Following the release of Nestle India's March quarter earnings after market hours on Tuesday, shares of the famous Maggi noodle maker dropped as much as 1.73% to an intraday low of 16,799 on the NSE.
Nestle India posted a net profit of 602 crores on Tuesday, April 20, up 14.6% from 525 crores in the same quarter the previous year. Net sales increased 8.9% to Rs 3,600.20 crore in the current fiscal year, compared to Rs 3,305.78 crore in the previous fiscal year, according to a BSE filing.
In the meantime, the company expressed concern about rising inflationary pressures on key raw material inputs.
Nestle India reported that demand in the Out of Home channel improved in the March quarter, but that the COVID-19 pandemic continues to have an effect. The e-commerce channel had a strong year, growing by 66% and contributing nearly 3.8% to domestic revenue.
Nestle India's board of directors announced an interim dividend of 25 rupees per equity share for 2021, with a face value of 10 rupees per equity share, totalling 241.04 crores, according to the company's release. This, along with the final dividend for the year 2020, will be paid on and from May 19, 2021, as accepted by the shareholders.