Nestlé India has reported a strong performance in Q4 FY26, with revenue growth accelerating to 23%, largely driven by volume increases and premiumisation across its product segments, including confectionery, beverages, and pet care. The company achieved double-digit growth in these areas, with confectionery contributing 18% to revenue. However, concerns loom over rising raw material costs, particularly for edible oils, wheat, and milk, which could exert pressure on margins in Q1 FY27. Despite the challenges, Nestlé's operating profit margins expanded to 26.3%, the highest in a decade, aided by reduced employee costs and operational efficiencies. The company also noted a significant increase in advertising expenditures, which rose by 50% year-on-year, reflecting the competitive landscape in key categories like noodles and infant nutrition. Looking ahead, while growth rates may have peaked, Nestlé's strong pricing power and premiumisation strategies could help mitigate some cost pressures, although high valuations may limit upside potential.