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Nestle India Share Price Rises 2% As Board To Consider Bonus Issue On June 26

Nestle India Share Price Rises 2% As Board To Consider Bonus Issue On June 26

News18a day ago

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Shares of FMCG major Nestle India rose up to 1.6% on Friday to an intraday high of Rs 2,356.80 on the NSE; Key points for investors
Nestle India Share Price: Shares of FMCG major Nestle India rose up to 1.6% on Friday to an intraday high of Rs 2,356.80 on the NSE, after the company announced that its board will meet on June 26, 2025, to consider and approve a proposal for issuing bonus shares. In anticipation of this meeting, the trading window for dealing in the company's securities will remain closed from June 19 to June 28.
Bonus shares are additional shares issued by a company to its existing shareholders free of cost, based on the number of shares already owned. These are typically issued out of the company's accumulated earnings and are aimed at rewarding shareholders, improving stock liquidity, and attracting broader investor participation—particularly from retail investors.
Meanwhile, Nestle India and IndusInd Bank are scheduled to be removed from the BSE Sensex effective June 23, as part of the index's semi-annual rebalancing. They will be replaced by Trent and Bharat Electronics, both of which recently saw increased investor interest following their inclusion in the Nifty50 index.
For the March 2025 quarter, Nestle India reported a 5.2% year-on-year (YoY) decline in standalone net profit to Rs 885 crore, even as revenue from operations rose 4.5% YoY to Rs 5,504 crore, marginally exceeding analyst estimates. Total sales grew 3.7% and domestic sales 4.2%, with the company citing broad-based demand across product categories.
Looking ahead, Nestle India noted that commodity prices remain firm for coffee, while cocoa prices, though slightly corrected, are still elevated. Prices of edible oils are stable, but milk costs have risen with seasonal demand during summer.
In FY25 so far, the company's powdered and liquid beverages category emerged as the top performer with high double-digit growth, while the confectionery segment also fared well with high single-digit growth, driven largely by KITKAT, for which India is the world's second-largest market.
Despite strong operational performance, Nestle India shares have underperformed broader indices, falling nearly 8% over the past year. In 2025 year-to-date, the stock is up about 7%, whereas the Nifty has gained over 5% in the past 12 months and 4.4% so far this year.
Nestlé India, a subsidiary of Swiss multinational Nestlé S.A., is one of the country's leading food and beverage companies. Known for brands like Maggi, Nescafé, KITKAT, and Milkmaid, the company has a long-standing presence in India and a strong footprint across urban and rural markets.
Disclaimer:Disclaimer: The views and investment tips by experts in this News18.com report are their own and not those of the website or its management. Users are advised to check with certified experts before taking any investment decisions.
First Published:
June 20, 2025, 09:49 IST

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