New Delhi: Dabur India Ltd on Thursday reported a 16.6% rise in net profit for the quarter ended 31 March, backed by volume growth in oral care, home care foods and hair oils. Net profit for the full year increased 17.5%.
The Delhi-based packaged consumer goods company reported a net profit (consolidated) of Rs.331.9 crore during the January-March quarter, up from Rs.284.86 crore in the year-ago period. Net sales for the quarter increased 10.9% to Rs.2,157.3 crore, up from Rs.1,944.8 crore a year earlier.
For the full year ended 31 March, Dabur India’s net profit stood at Rs.1,252.7 crore, up from Rs.1,065.8 crore. Net sales grew by 8.1% to Rs.8,436 crore in 2015-16, up from Rs.7,806.4 crore a year ago.
“We had to deal with a tough economic environment characterized by extreme volatility in currency, as well as geopolitical disturbances in key geographies. We have taken steps to efficiently manage the emerging risks and challenges. Our robust business model and our ability to efficiently manage the external challenges have helped us report a strong and consistent performance even in the face of intensifying competitive pressures,” Dabur India chief executive officer Sunil Duggal said in a statement.
Dabur India’s domestic fast-moving consumer goods (FMCG) business grew at 8.5% during the fourth quarter of 2015-16, led by 7% volume growth. Consolidated earnings before interest, taxes, depreciation and amortization (Ebitda) grew 21% during the quarter, Duggal added.
During the quarter, Dabur India’s home care business grew at more than 19%, and oral care by 18% on strong demand for toothpastes and tooth powders. “With the Indo-Nepal border blockage lifting and supplies resuming for packaged fruit juices, Dabur’s foods business was back on the growth track and ended the quarter with a near 12% growth,” the company said in a statement.
Dabur’s over-the-counter category grew by 9%, hair oil by around 8% and digestives business by 6% during the quarter.
Revenue from international markets increased by around 16%, led by Egypt, Nepal, Dubai, Bangladesh and the Namaste business in the US, it added.
“We have strengthened our presence across key categories and have grown profitably by entering into newer categories, markets and sales channels. The company will also leverage its strong herbal heritage and product portfolio to take advantage of the growing consumer preference for natural and ayurvedic products. With these initiatives, we have set the course for further growth and will continue to win and gain share across our businesses,” said Duggal.
Shares of Dabur closed 1.05% lower at Rs.269.40 apiece on BSE, while benchmark Sensex shed 1.77% to close at 25,603.10 points on Thursday.