Maggi maker Nestlé India grew sales 20.5% in July-September 2026, with strong volumes, and standalone profit rose 36% to ₹1,027 crore. But management warned about food inflation and higher costs, and is spending 46% more on advertising. The share fell about 5%.
July-September 2026 sales rose 20.5% to ₹6,782 crore, helped by double-digit volume growth. Standalone profit was ₹1,026.8 crore against ₹753.2 crore, up 36%. The operating margin was 23.8%. Advertising and marketing spend rose 46%.
Management said food inflation and costs for milk, coffee and cocoa remain high. Margins could therefore come under pressure even as sales grow. The share fell about 5% on the day. It had closed at ₹1,275.8 on 14 October, against ₹1,384.5 a month ago and a 52-week high of ₹1,540.
For two years Nestlé India barely grew, and investors called it a slow giant. That has changed. Sales rose from ₹20,202 crore in 2024-25 to ₹23,155 crore in 2025-26, and the last three quarters have each grown in double digits: ₹6,748 crore, ₹6,378 crore and now ₹6,782 crore. The 2025 bonus issue doubled the share count, so earnings per share are no longer comparable with older years.
Milk and coffee prices. Whether heavy advertising keeps volumes growing. Margins next quarter. At about ₹1,215 after the fall, the share trades at about 55 times the last four quarters' profit, a high price that only holds up if growth stays in double digits.
| Sales ₹6,782 crore (+20.5%); standalone profit ₹1,026.8 crore vs ₹753.2 crore; EBITDA margin 23.8%; ad spend +46% | Q2 FY27 |
| Shares fell ~5% on inflation commentary | 15 Oct 2026 |
| Sales ₹20,202 crore to ₹23,155 crore | FY25-FY26 |
| ₹1,275.8 on 14 Oct 2026; ₹1,384.5 a month earlier; 52-week high ₹1,540 | Prices |
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