What to expect from Nestle Q3 results
FMCG major Nestle India is expected to report a steady Q3 performance with brokerages forecasting around 10%–11% year-on-year revenue growth driven by strong domestic volumes of about 6–7%. However, profitability is likely to remain under pressure amid higher input costs.
While the profit after tax (PAT) is expected to grow at 2.5%-6.5% YoY in the range of Rs 713 crore to Rs 740 crore, estimates revealed it may go down in single digits on a sequential basis.
The estimates of YES Securities, Elara Capital, Deven Choksey Research and JM Financial have been taken into account.
The management’s focus is likely to stay on volume-led expansion, innovation and brand investments keeping the longer-term growth narrative intact.
The Street will keep track of management’s commentary on commodity price outlook.
YES Securities expects PAT at Rs 713 crore, up 2.4% YoY, reflecting steady operating performance despite margin pressure. Elara Capital, meanwhile, sees PAT at Rs 740 crore, up 6.5% YoY but down 1.6% QoQ, indicating seasonal moderation post the festive quarter.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)
