Maggi hits Nestle hard, 60% drop in net profit

Though Nestle tried its best to not let the Maggi controversy affect it, it did hit it hard. There was a 60% drop in consolidated net profit (Rs 124 crore, down from Rs 311 crore during the corresponding year-ago period) for the quarter ended September '15, the company announced.

Maggi noodles, Nestle's biggest brand in India contributed close to 30% to the company's sales before it was banned in June.

The silver lining to it all is that the company would soon recover from the losses incurred as production of Maggi has begun, as announced by Nestle. But it would enter the market only when it passes a second round of tests.

(Image credits: Indiatimes)