently demonstrating good growth. India continued to be the largest market worldwide for Maggi, it added.
Milk Products and Nutrition was backed by launches. “By reinforcing our commitment to offer nutritious choices to consumers through meaningful innovations, we achieved our ambition of introducing new Cerelac variants with no refined sugar. Ceregrow variant with no refined sugar too was launched this financial year and the early response is encouraging,” it said.
The Petcare business reported high double-digit growth – the highest ever, since its integration into the Nestlé India business.
Out-of-Home (OOH) business delivered strong double-digit growth and is emerging as one of our fastest growing businesses.
Distribution channel
Nestle has adopted an omni-channel approach and this, Suresh Narayanan said, implies that the company brands are available at locations and channels that are most convenient for consumers. E-commerce, propelled by the rapid expansion of Quick Commerce, Nestle India said, is contributing to 8.5 per cent of domestic sales, in this financial year.
Suresh Narayanan said, “Our RUrban distribution touchpoints have increased to 27,730. We are present in approximately 208,500 villages. RUrban smart stores and HAAT activities in village markets have been enhanced and use and interventions with technology accelerated.”
The FMCG firm is investing approximately Rs 6,500 crore between 2020 and 2025 to develop new capabilities and capacity. “This not only demonstrates the strong demand for our products but also our commitment to manufacture in India and ‘Make in India’. “The Odisha factory, our 10th citadel of growth, is being set up with an initial investment of approximately Rs 900 crore, in its first phase, to manufacture products from our foods (Prepared Dishes and Cooking Aids) portfolio,” the CMD added.
Appointment of new MD
On the recommendation of the Nomination and Remuneration Committee, the company board recommended the appointment of Manish Tiwary as Managing Director of the company for a period of five consecutive years with effect from 1st August 2025. During the transition period as Managing Director (Designate), the Board of Directors also appointed Manish Tiwary as key managerial personnel of the company with effect from 24th April 2025.