Nestle Malaysia reported its first quarter ending 31 March 2024 financials with a turnover of RM1.78 billion, slightly lower by 3.2% from RM1.84 billion in the previous year’s corresponding quarter. The group said this was primarily due to a slight decline in domestic sales compared to the same quarter last year
The group said amidst a challenging environment where consumers remained cautious with their spending and intense competitive landscape, it continued to focus on delivering high quality products, made in Malaysia, by Malaysians, to meet Malaysians’ expectations of taste, convenience, nutrition and value. With close proximity between Chinese New Year and the start of Ramadan, our teams remained laser focused in ensuring effective commercial execution, relevant communication and operational excellence across all channels.
Profit Before Tax and Profit After Tax for Q1 2024 however remained resilient at RM259.1 million and RM195.5 million respectively, with profitability as a percentage of sales slightly higher vs Q1 2023. Nestle said in absolute terms, the marginal decline of 1.2% and 0.8% mostly reflects the impact of slightly lower sales, effectively offset by proactive cost management initiatives as well as better commodity costs compared to the same period of the previous year.
