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Nestle India Ltd
Nestle India drops despite 36% YoY jump in Q2 profit
Oct 15,2026
The company reported a 36.3% jump in standalone net profit to Rs 1,026.77 crore in Q2 FY27 compared with Rs 753.20 crore in Q2 FY26. Revenue from operations increased 20.28% YoY to Rs 6788.34 crore in Q2 FY27.

Profit before exceptional items and tax increased 36.41% to Rs 1,403.05 crore in Q2 FY27 compared with Rs 1028.52 crore in Q2 FY26. Exceptional items stood at Rs 3.69 crore in the quarter ended 30th September 2026.

The company's earnings before interest, tax, depreciation and amortisation (EBITDA) stood at Rs 1,615.5 crore during the quarter, compared with Rs 1,232.7 crore a year earlier. The EBITDA margin stood at 23.8% in Q2 FY27.

The company said advertising and marketing expenditure increased 46% during the quarter as the company continued to invest in its brands while focusing on operational efficiencies and productivity to mitigate commodity cost pressures.

Total sales increased 20.5% YoY to Rs 6,782.2 crore in Q2 FY27, driven by robust double-digit volume growth across product groups. Domestic sales grew 20.4% during the quarter, reflecting broad-based demand across the company's portfolio.

Among product categories, confectionery recorded another quarter of strong, volume-led double-digit growth, supported by market share gains in KitKat and continued momentum in Munch and Milkybar. Powdered and liquid beverages also delivered strong growth, driven by household penetration and premiumisation across the coffee portfolio.

The prepared dishes and cooking aids segment reported strong growth, with Maggi noodles expanding through rural penetration. Milk products and nutrition registered broad-based growth, while the pet food business and Nestlé Professional continued to deliver double-digit growth.

On the commodity front, Nestlé India expects coffee and wheat prices to remain range-bound, while sugar and edible oil prices have stabilised at elevated levels. Cocoa prices remain volatile due to weather-related concerns in key producing regions. Milk prices have strengthened seasonally but are expected to ease as fresh supplies arrive.

Manish Tiwary, chairman and managing director, Nestlé India, said: “Rising inflation, particularly food inflation, is a reality. We remain focused on navigating these external challenges through continuous innovation and renovation, sustained investments behind our brands, and an intensified focus on productivity and operational efficiencies to mitigate commodity cost pressures. I would like to thank our teams for their extraordinary commitment, resilience, and unwavering focus on execution in this challenging environment.

E-commerce also continued its strong trajectory, driven by sustained shopper engagement, portfolio breadth, and focused channel-specific execution. General Trade delivered robust, double-digit growth across town classes, led by strong momentum in rural markets. Continued expansion of rural distribution touchpoints enhanced our direct reach and strengthened market coverage.”

Nestle India is a subsidiary of Nestle S.A., Switzerland, and operates across categories including food, beverages, chocolate, and confectionery.

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