Nestle India Shares Surge 4% on Strong Q4 Profit

New Delhi, Jan 31 (PTI) Shares of Nestle India Ltd on Friday jumped over 4 per cent after the FMCG major reported a 4.94 per cent increase in net profit for the December quarter.

The stock went up 4.25 per cent to settle the day at Rs 2,313.05 on the BSE. Intra-day, it surged 7.60 per cent to Rs 2,387.45.

At the NSE, it climbed 3.68 per cent to Rs 2,299.05.

The company's market valuation zoomed Rs 88,746.54 crore to Rs 2,23,014.37 crore.

Nestle India Ltd on Friday reported a 4.94 per cent increase in net profit at Rs 688.01 crore for the December quarter, marked with food inflation, and moderation in urban consumption.

The company had posted a net profit of Rs 655.61 crore in the October-December period a year ago, according to a regulatory filing from Nestle India.

Nestle India's revenue from the sale of products was up 3.89 per cent to Rs 4,762.13 crore in the December quarter. It was at Rs 4,583.63 crore in the corresponding period of the last fiscal year.

"This quarter, 3 of 4 product groups, delivered healthy growth led by a combination of pricing and volume," Chairman and Managing Director Suresh Narayanan said.

Commodity prices for its key commodity inputs such as coffee, cocoa and cereals and grains continue to be firm, though prices for edible oil, milk and packaging are stabilised now, he said.

Despite the factors, Nestle India's "Key brands continue to perform and this augurs well in a challenging environment," said Narayanan, the outgoing CMD of the company.