Nestlé brews up record sales in India as coffee, cocoa and cats fuel growth

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Nestlé brews up record sales in India as coffee, cocoa and cats fuel growth

With Gen Z gulping cold coffee and cats licking up Purina, Nestlé serves its strongest quarter

Nestle India

MUMBAI:  Nestlé India stirred up a storm this quarter, brewing its highest-ever domestic sales at Rs 5,235 crore. For the full year ended 31 March 2025, total standalone revenues topped Rs 20,078 crore, with net profit settling at Rs 3,315 crore, marking a modest jump of 3.7 per cent year-on-year. The board also declared a final dividend of Rs 10 per share, sweetening the pay out pot to Rs 27 per share for FY’25.

A frothy combination of caffeine, confectionery, and kitty treats. Beverages, led by Nescafe’s cold coffee range, posted double-digit growth. The Gen Z-fuelled ready-to-drink variants are creating a whole new universe of coffee consumption moments. Meanwhile, Kitkat continued to crack the confectionery code — India is now its second-largest market globally.

Maggi also slurped its way back to volume growth. With masala magic intact, Nestlé’s cooking aids and prepared dishes segment showed mid-single digit growth, keeping India firmly on top as MAGGI's largest global market.

The milk products & nutrition category saw launches of Cerelac and Ceregrow variants with zero refined sugar, bolstering Nestlé’s health-first pitch. Meanwhile, the petcare segment — now fully integrated — clawed its way to the top with high double-digit growth, with Purina Pro Plan and Felix driving demand among pet parents.

Nestlé’s out-of-home business is emerging as a dark horse, now dabbling in professional spreads with Kitkat Professional Spread for dessert chefs. E-commerce contributed 8.5 per cent to domestic sales, helped by a fast-track into quick commerce.

The company reaffirmed its Rs 6,500 crore investment commitment towards new capabilities and capacities between 2020 and 2025. Its tenth  factory in Odisha, focused on food manufacturing, is already underway with a Rs 900 crore first-phase spend.

Sustainability wasn’t just lip service. The company highlighted efforts like renewable energy adoption, circular packaging, regenerative agriculture, and 'Zer’Eau' water-saving tech in its Moga and Samalkha plants, recycling milk-extracted water to slash groundwater drawdowns by 20 per cent.

* Operating margins: 21.5 per cent
* Cash from operations: Rs 2,936 crore
* Contribution to exchequer: Rs 5,504.7 crore
* EPS: Rs 34.38
* Share capital: Rs 964.2 crore

Despite strong fundamentals, net cash dropped sharply to Rs 761.8 million, down from over Rs 7.5 billion last year — partly due to capex, dividends, and increased working capital needs.