Nestlé India milestone - Crosses Rs 5,000 cr turnover in a quarter

Total sales of Nestlé India crossed Rs 5,009.5 crore in the second quarter ended September 30, 2023, recording a growth of 9.4%, while domestic sales grew 10.3%. Nestlé India reported net profit of Rs 908.1 crore during the quarter. Profit from operations was reported at 22.6% of sales.

E-commerce: The channel contributed to 6.1% of the quarterly sales with continued growth across product groups driven by Quick Commerce.

Organised Trade: The retail channel continued delivering strong double-digit growth.

Out of Home (OOH): Registered strong double-digit volume led growth. Product transformation led to consistent performance.

Exports: Nestlé expanded product offerings across key international markets to delight Indian diaspora, that led to growth. MAGGI and NESCAFÉ SUNRISE range met with strong demand in both ethnic and mainstream channels.

Prepared Dishes and Cooking Aids: Growth momentum continued across portfolio, driven by combination of market visibility, impactful media campaigns and targeted consumer engagement initiatives aided by innovation especially for RURBAN markets.

Milk Products and Nutrition: Delivered double-digit growth. During the quarter, Nestlé a+ Masala Millet was launched. MILKMAID and PEPTAMEN continued to receive positive consumer response.

Confectionery: All key products registered strong growths, led by KITKAT and supported by MUNCH. Performance was aided by consistent media support, digital first campaigns and a mega launch plan on KITKAT’s premium portfolio.

Beverages: Strong growth recorded across NESCAFÉ portfolio with all key brands - NESCAFÉ CLASSIC, NESCAFÉ Sunrise and NESCAFÉ GOLD registering double-digit growths. NESCAFÉ continued to cement its leadership position in the category with highest ever market share and strong household penetration gains.

Petcare Business: Felix Wet Cat food continued to receive positive feedback from trade and cat parents.

Commenting on the results, Suresh Narayanan, Chairman and Managing Director, Nestlé India, said, “I am pleased to share that we have, yet again, delivered consistent performance almost across all major brands. Domestic sales grew double digit, on account of mix, volume and price. Key brands continued to perform well, led by KITKAT, NESCAFÉ CLASSIC, NESCAFÉ SUNRISE, supported by MUNCH and MILKMAID. We are investing towards building our brand equity and have made strong and significant investments across all product groups. We crossed Rs 5,000 crore turnover, which has been our first in any quarter in the history of the Company and a landmark for us.”

He further said, “The Out-of-Home business continued to deliver double-digit growth, with a focus on portfolio transformation, geographical expansion and significant investment in infrastructure. E-Commerce contributed to 6.1% of the quarterly sales with continued growth across channels driven by Quick Commerce. I am happy to note that our D2C platform www.mynestle.in has performed well in Delhi NCR and now we are in the process of expanding it to other cities.”