Dabur India July-September Profit Rises 6% on Year; Launches ₹5-Billion Venture Arm

Dabur India Ltd. posted over 6% on-year growth in consolidated net profit for the September quarter at ₹4.53 billion, broadly in line with expectations, while revenue rose 5.4% to ₹31.91 billion. The performance was impacted by sales disruptions following the implementation of lower GST rates during the quarter.

Chief Executive Officer Mohit Malhotra said the company achieved “robust topline and bottomline growth” despite GST headwinds, with market share gains across 95% of its portfolio. Operating margin improved slightly to 18.43% from 18.24% a year ago. The company declared an interim dividend of ₹2.75 per share, with November 7 as the record date.

Dabur passed on the GST rate cut benefits to consumers, with 66% of its portfolio affected and 86% now in the 5% tax bracket, it said.

Segment Performance:

• Consumer care revenue rose 7% to ₹26.51 billion, driven by growth in toothpaste (up 14%), hair care, skin care, and home care.
  

• Food business revenue was flat at ₹4.66 billion, though coconut milk, edible oils, and fats showed double-digit growth. The Real Juices segment was hit by heavy rainfall.
  

• FMCG volumes in India rose 2% year on year.
  

For the September-ended quarter, net profit rose 4% to ₹9.66 billion, while revenue grew over 3% to ₹65.96 billion.
The company’s board also approved a ₹5-billion investment platform, Dabur Ventures, to back digital-first and new-age consumer brands in personal care, healthcare, wellness foods, beverages, and Ayurveda.

International business grew 7.7% on year (5.5% in constant currency), led by gains in Dubai (17%), US and Bangladesh (16%), Turkey (18%), and UK (48%), while Nepal saw a 15% decline due to political unrest. EBITDA rose 3.4% to ₹7.28 billion, with a margin of 22.8% versus 23.2% last year.