Cost control saves the day for Nestle - Views on News from Equitymaster

Helping You Build Wealth With Honest Research
Since 1996. Try Now

  • MyStocks

MEMBER'S LOGINX

     
Login Failure
   
     
   
     
 
 
 
(Please do not use this option on a public machine)
 
     
 
 
 
  Sign Up | Forgot Password?  

Cost control saves the day for Nestle

Feb 25, 2000

Nestle India has reported a decline in net sales during the year ended 31st December 1999. The company has also reported a share decline in other income. Nestle has however reported a 14% rise in profits and a rise in net margins. This has been made possible largely due to the reduction in costs and interest expenditure. The company’s cost control measures resulted in an improvement in operating margin despite the decline in sales. The growth in profits was curtailed by a sharp jump in taxation.

The company has been facing intense competition in all segments of its business and it is likely that in the coming months its adspend would witness an increase even as realisations remain near stagnant. This could see ,margins coming under pressure.

(Rs m) FY1999 FY1998 Change
Net Sales 15,439.0 15,999.0 -3.5%
Other Income 83.0 128.0 -35.2%
Expenditure 13,175.0 13,949.0 -5.5%
Interest 265.0 439.0 -39.6%
Depreciation 319.0 302.0 5.6%
Profit before Tax 1,582.0 1,236.0 28.0%
Tax 597.0 374.0 59.6%
Profit after Tax/(Loss) 985.0 862.0 14.3%
Net profit margin (%) 6.4% 5.4%  


Equitymaster requests your view! Post a comment on "Cost control saves the day for Nestle". Click here!

  

More Views on News

NESTLE Announces Quarterly Results (1QFY21); Net Profit Up 11.1% (Quarterly Result Update)

Jul 30, 2020 | Updated on Jul 30, 2020

For the quarter ended June 2020, NESTLE has posted a net profit of Rs 5 bn (up 11.1% YoY). Sales on the other hand came in at Rs 31 bn (up 1.7% YoY). Read on for a complete analysis of NESTLE's quarterly results.

NESTLE Announces Quarterly Results (3QFY20); Net Profit Up 38.4% (Quarterly Result Update)

Feb 14, 2020 | Updated on Feb 14, 2020

For the quarter ended December 2019, NESTLE has posted a net profit of Rs 5 bn (up 38.4% YoY). Sales on the other hand came in at Rs 31 bn (up 8.7% YoY). Read on for a complete analysis of NESTLE's quarterly results.

NESTLE 2017-18 Annual Report Analysis (Annual Result Update)

Mar 25, 2019 | Updated on Mar 25, 2019

Here's an analysis of the annual report of NESTLE for 2017-18. It includes a full income statement, balance sheet and cash flow analysis of NESTLE. Also includes updates on the valuation of NESTLE.

NESTLE 2016-17 Annual Report Analysis (Annual Result Update)

Dec 20, 2018 | Updated on Dec 20, 2018

Here's an analysis of the annual report of NESTLE for 2016-17. It includes a full income statement, balance sheet and cash flow analysis of NESTLE. Also includes updates on the valuation of NESTLE.

More Views on News

Most Popular

How the 8-Year Cycle Can Help Identify Multibaggers (Fast Profits Daily)

Sep 11, 2020

This is how you can apply the greed and fear cycle in the market to pick stocks.

I Recommended this Stock over Page Industries because it's Relevant to Doubling Your Income (Profit Hunter)

Sep 7, 2020

Things are not often what they seem in the market and how you can take advantage of this.

The NASDAQ Whale Could Harm Your Portfolio (Fast Profits Daily)

Sep 7, 2020

The discovery of Softbank pushing up prices on the NASDAQ will cause volatility in the market. Stay alert!

This Could Be the Best September for Auto Stocks (Profit Hunter)

Sep 11, 2020

Here's why I think this month could be a great for auto stocks.

More

Covid-19 Proof
Multibagger Stocks

Covid19 Proof Multibaggers
Get this special report, authored by Equitymaster's top analysts now!
We will never sell or rent your email id.
Please read our Terms

NESTLE SHARE PRICE


Sep 18, 2020 (Close)

TRACK NESTLE

COMPARE NESTLE WITH

MARKET STATS