Nestlé Pakistan Limited (PSX: NESTLE) has announced a robust financial performance for the nine months ended September 30, 2025. The company reported a consolidated profit after tax of Rs. 14.10 billion, a 14.7% increase from the Rs. 12.29 billion profit recorded in the same period last year.
Earnings per share (EPS) for the period rose to Rs. 310.81, up from Rs. 270.91 in 9MFY24.
Rewarding its shareholders, the company declared an interim cash dividend of Rs. 78.00 per share (780%) for the nine-month period.
The growth in profitability was anchored by enhanced operational efficiency. While net sales saw a modest increase of 1.06% to Rs. 150.82 billion, the company achieved a 2.41% reduction in the cost of goods sold. This strategic cost management led to a 7.31% expansion in gross profit, which reached Rs. 57.20 billion, and a significant improvement in the gross profit margin.
Performance Highlights (Rs. in billion)
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Net Sales: 150.82 (9MFY24: 149.23) | +1.06%
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Gross Profit: 57.20 (9MFY24: 53.31) | +7.31%
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Operating Profit: 27.03 (9MFY24: 24.47) | +10.44%
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Profit After Tax: 14.10 (9MFY24: 12.29) | +14.73%
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Earnings Per Share (EPS): Rs. 310.81 (9MFY24: Rs. 270.91) | +14.73%
A major contributor to the bottom-line growth was a dramatic 80.2% decrease in finance costs, which fell to Rs. 453 million from Rs. 2.28 billion. This provided substantial relief and boosted pre-tax profits.
The company’s operating profit also saw a healthy increase of 10.44% to Rs. 27.03 billion, despite rises in administrative and other expenses. It is noteworthy that the company’s share value dropped by almost 2% during the trading session. However, it is better reflected by the broader market trend since the stock price was already hovering around its lower closing value before the announcement of the company’s financials.
Consequently, the net profit margin for the period strengthened to 9.3%, up from 8.2% in the same period last year, underscoring a successful quarter of margin expansion and financial discipline.
