In an exchange filing, the company said the expansion involves an investment of around ₹225 crore, funded through internal accruals.
The new line will add an annual production capacity of approximately 8,300 tonnes and is expected to be operational within FY26.
Nestlé India said the move is part of its broader capital expenditure programme across greenfield and brownfield projects aimed at enhancing overall production capacity to meet future demand.
The company also noted that Munch is manufactured at multiple facilities, with the Sanand expansion strengthening its supply capabilities for the popular confectionery brand.
For the December quarter, Nestle India reported a 46% increase in net profit from last year to ₹1,018 crore. Revenue rose 18.5% year-on-year to ₹5,667 crore, higher than the CNBC-TV18 poll of ₹5,260 crore.
EBITDA was up 9% from last year at ₹1,201 crore, and in line with the CNBC-TV18 poll of ₹1,202 crore. EBITDA margin narrowed by 200 basis points to 21.1% from 23.1% last year, lower than the CNBC-TV18 poll of 23%.
Shares of the company ended 1,190 ahead of the announcement on Thursday. The stock has gained 8.97% in the last 12 months.
