Nestlé India shares slipped over 4% after the FMCG major’s Q1 FY26 results fell short of analyst expectations, despite year-on-year growth in both revenue and profit. As of 11:43 AM, the shares were trading 3.91% lower at Rs 2,356.70.
The company reported a net profit of ₹646.6 crore for the June quarter, up 13.4% from ₹570 crore a year ago. However, the figure came in well below CNBC-TV18’s estimate of ₹732 crore and also showed a sharp decline from ₹873.4 crore in the March quarter.
Revenue from operations stood at ₹5,096.1 crore, up 6% year-on-year, slightly ahead of the expected ₹5,080 crore. But this was still lower than ₹5,503.8 crore reported in Q4 FY25.
EBITDA came in at ₹1,100 crore versus the estimated ₹1,135 crore, while the EBITDA margin dropped to 21.60% from 23.15% a year ago, missing the projected 23.02%. Rising input costs, especially raw materials and employee benefits, weighed on profitability. Material costs rose to ₹2,153.2 crore from ₹1,943.2 crore YoY, and employee expenses climbed to ₹515.6 crore.
Segment-wise, domestic sales contributed ₹4,860 crore and exports added ₹213.9 crore. Product sales grew from ₹4,792.9 crore last year to ₹5,073.9 crore in Q1 FY26.
Nestlé India paid ₹234.8 crore in current tax and ₹27.6 crore in deferred tax during the quarter.
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