Nestle India's stock falls 1% after bonus share issue
Nestle India's stock slipped 1.28% to ₹1,175.10 on Thursday, landing it among the Nifty 50's biggest losers.
The fall followed news of a 1:1 bonus share issue, approved at a board meeting on August 11, 2025, with an ex-bonus date of August 8, 2025, and recent earnings results that showed declines in revenue and profit.
Other big names like Tata Consumer Products and Coal India also saw red.
Nestlé's revenue and profit slide
Nestle India's revenue for FY2025 dropped to ₹20,201 crore from last year's ₹24,394 crore, while net profit slid to ₹3,232 crore from ₹3,933 crore.
Earnings per share took a hit too—down from ₹40.79 in FY24 to ₹33.27 in FY25—showing the company is feeling some financial pressure.
Margins are shrinking a bit
Margins are shrinking a bit: net profit margin edged down to 15.99%, and return on equity fell sharply from nearly 118% to about 80%.
With the stock now trading at a price-to-earnings ratio of nearly 34x and market sentiment turning bearish after the bonus news and shaky results, investors are watching closely for what comes next.