Maggi crisis fuelled Nestlé's capex surge in past decade

Nestlé India's capex has risen from 1.8% of sales in 2015 to 10% of sales in the fiscal ended March 2025

- Suneera Tandon

Packaged foods maker Nestlé India Ltd's capital expenditure has surged nearly fivefold as a percentage of its sales in the past decade, driven by greater demand for its products and its ability to manufacture more in India, according to its outgoing chairman and managing director Suresh Narayanan.

Nestlé India's capex has risen from 1.8% of sales in 2015 to 10% of sales in the financial year ended March 2025, Narayanan said in the firm's annual report released Tuesday. In FY25, the maker of Maggi noodles and KitKat chocolate posted a total income of ₹20,260.42 crore.

"As a consequence of robust growth, your company is investing in new capabilities and capacities, by increasing product lines in existing factories and setting up the Sanand factory in Gujarat, for confectionery and prepared dishes and cooking aids," said Narayanan, who is set to retire on 31 July.