Nestlé India reports double-digit domestic sales
The company’s sales growth was in line with figures seen in the last three quarters and street estimates
Nestlé India has reported double-digit domestic sales riding on its key brands - Maggi Noodles, KitKat, Nestlé Munch, Nescafé Classic and Sunrise that continue to perform well.
“As highlighted in previous quarters, cost of key raw and packaging materials are witnessing 10-year highs, and costs continued to surge this quarter which has impacted profit from operations. Continued inflation is likely to be a key factor in the short to medium term,” Suresh Narayanan, Chairman and Managing Director of Nestlé India, said in a statement in an earning call with the investors.
The company’s sales growth was in line with the 9 per cent growth seen in the last three quarters and also with street estimates.
Narayanan credited this growth to a mix of innovative campaigns, attractive consumer promotions, analytics-based consumer insights, geo-targeted distribution drives and leveraging the opportunity of festive seasons.
The company has witnessed 70 per cent growth in e-commerce, which now contributes 6.3% of its domestic sales.
Narayanan, who was the highest-paid FMCG CEO in 2020, saw a 9 per cent jump in his pay package for the year 2021.
His pay package climbed to Rs 18.8 crore in 2021 as compared to Rs 17.19 crore in 2020, shows the company’s annual report.
