Nestle India will be reporting its fourth-quarter earnings on Tuesday and analysts expect the FMCG company to report a 10 percent profit growth this time around.

The key thing to watch out for would be margins because, in the base quarter, the margins were the highest that the company has reported in a long time.

The street is working with revenue growth of 12 percent, while EBITDA is likely to grow just 6 percent, implying a margin contraction of 130 basis points. Margins are seen down at 24.5 percent versus 25.8 percent year on year (YoY). The contraction in margins would be on account of higher raw material costs and marketing spends.

Net profit is expected at around Rs 466 crore, up 10 percent YoY, aided by lower finance costs and higher other income.

Management commentary, raw material price outlook would be key.