Nestle India shares rise on plans to consider a price hike to offset costlier inputs

Nestle India shares gain amid company's consideration of price hike

Trade

• Watchlist
• Portfolio
• Message
• Set Alert

 

 

Choose Stock Exchange: BSE LIVE NSE LIVE

26 Aug, 2025 12:21

Volume

Todays L/H

More

×

Shares of Nestle India  gained over a percent in early trading on February 25 after Suresh Narayanan, the managing director said that the company will consider raising prices by a small margin to offset costlier coffee, cocoa and edible oil prices.

The shares were trading at Rs 2,245.45 as of 10:30 am, with a gain of 1.13 percent.

"Wherever (price increase) is absolutely essential, we will have to take some pricing action," Nestle India Managing Director Suresh Narayanan told Reuters in Mumbai on February 24, adding the price hike will be ‘as low as possible’.

"Price increases are not the salvation for the industry because it impacts volume growth," Nestle India MD said.

Narayan said Nestle India is aware of the decline in consumer spending in key urban areas, and rising product prices having squeezed corporate India's profitability in the October-December quarter.

The measures announced in the Union Budget to reduce personal income tax rates is expected to boost consumption, with its effects likely to be seen from the second half of the year.

Indian consumers have been spending on quick delivery services like Swiggy’s Instamart, Zomato’s Blinkit, and the up-and-coming Zepto, despite the broader economic slowdown. While these platforms have begun to take market share from traditional sales channels in major cities, Nestle India’s Managing Director Suresh Narayanan said that their future growth hinges on long-term sustainability of business models, given that these platforms are still incurring losses.