Nestlé India Share Price Falls Nearly 9% After Q2 Results Despite 36% Profit Jump; Here’s Why

Shares of FMCG major Nestlé India fell nearly 9% on Thursday, October 15, after the company announced its Q2 FY 2026-27 results, even as profit jumped 36% year-on-year and revenue rose 20%.

The Nestlé India share price fell to an intraday low of ₹1,260 on the NSE, down nearly 9% from its previous close of ₹1,383.20. The stock later recovered some of the losses and was trading at ₹1,288.40 at 2:53 pm, down ₹94.80 or 6.85% for the session.

The maker of MAGGI, NESCAFÉ and KITKAT reported net profit of ₹1,027 crore for the September quarter, compared with ₹753 crore a year earlier. Revenue from operations rose 20% to ₹6,788 crore, while EBITDA increased 31% to ₹1,615 crore. EBITDA margin expanded by 200 basis points to 23.8%.

The strong headline numbers, however, were accompanied by caution on costs. Chairman and Managing Director Manish Tiwary flagged rising food inflation and a challenging commodity environment, bringing the outlook on input costs into focus after the results. Reuters reported the shares falling 7.5% following the earnings and management commentary.

Why Is Nestlé India Share Price Falling Today?

Nestlé India shares fell sharply despite the company reporting strong profit, revenue and volume growth during the September quarter.

Tiwary said the quarter saw broad-based growth across product groups, with sales reaching ₹6,782.2 crore, driven by robust double-digit volume growth. The company also reported strong momentum across e-commerce, general trade and rural markets.

However, the outlook on input costs remained a key concern. Nestlé India said coffee and wheat prices are expected to remain range-bound, while sugar and edible oils have stabilised at elevated levels. Cocoa remains volatile due to weather-related crop concerns, while milk prices have strengthened seasonally.

The company is also dealing with higher costs across food, packaging and agricultural inputs. Tiwary said the operating environment remained challenging because of commodity costs, even as the company continued to invest in brands and improve operational efficiencies.

The stock's fall was sharper compared with the broader market. Reuters reported Nestlé India shares down 7.5% following the results and management commentary, while the stock had fallen as much as 9% on the NSE earlier in the session.

Nestlé India Share Price History

Nestlé India shares had gained nearly 6% in October before Thursday's fall, while the stock was up about 13% in FY 2026-27 before the sharp post-results decline.

The stock touched its 52-week high of ₹1,553 on August 7, 2026. Its 52-week low stands at around ₹1,159, hit on April 2, 2026, according to market data.

Nestlé India had also gained 3.69% on Wednesday, October 14, to close at ₹1,383.20, a day before the Q2 results. Thursday's fall therefore reversed the gains seen immediately ahead of the earnings announcement.

The company had informed the BSE and NSE in September that its board would meet on October 15 to consider the unaudited financial results for the quarter and half-year ended September 30, 2026. The board meeting on Thursday began at 10:30 am and concluded at 12:05 pm, with the results subsequently filed with the exchanges.

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