Nestlé India Q3 FY26 Earnings Results: Net Profit Surges 46% on Tax Cuts

Nestlé India delivered a strong performance in the third quarter of FY26, with net profit rising 46% year-on-year to ₹1,018 crore, compared with ₹696 crore in the same quarter last year. The sharp rise was supported by higher consumer spending following GST and income tax cuts.

Revenue Rises on Better Consumption

The company’s revenue increased nearly 19% to ₹5,667 crore during the December quarter. Growth was led by strong demand for packaged food products, especially popular brands such as Maggi noodles, KitKat, and Munch chocolates.

Volume Growth at Multi-Year High

Nestlé India reported its strongest volume growth in almost five years. The improvement was driven by:

• Recovery in overall market demand
• New product launches
• Deeper reach in rural markets
• Rising sales through quick-commerce and delivery platforms

The company also recorded record quarterly sales, reflecting improved consumer sentiment.

Tax Cuts Support Urban and Rural Demand

Demand has gradually improved as inflation moderated and government tax relief measures boosted discretionary spending. These steps helped consumer goods companies overcome a prolonged slowdown, particularly in urban markets affected by slower wage growth.

Limited Impact of Labour Code Charges

While several FMCG peers reported pressure on profits due to charges linked to new labour codes, Nestlé India said the impact on its earnings was relatively small, helping protect margins.

Also Read: Adani Power Increases Electricity Export to Bangladesh!

Nestlé India Share Price Movement

Nestlé India share price (NSE: NESTLEIND) was trading at ₹1,332.50, up ₹44.60 or 3.46%, on January 30 in afternoon trade. The stock opened at ₹1,286 and moved within a range of ₹1,283 to ₹1,339.60, with the day’s high also marking its 52-week high. Nestlé India offers a dividend yield of about 0.99%, with a quarterly dividend of ₹3.30 per share. 

Conclusion

Nestlé India’s Q3FY26 results highlight a clear recovery in consumer demand, supported by tax cuts, strong brand performance, and improved volumes. With record sales and limited cost pressures, the company appears well positioned to sustain growth in the coming quarters.

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