After a worrying slump in sales last year, Nestle India has seen a twofold jump in its net profit for the September quarter. Nestle India has reported this profit to bee Rs.289.39 crore.
Following the Maggi ban, due to higher than permitted levels of lead and MSG being found in some samples, Nestle India saw its growth drop. In February, it reported it had missed its target with only a 4.2% rise in annual growth.
“It was a generally disappointing report, nothing better than average,” Bernstein analysts has said in a note. “We are not accustomed to Nestle being ‘average’ but it is becoming more frequent.”
Sales See A Rise
However, in the past couple of months Nestle India has been aggressively launching new products. Following the comeback of Maggi, the company launched four new instant noodle variants; Maggi hot heads in four flavours.
It also launched Nestle a+ pro, Nestle a+ grekyo and a new variant of Kit Kats. These new launches as well as Maggi’s comeback have succeeded in helping Nestle India regain its leading position in the instant noodle market in India.
Commenting on the growth, Nestle India Chairman and Managing director Suresh Narayannan said in a statement “our growth was broad-based across categories aided by spate of innovations and renovation of over 25 new products launched in the recent past. We are now clearly in the leadership position in the instant noodles category, which vindicates consumer confidence and trust in brand Maggi.”