Packaged Foods company Nestle India announced Q2FY25 results Financial Highlights: Total Sales of Rs 5,074.8 crore. Total Sales Growth at 1.3%. Domestic Sales Growth at 1.2%. Profit from Operations at 21.0% of Sales. Net Profit of Rs 986.4 crore. Earnings Per Share of Rs 10.23 Business Highlights: E-commerce: Continued accelerated growth by almost 38%, primarily driven by Quick Commerce and fueled by brands such as KITKAT, NESCAFE, MAGGI and MILKMAID. Growth was supported by premiumisation, new user acquisition, festive participation and targeted digital communications. Organized Trade: Delivered growth spurred by noodles, beverages and overall premiumization. Out of Home (OOH): Robust growth propelled by portfolio transformation, premiumization, new customer acquisition and driving reach beyond metros. Export: Continued to expand its footprint by introducing new SKUs across categories to Canada, Middle East, Maldives and Papua New Guinea. Suresh Narayanan, Chairman and Managing Director of Nestlé India, stated:“Despite a challenging external environment with muted consumer demand and high commodity prices especially for coffee and cocoa, we remained resilient in our pursuit to deliver growth. This quarter, 5 of our top 12 brands grew at double-digit. However, some key brands witnessed pressure due to softer consumer demand and we focus on them and have in place robust action plans. It is heartening to note that in the last 9 months, 65% of our top 12 brands including MAGGI noodles showed positive volume growth. I am pleased to share that our Beverages business continued to do well and has posted high double-digit growth backed by strong performance across NESCAFE CLASSIC, NESCAFE SUNRISE, and NESCAFE GOLD, which can be attributed to category recruitment and premiumization of coffee. MILKMAID also reported high double-digit growth. Masala-Ae-Magic continued to grow at high double-digit. The toddlers’ range also recorded high double-digit growth. KITKAT delivered high single digit growth. Amongst the newer categories, the petcare business demonstrated high single-digit growth. We kept relentless focus on investing behind our core brands, wherein advertising and marketing investments increased this quarter. There was a strong focus on efficiencies in media buying, strengthening digital capabilities and reinforcing brand equity. Innovation is a core strength of Nestlé India, and we continue to invest in it as an engine for growth. I am happy to inform you that over the past eight years, we have recalibrated and rejuvenated our product portfolio by launching over 145 new products contributing to approximately 7% of sales. Eight new projects are now in the pipeline. I am delighted to inform you that we have achieved our ambition of introducing ‘CERELAC’ variants with no refined sugar. This was initiated three years ago and has culminated this year with the introduction of new CERELAC variants with no refined sugar. The expanded CERELAC range in India will now consist of 21 variants, of which 14 variants will have no refined sugar. Of these 14 variants, 7 will be available by end of November 2024 and the balance will be introduced in the coming weeks. I am also happy to share that CERELAC, Nestlé’s cereal-based complementary food has entered its 50th year in India. The first batch of CERELAC was manufactured in our flag ship factory in Moga, Punjab on 15th September 1975. Today, hundreds of dedicated employees continue to manufacture quality nutrition products with the same tender care and passion at the Moga factory in Punjab and Samalkha factory in Haryana. Apart from product innovation, new channels have maintained momentum. E-commerce delivered high double-digit growth, which was the highest in the last seven quarters contributing to 8.3% of domestic sales. Our Out-of-Home business continues to be one of our fastest growing businesses with strong double-digit growth. We are a total solution provider with a comprehensive portfolio spanning hot and cold vending solutions, tin and spoon coffee applications and a wide range of food solutions in the savoury and dessert culinary space, to cater to every channel need. Environmental sustainability is a core objective of the company, and I am delighted to inform you about the installation of biomass boilers in three major factories - Nanjangud, Moga and Sanand, which will mitigate GHG emissions. We have a unique biomass boiler at Moga factory which will use briquettes made from stubble. We expect this will use 3-4% of stubble in Moga district which would have been burnt otherwise. Result PDF