Nestle India rose 6.87% to Rs 6,095.55 at 11:54 IST on BSE after net profit rose 29.34% to Rs 258.89 crore on 17.95% increase in net sales to Rs 2295.73 crore in Q1 March 2016 over Q4 December 2015.
The result hit the market after trading hours yesterday, 12 May 2016.Meanwhile, the BSE Sensex was down 231.63 points, or 0.90%, to 25,558.59.
On BSE, so far 6,539 shares were traded in the counter, compared with an average volume of 8,458 shares in the past one quarter. The stock hit a high of Rs 5,964.90 and a low of Rs 5,710 so far during the day. The stock hit a 52-week high of Rs 7,327 on 18 May 2015. The stock hit a 52-week low of Rs 4,990 on 29 February 2016. The stock had underperformed the market over the past one month till 12 May 2016, sliding 7.04% compared with 2.56% rise in the Sensex. The scrip had, however, outperformed the market in past one quarter, rising 12.79% as against Sensex's 12.20% rise.
The large-cap company has an equity capital of Rs 96.42 crore. Face value per share is Rs 10.
Nestle India's net profit fell 19.13% to Rs 259 crore on 8.5% decline in total income from operations (net) to Rs 2302.46 crore in Q1 March 2016 over Q1 March 2015.
Also Read
The company said that the Maggi Noodles issue adversely impacted the financial performance in the first quarter. Nestle relaunched Maggi noodles in the market at the beginning of November 2015 after it withdrew the product from the market in June 2015 amid allegations that it contained high levels of lead.
Nestle India's Chairman and Managing Director Suresh Narayanan said that Maggi noodles has already regained leadership with over 50% market share within 5 months of relaunch. He said that Nestle India is gearing up for volume growth with renewed focus and commitment on consumer relevant innovation and renovation. Narayanan said that the management is working on increasing penetration for all product categories of the company including milk & nutrition, chocolate & confectionary and coffee & beverages. Narayanan said that the company's Q1 March 2016 results show further improvement in sequential performance, both in sales and profit margins.
Nestle India is a subsidiary of Nestle S.A. of Switzerland. Nestle is the world's leading nutrition, health and wellness company. Nestle S.A. held 34.28% stake in Nestle India (as per the shareholding pattern as at 31 March 2016).
Powered by Capital Market - Live News