Dabur India, one of the FMCG giants, reduced its advertisement and promotional expenses in the second quarter of FY25 year-on-year basis.
Dabur spent Rs 164.87 crore between July and September 2024 compared to 173 crore in the same period last year.
The company’s net profit also witnessed a decline of 17 percent to Rs 425 crore YoY. Dabur’s Q2 revenue also fell by 5 percent to Rs 3,029 crore.
Speaking about the company’s outlook, Dabur India Limited Chief Executive Officer Mohit Malhotra said, “We expect recovery in consumer demand in the coming quarters, both in urban and rural markets. We are focusing on strengthening our competitive edge in the marketptace by investing in scating up our ruraI footprint and rolling out consumer-centric innovations”.
Dabur has approved an interim dividend of Rs 2.75 per equity share with a face value of Re. 1/- each (equating to 275%) for the financial year 2024-25.
Additionally, the company has announced its acquisition of Ayurvedic hair care brand Sesa Care Private Limited for an estimated price of Rs 315-325 crore.
Dabur will purchase 51 percent of Sesa’s shares for Rs 12.59 crore and will also provide a corporate guarantee for Sesa’s existing debt. The merger is likely to be finalised in 15-18 months.