Homegrown FMCG major Dabur India on Friday reported 23.72 per cent rise in consolidated net profit at Rs 493.50 crore for December quarter 2020-21, helped by the expansion of the distribution network and consumer centric innovations.
The company had posted a net profit of Rs 398.87 crore in December quarter a year ago, Dabur India said in a BSE filing.
Revenue from operations was up at Rs 2,728.84 crore during the quarter under review from Rs 2,352.97 crore in the same period a year ago.
According to the company, this is the highest-ever quarterly revenue and profits.
“The benefits from its distribution footprint enhancement initiatives, coupled with strong innovation to meet the emerging consumer needs, helped Dabur end the third quarter of 2020-21 with its highest-ever quarterly revenue and profits,” said Dabur India in an earning statement.
Total expenses in the quarter under review were at Rs 2,218.68 crore, up 15.25 per cent as against Rs 1,924.94 crore in the year-ago period.
“With the COVID fears receding and mobility improving, we have reported a stellar performance during the quarter with strong revenue and profit growth. Riding on our strategic business transformation exercise aimed at developing aggressive growth engines in the core business areas, our domestic healthcare vertical ended the quarter with a 28 per cent growth,” Dabur India CEO Mohit Malhotra said.
The company has also witnessed a revival in discretionary spending by consumers, which helped the Home & Personal care business grow by 16 per cent.
“Our focus on strengthening our core healthcare portfolio with heavy investments behind our power brands, coupled with investment in expanding our rural footprint and enhancing our go-to-market approach, continues to serve us well. This has enabled us to grow ahead of categories and gain market share across our portfolio,” Malhotra added.
Dabur’s revenue from consumer care business segment was up 18.47 per cent to Rs 2,442.18 crore as against Rs 2,061.36 crore in the year-ago period. The food business was also higher at Rs 236.45 crore as compared with Rs 228.87 crore earlier.
Revenue from the retail business was down 38.69 per cent to Rs 21.23 crore from Rs 34.63 crore in the year-ago period.
Dabur’s revenue from other segments was higher at Rs 23.60 crore as against Rs 21.67 crore earlier.
International business staged a smart recovery and reported a growth of 13.5 per cent in rupee terms and 14.1 per cent in Constant Currency terms, it said.
“The Turkey business grew by 33 per cent, while the SAARC business was up 16 per cent. The MENA (Middle East and North Africa) business posted a growth of 11.6 per cent, while Egypt grew by 9.5 per cent and the Namaste business in the US reported a 9 per cent growth,” it added.
Shares of Dabur India closed at Rs 515.25 apiece, down 2.34 per cent on BSE.