Nestle India reported a 13.4% YoY drop in Q1 FY26 net profit to Rs 647 crore, citing high input and operational costs. Revenue rose 5.9% to Rs 5,096 crore. Despite profit pressure, the company saw growth in e-commerce, out-of-home business, and urban demand.\n\nReutersPackaged foods maker Nestle India reported a 13.4% year-on-year decline in net profit to Rs 647 crore for the April–June 2025 quarter. The maker of Maggi noodles and Nescafe coffee attributed the drop to elevated commodity prices.However, the company’s revenue rose 5.9% year-on-year to Rs 5,096 crore in the quarter.“The quarter was impacted by elevated consumption prices across the commodity portfolio.In addition, we witnessed higher operating costs as a result of significant expansion in manufacturing over the last seven to eight months,” said Nestle India’s Managing Director Suresh Narayanan in a statement.“Moreover, borrowing from commercial banks to fund temporary operational cash flow requirements resulted in higher finance costs during the quarter,” he added.\n\nThe India unit of the Swiss food major also formally announced the appointment of Manish Tiwary as Managing Director and Chairman, succeeding the outgoing chief, Narayanan.Nestle India’s stock fell 4.25% to an intraday low of Rs 2,348.60 after profits missed street estimates.In its guidance, Nestle said it has observed stabilising prices for edible oil and cocoa, a declining trend in coffee, and a stabilising to modest increase in milk prices — all offering some relief in costs going forward.“Significant rise in demand over recent quarters has led to growth in urban markets, while RUrban (semi-urban) markets have demonstrated positive growth, signalling a favourable shift in market dynamics and contributing to overall market resilience,” Narayanan added.The company noted that e-commerce maintained its growth momentum, contributing 12.5% to domestic sales, driven by quick commerce and new product launches.It also said its out-of-home business continued to grow at double-digit rates, making it the fastest-growing segment across its beverages and food portfolio.

Nestle India Q1 Result: PAT falls 13.4%; revenue grows 5.9% to Rs 5,096 crore

Nestle India reported a 13.4% year-on-year decline in Q1 FY26 net profit to Rs 647 crore, driven by elevated commodity prices and operational costs. Revenue rose 5.9% to Rs 5,096 crore, with growth in e-commerce, out-of-home business, and urban markets. The company appointed Manish Tiwary as new Managing Director and Chairman, replacing Suresh Narayanan. Nestle's stock fell 4.25% amid profit misses, though it cited stabilizing prices for edible oil and cocoa as relief for costs.