MUMBAI: Nestlé India’s Q1 wasn’t just about instant noodles, it was an instant hit. Powered by pantry staples, caffeine cravings, and chocolate cheer, the FMCG major cooked up a Rs 5,074 crore sales recipe in the June quarter of FY26, stirring in a 5.9 per cent year-on-year growth and a net profit of Rs 659.2 crore.
From steaming cups of Nescafé to school tiffins packed with Maggi and KitKat, the company’s core brands did the heavy lifting. Seven of the top twelve brands brewed double-digit growth, fuelling overall volume-led momentum across categories. The EBITDA margin stood robust at 21.7 per cent of sales, while earnings per share for the quarter came in at Rs 6.84.
“Three of our four product groups bounced back to volume-led growth,” said outgoing Nescafé CMD Suresh Narayanan, who exits the company this month after a decade-long stint. “Maggi noodles saw double-digit growth, and our beverage and confectionery portfolios continued to perform strongly.”
And perform they did. The Powdered and Liquid Beverages segment led by Nescafé Classic, Sunrise, and Gold perked up with high double-digit growth, aided by cold coffee campaigns that clicked during the summer. Meanwhile, the Prepared Dishes and Cooking Aids category, fuelled by Maggi’s ever-spicy range (Garlic, Cheesy, Pepper, Manchurian), added more masala to the numbers.
Confectionery was another sweet spot. Kitkat emerged as the crown jewel, leading the charge in both urban and “Rurban” markets. Munch and Milkybar also saw high double-digit gains. Nestlé’s push into premium variants like Kitkat Lemon n Lime and Dark Sharebag helped expand its digital-first distribution.
Milk Products and Nutrition showed mixed results, but brands like Milkmaid and Nestlé’s growing-up milk range still gained market share. Meanwhile, breakfast cereals buoyed by the recent launch of Munch Choco Fills crunched out high double-digit growth.
Nestlé’s e-commerce channel now contributes 12.5 per cent of domestic sales, with quick commerce and newer launches proving to be the growth engines. Its Out-of-Home business think vending corners and retail kiosks continues to post double-digit growth, with over 1,000 Nescaf Corners, Maggie Hotspots and Kitkat Break Zones spread across India.
On the export front too, it was a power-packed quarter, with high double-digit growth across foods, beverages and cereals. The UK even got a taste of desi spice, with Masala-Ae-Magic officially launching there.
The business faced its share of heat: inflationary pressures pushed up costs of key commodities, and manufacturing expansion led to higher operating expenses. Finance costs rose due to short-term borrowings. But there’s relief in sight coffee, edible oil, and cocoa prices have stabilised, and milk is expected to cool with the monsoon flush.
As Narayanan passes the baton to incoming Nescafé chairman and MD Manish Tiwary from 1 August, he exits on a high note. Over the last decade, Nestlé India has reported a 150 per cent rise in sales, a 490 per cent jump in PAT, and a 3.9x increase in market capitalisation, with a 17 per cent CAGR in total shareholder return.
With a legacy that’s chocolate-dipped and noodle-tossed, Nestlé India has shown that even in a high-cost environment, flavour-packed fundamentals and strong consumer connect can serve up consistent, comforting growth.
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