Nestle India quarterly results - 65.5% jump in net profit in Q4. Here’s what you need to know

Nestle India Q4 results post 65.5% jump in net profits

Nestle Shares Jump in Net Profits

Nestle India follows the calendar year, i.e., January to December, as its financial year. For the financial year 2022, the company declared the results for the last quarter, starting from October and ending on December 2022. The results boasted of an impressive performance by the company as profits jumped 65.5% YoY (Year-on-Year). Here’s a look at the main highlights of Nestle India’s Q4 results for the financial year 2022.

Nestle India FY22 Q4 results

  • Revenue

The company's aggregate revenue was reported at Rs.4233 crores, which was a 14% YoY growth compared to last year’s fourth quarter. Domestic sales recorded a major jump at 14% and amounted to Rs.4062 crores. These sales contributed to 95% of the aggregate revenue of the company.

Over the last four quarters of the financial year 2022, Nestle India’s revenue stood as follows –

Nestle India FY22 Q4 results
  • Net profit 

Net profits showed tremendous growth as they stood at Rs.628 crores after an annual increase of 65.5% compared to the last year’s fourth quarter. Sequentially, however, the profit declined. Here’s a look at the quarterly performance of Nestle India for the financial year 2022 in terms of the net profit that it reported –

Nestle India Share Performance
  • Operating Profit

The company’s operating profits also jumped 14% YoY after the December 2022 quarter. The operating margins, however, did not show much progress and remained at 22.9%

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  • Dividend Declared

Nestle India also declared a dividend of Rs.75 per share after its Q4 results.

Nestle India’s Share Performance

Nestle India declared its financial results on 16th February, when its shares jumped 1%. Moreover, as of that date, here’s a look at the company’s share performance over the past –

Nestle India Share Performance

Experts’ take on Nestle India shares

Post the quarterly results, experts have come up with their analysis of the company’s scrip. Here are the expert's belief –

  • Hold rating

Some experts have rated the stock ‘Hold’ with a target price ranging from Rs.18,100 to Rs.22,000. They believe that the company’s stock would move upward given the expected volume growth and margin expansion, while increased input costs might prove to be a major headwind.

  • Neutral rating

A few experts have also given a neutral rating on the stock with a target price of Rs.19,900.

  • Underweight rating

Some experts believe that the company’s stock has a high valuation and that the pressure on margins might affect the company's profitability in the coming months. As such, they have rated the stock ‘Underweight’ with a target of Rs.15,315.

As an investor, whether existing or potential, assess the financial performance of Nestle India and look at expert ratings to make informed investment decisions.

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Disclaimer: This article is intended for general information purposes only and should not be construed as investment or legal advice. You should separately obtain independent advice when making decisions in these areas.


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