Nestlé Malaysia recently reported a decline in profits for the third quarter of 2024, with net income down 36% to RM85.41 million from the same period last year.
The decline was largely due to a decline in domestic sales, due to cautious consumer spending and affordability issues impacting the company's performance.
Revenue also fell 18.4%, from RM1.77 billion to RM1.45 billion.
To manage this decline, Nestlé has halved its interim dividend, from 70 cents to 35 cents, payable on 12 December 2024.
This brings this year's dividend to RM1.05 per share, compared to RM1.40 previously.
Despite the setbacks, Nestlé remains optimistic about growth through early 2025, driven by its strong brand reputation and commitment to quality halal products for Malaysian consumers.
The company's share price has fallen by 12.8% this year.
Nestlé is focused on regaining momentum and confident in its role as a leading consumer goods brand, continuing to prioritize customer trust and adapting to changing market conditions.
