Q1 Results: Dabur's Profit up 3.5% Net profit in the quarter ended June 2023 rose 3.5 per cent to INR 456.6 crore from INR 441 crore in the year-ago period
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FMCG major Dabur's consolidated net profit in the quarter ended June 2023 rose 3.5 per cent to INR 456.6 crore from INR 441 crore in the year-ago period. It posted revenue from operations at INR 3,130.47 crore, up 10.9 per cent compared with INR 2,822.43 crore during Q1FY23 on the back of successful execution of business and go-to-market strategies.
"We remain committed to our strategy of superior go-to-market execution by enhancing our distribution footprint while focusing on driving growth for our Power Brands and building an agile organization culture in our pursuit of sustainable, balanced growth and value creation. We have initiated several measures to pursue greater efficiency and the gains were ploughed back in the form of higher investments behind our brands to drive demand. Our media spends grew by 30 per cent in the Consolidated business and by 28 per cent in the India business,"said Mohit Malhotra, CEO, Dabur India Limited.
"We continue to see strong consumer engagement with our brands, helping them grow significantly ahead of the market and report market share gains across 90% of the portfolio. With the inflation softening, we have seen our rural growths bounce back to high single digits after three quarters. While rural growth continues to lag urban demand, the gap has reduced significantly. We continue to strengthen our long-term competitiveness through investments in developing consumer-centric innovations and technology, as we deliver on our purpose of health and well-being for every household," Malhotra added.
Dabur has also made rapid strides on the ESG (Environment, Social & Governance) front. "Our business is committed not just towards profitable growth, but also towards leaving a deeper imprint on the society as a whole. Paving the way towards a more sustainable future, Dabur has targeted to achieve Net Zero in its entire value chain by 2045," Dabur said in a regulatory filing.
Dabur's International Business reported a 20.6 per cent growth in constant currency terms. The Turkey business reported a 51.2 per cent growth, while the Egypt business grew by 45.7 per cent, Sub-Saharan Africa by 13 per cent and MENA by 10.2 per cent.
Riding on growing demand for its flagship cough & cold brand Honitus, Dabur's OTC business reported a 24.3 per cent growth during the quarter. The Digestive business was up 14.3 per cent while the Home Care business posted a 14.5 per cent jump. The Oral Care portfolio grew by 12.7 per cent while the Hair Care portfolio posted a near 10 per cent growth during the quarter. While the foods business grew by 35 per cent, the beverages portfolio was impacted by the unseasonal rains.
