Nestle India Ltd.

Company Background

Nestle India is a subsidiary of the world's largest food and beverage company, Swiss-based Nestle. The parent company, together with holding company Maggi Enterprises, holds an approximately 63% stake in Nestle India, which has eight factories and four branch offices. In the milk products and nutrition segment, Nestle India contributes nearly 50% of domestic sales.

Suresh Narayanan, who joined the company in 1999, is Nestle India's chairman and managing director since August 2015. A post graduate in economics, he has over 30 years of experience in the consumer goods industry. Before replacing Etienne Benet as managing director in India at the height of Maggi noodle crisis, Narayanan was chairman and CEO of Nestle Philippines. Prior to Nestle, he had stints in Hindustan Unilever and Colgate Palmolive.

Nestle's association with India goes back to 1912, when it began trading as the Nestle Anglo-Swiss Condensed Milk (Export), importing and selling finished products in the Indian market. After India's independence from British rule in 1947, the country's new economic policies stressed local production, leading to Nestle forming a company in India and setting up its first factory at Moga in the northern state of Punjab in 1961 to develop the nation's milk infrastructure. The company's activities in India provide livelihoods for about 1 million people, including farmers and suppliers of packaging materials.

Business Summary

Nestlé India Ltd. engages in the manufacture and sale of food products. The firm offers beverages; breakfast cereals; chocolates and confectionery; dairy; nutrition; foods; vending and food services; imports; exports; and Nestle ad campaigns brands. It operates through the India and Outside India geographical segments. The company was founded in 1912 and is headquartered in Gurgaon, India.

Financial Highlights

Dec 2022	INR	USD
Revenue	168,315.20M	2,140.64M
Gross Profit	63,215.20M	803.97M
Operating income	33,525.10M	426.37M
Income before tax	32,559.70M	414.09M
Net income	23,905.20M	304.02M
EBITDA	37,555.20M	477.63M
Diluted EPS	247.93	3.15
Dividends Per Share	195	2.48
Total Assets	91,165.50M	1,101.96M
Total liabilities	66,400.30M	802.61M
Total equity	24,591.70M	297.25M
Operating cash flow	28,385.30M	361.00M
	Currency in INR	Currency in USD

Historical Data

INR | USD

	Dec 2018	Dec 2019	Dec 2020	Dec 2021	Dec 2022
Revenue	112,364.50M	123,172.60M	133,133.80M	146,962.90M	168,315.20M
Gross Profit	46,437.40M	50,158.60M	53,280.40M	58,828.60M	63,215.20M
Operating income	23,169.70M	25,668.70M	28,562.10M	31,569.20M	33,525.10M
Income before tax	24,289.50M	26,734.90M	28,127.90M	28,573.20M	32,559.70M
Net income	16,069.30M	19,684.40M	20,824.30M	21,184.10M	23,905.20M
EBITDA	26,526.40M	29,370.20M	32,265.90M	35,479.40M	37,555.20M
Diluted EPS	166.67	204.16	215.98	219.71	247.93
Dividends Per Share	115	162	225	200	195
Total Assets	82,679.90M	73,174.20M	80,381.90M	83,682.90M	91,165.50M
Total liabilities	45,937.40M	53,981.20M	59,967.60M	64,019.40M	66,400.30M
Total equity	36,737.40M	19,188.70M	20,193.40M	19,463.80M	24,591.70M
Operating cash flow	23,041.20M	25,444.90M	26,036.90M	23,595.10M	28,385.30M

	Dec 2018	Dec 2019	Dec 2020	Dec 2021	Dec 2022
Revenue	1,641.75M	1,749.03M	1,796.14M	1,987.71M	2,140.64M
Gross Profit	678.49M	712.24M	718.82M	795.67M	803.97M
Operating income	338.53M	364.49M	385.33M	426.98M	426.37M
Income before tax	354.89M	379.63M	379.48M	386.45M	414.09M
Net income	234.78M	279.51M	280.94M	286.52M	304.02M
EBITDA	387.57M	417.05M	435.30M	479.86M	477.63M
Diluted EPS	2.43	2.89	2.91	2.97	3.15
Dividends Per Share	1.68	2.30	3.03	2.70	2.48
Total Assets	1,184.27M	1,025.16M	1,100.10M	1,125.74M	1,101.96M
Total liabilities	657.98M	756.27M	820.71M	861.22M	802.61M
Total equity	526.21M	268.83M	276.36M	261.83M	297.25M
Operating cash flow	336.65M	361.31M	351.27M	319.12M	361.00M

Valuation Measures

Dec 2022
PER	79.04
ROA	27.34%
ROE	108.52%
Operating margin	19.91%
Profit margin	14.20%

Key executives

Chairman & Managing Director: Suresh Narayanan
CFO & Executive Director-Control: Boldina Svetlana
Director & Executive Director-Technical: Matthias Christoph Lohner
Secretary & Compliance Officer: Pramod Kumar Rai
Head-Communications Cereals: Rashi Goel

Shareholders

Nestle SA (62.7%)
Life Insurance Corporation of India (Investment Portfolio) (2.4%)
Axis Asset Management Co. Ltd. (1.5%)
SBI Funds Management Pvt Ltd. (1.2%)
The Vanguard Group, Inc. (1.1%)
BlackRock Fund Advisors (0.9%)
UTI Asset Management Co. Ltd. (Investment Management) (0.7%)
BlackRock Advisors (UK) Ltd. (0.4%)
Veritas Asset Management LLP (0.4%)
Norges Bank Investment Management (0.3%)

Contact Details

Website:http://www.nestle.in
Address: Nestlé House, National Highway 8, Jacaranda Marg, M Block, Gurgaon, 122002, India
Phone: +91.12.42389300

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Competitors

Last Updated on 21 Mar, 2023