Despite the ongoing slowdown, Nestle has reported a double-digit increase in profits in the Q3’19. Representative Image: Bloomberg

Nestle is the latest to jump on board the green initiative and has announced that its popular brands Maggi and KitKat will soon be plastic neutral by the end of 2019. “Nestle India is proud to share that the quantity of plastic waste collected and disposed off by us will make some of our brands like Maggi Noodles and KitKat plastic neutral by the end of 2019,” Suresh Narayanan, Chairman and Managing Director, Nestlé India said in a statement last week. These two brands have also driven growth for the Switzerland-based company in Q3 of 2019, the company announced.

Despite the ongoing slowdown that has been causing sluggish sales for FMCG companies for close to ten months now, Nestle has reported double-digit increase in profits in the Q3’19. However, the company has also pointed out that commodity prices such as milk are rising and may continue to go on increasing in the near term future. “The quarter witnessed higher commodity prices particularly in milk and its derivatives, which are likely to continue in the near term future,” Nestle said.

Key takeaways from Q3 results

Nestle reported total sales of Rs 3,199 crore, despite the macroeconomic conditions and ongoing slowdown in FMCG business.

The Swiss multinational’s total sales were up by single-digit 9.5% while domestic sales reported growth of 10.5%.

One of the biggest FMCG companies in the world, Nestle reported profit from operations at 21.2% of sales.

Nestle’s net profit stood at Rs 595 crore.

Nestle also reported sales drop by 7.1% due to lower coffee exports to Turkey.

Meanwhile, Nestle is not the only FMCG brand that looks to contribute towards a better environment. Recently, Marico also announced its plan to combat the plastic menace. Entering into a deal with Kishore Biyani’s Future Retail, Marico said that its plastic recycling program called Plastic Lao Paise Kamao is “aimed at building awareness amongst consumers around plastic recycling and encourages them to take an active role,” Marico said last week.