Q4FY22 Result Update - Nestle India - ICICI Direct

Nestlé India reported a dismal set of result with 1.3% dip profits.

- Sales were up 10.2% YoY largely led by price hikes
- EBITDA was at Rs. 924.7 crore, flat YoY, with margins at 23.2%
- PAT was at Rs. 594.7 crore (down 1.3% YoY) impacted by margin contraction

Key triggers for future price performance

- The company is undertaking a capex of Rs. 2600 crore in the next three to four years to expand the capacity of its core products

- NIL is increasing its rural footprint from 0.8 lakh villages to 1.2 lakh villages in the next three years

- Incessant commodity inflation is likely to adversely impact margins in the medium term. Price hikes are insufficient to fully pass on this inflation

- Commissioning of Sanand facility would aid revenue growth in core brands given packaged foods saw high demand in the last 18 months

For details, click on the link below: Link to the report

Shares of Nestle India Limited was last trading in BSE at Rs. 18205.80 as compared to the previous close of Rs. 18313.70. The total number of shares traded during the day was 4590 in over 1770 trades.

The stock hit an intraday high of Rs. 18572.95 and intraday low of 17772.90. The net turnover during the day was Rs. 83217542.00.

Source : Equity Bulls

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NestleIndia INE239A01016 Q1CY22 ResultUpdate ICICIDirect