Shares of Maggi-maker Nestlé India went up close to 2 percent after the fast-moving consumer goods (FMCG) major said that its board would discuss a proposal to offer bonus shares in its forthcoming board meeting. Nestle India said that the board of directors would meet on June 26 to deliberate and pass the proposal of issuing bonus shares, which would be subject to requisite approvals, in a post-market exchange filing on May 28.
The stock price of Nestle India jumped by up to 1.63 percent, or 2,356.80, on the BSE, cheering the good news. The FMCG behemoth started on a positive note of 0.9 percent to 2,339.90, following the Sensex, which retreated 1.2 percent in the last session.
As of the time of reporting, Nestle India scrip was selling at Rs 2,343.85, with a rise of 1.07 percent and a market capitalization of 2.25 lakh crore. Blue-chip stock reached its 52-week high of 2777 INR on September 27, 2024, and the 52-week low of 2115 INR on March 5, 2025.
Over the last year, the share price of Nestle India has decreased by almost 8 percent, whereas in the last six months, it has increased by more than 8 percent. The counter has provided flat returns in the last one month.
They are informing that the board of directors of the company is to meet to consider and approve the proposal to issue bonus shares subject to required approvals on 26th June 2025, on Thursday, it said in a BSE filing on June 19.
If approved, Nestlé India will issue its first bonus shares in thirty years. The company, listed on the market since 1962, last issued bonus shares in 1996 at a 1:2 ratio.
In January this year, Nestlé India carried out a 1:10 stock split to ensure the stocks are affordable to investors who deal in retail investments.
Over the previous year, Nestle India has announced an equity dividend of 25.50 pence per stock. When making the announcement of its March quarter earnings this year, the company announced that it is paying a final dividend of 10 per share to its eligible shareholders, though it has set July 4 as the record date to estimate the eligibility. The dividend yield of the stock as per the prevailing share price is 1.10 percent.
FY25 sales were 20,077.5 crore, profit generated by operations was 21.5 percent of sales, which came up to 3,314.5 crore, and earnings per share were 34.38.
Of all the verticals within which Nestlé India engages in business, powdered and liquid beverages emerged as the biggest growth contributor in the whole year, with their growth recorded in high double figures. Its Nescafé brand has attracted the market and introduced over 5.1 million households to the coffee. The third area is pet care, where the company registered high growth in double digits as well.