 "Nestle India Q1 profit rises 36% at Rs 4.24 billion")
FMCG major Nestle India today reported a 35.98 per cent jump in profit at Rs 4.24 billion for the first quarter ended March 31, 2018.
The company, which follows January-December financial year, had posted a profit of Rs 3.11 billion in the same period a year ago, Nestle India said in a BSE filing.
Revenue from operations was at Rs 27.57 billion during the quarter under review. It stood at Rs 26.01 billion in the corresponding period last year, it added.
After the GST implementation from July last year, the new indirect tax has not been recognised as part of sales and hence is not comparable with the corresponding year-ago quarter.
"Profit from operations in percentage of sales and net profit in percentage of sales are positively impacted as the perc
entages have been calculated on lower reported sales," the company said.
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Commenting on the company's performance, Nestle India Chairman and Managing Director Suresh Narayanan said during the quarter the company had sustained its growth momentum, which is backed by broad volume-based growth across categories.
"This is in line with our strategy of broad-based growth through increased penetration," he added.
Nestle India said its board of directors has declared an interim dividend for 2018 of Rs 20 per equity share of face value Rs 10 amounting to Rs 1.92 billion, which will be paid on and from June 1, 2018.
On the outlook, Narayanan said, "We are committed to a healthier future, and in line with our vision to introduce products rooted in nutrition, health and wellness, we will be adding breakfast cereals to our existing portfolio this year."
This business complements the company's current portfolio by combining its expertise in food and this category globally, he added.