Nestlé India volume growth, FMCG sales surge India, dairy nutrition product momentum, packaged food market recovery, consumer demand India
Nestlé India Posts Strongest Volume Growth in 5 Years

FMCG giant’s broad-based sales surge underpins profit recovery and strategic expansion in key categories.

Nestlé India has recorded its strongest volume growth in nearly five years, driven by an improving consumer demand environment and sustained traction across core product categories. The company reported a substantial year-on-year increase in net profit — around 45% — alongside record quarterly sales, reflecting both volume expansion and stable price realizations. Nestlé’s performance underscores resilience in a competitive FMCG landscape while signalling renewed consumer confidence amid moderating inflation.

The volume growth was broad-based across major segments, with standout momentum in milk products and nutrition, prepared dishes and cooking aids, and chocolates and confectionery. Management highlighted that calibrated pricing steps and easing inflationary pressures helped revive demand, especially in urban markets, while rural consumption showed initial signs of recovery. This multi-category strength demonstrates the depth of Nestlé’s Indian portfolio.

Revenue growth in the quarter benefited from a mix of volume increases and selective price increases, supported by affordability-focused offerings and innovation-led launches aimed at reinforcing market presence. Despite continued volatility in input costs, Nestlé India noted commodity price stabilization relative to the prior year, which provided some relief to margins.

Operational performance was further bolstered by enhanced manufacturing and distribution efficiencies, along with disciplined cost management. The company maintained robust advertising and promotional investments to strengthen brands and sustain medium-term growth. This strategic emphasis on brand building reflects a long-term focus beyond short-term price competition.

Looking ahead, Nestlé India remains optimistic about demand trends, supported by an improving macroeconomic backdrop, easing inflation, and normal monsoon prospects. The company plans ongoing investments in capacity expansion, product innovation and sustainability initiatives to drive consistent, profitable growth. Positive market reaction was evident as Nestlé India’s shares ended modestly higher following the strong earnings release.

Source: FNB News – https://www.fnbnews.com/Top-News/nestl-india-logs-strongest-volume-growth-in-5-years-85938

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