Q4 Results: Nestle India's Profit Rises 4% YoY The company's revenue from operations stood at INR 4,600.42 crore, up 8.07 per cent against INR 4,256.79 crore registered in the corresponding quarter of the previous fiscal
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Nestle India reported a net profit of INR 655.61 crore for the quarter ended December 31, 2023, up 4 per cent compared with INR 628.06 crore recorded in the year-ago period. The company's revenue from operations stood at INR 4,600.42 crore, up 8.07 per cent against INR 4,256.79 crore registered in the corresponding quarter of the previous fiscal. The quarter was marked by an increase in brand investments across all product groups and all key brands, product groups have contributed to Nestlé India's consistent growth trajectory.
Commenting on the results, Suresh Narayanan, Chairman and Managing Director of Nestlé India said, "I am pleased to share that, despite external challenges, we have once again delivered a strong performance this quarter. Domestic sales grew by 8.9 per cent on the back of pricing and mix growth, with strong growth momentum in e-commerce and out-of-home channels. I am also pleased to note that during the year 2023, our total sales grew by over 13.3 per cent and we crossed the INR 19,000 crore mark."
This quarter, strong demand for NESCAFÉ CLASSIC and NESCAFÉ SUNRISE propelled the Beverages product group to be the largest contributor to growth. Beverages business witnessed a double-digit growth and NESCAFÉ gained significant market share. The milk and nutrition product group posted double-digit growth. Prepared Dishes and Cooking Aids also maintained creditable growth this quarter. Confectionery, one of the strong growth drivers, also delivered good growth.
Nestle said that coffee prices continue to be volatile and are historically high due to limited availability. A healthy milk flush in the winter is expected to keep prices stable. Commodities such as wheat and rice are stable as of now. A rain deficit is expected to impact the production of maize, sugar, oil seeds, and spices, which may impact pricing. The company approved the change of the financial year of the company to a uniform financial year, commencing on April 1 of every year and ending on March 31 of the following year.