New Delhi: Consumer products maker Dabur India Ltd said on Wednesday that its third-quarter net profit increased 28.3%, led by categories such as shampoos, toothpastes and foods.
Net profit rose to Rs137.84 crore in the three months to 31 December, from Rs107.40 crore in the year-ago period, the company said in a statement. Consolidated net sales for the three months rose 18.6% to Rs932.56 crore, in line with analysts’ expectations.
“This has been a good quarter for Dabur with all-round improvement. We sustained good growth momentum across key consumer categories and geographies,” chief executive officer Sunil Duggal said in the statement.
The company’s oral care portfolio with toothpaste brands such as Meswak reported strong 25% growth in the quarter. The shampoo range with brands such as Vatika saw a 41% surge and the skin care business grew 32.5%. The foods business also clocked 21.4% growth. Overseas sales grew 18%.
On a standalone basis, the company reported a 7.9% increase in net profit to Rs113.07 crore on a 13% increase in sales to Rs777.45 crore
“Dabur has benefited from low raw material (cost) pressure during the quarter and has registered better margins than expected,” Shirish Pardeshi, an analyst at Anand Rathi Financial Services Ltd, said. “However, food inflation may impact the company’s performance in the future as the purchasing capacity of the urban poor has started to take a hit.”