One of the country’s leading FMCG majors, Dabur India posted a 7% growth in consolidated revenue for the first quarter of the financial year 2025 to Rs 3,349 crore, driven by steady growth across all key business verticals. The Q1 revenue growth stood at 10% on a constant currency basis.
Meanwhile, Dabur’s media spends grew by 15.4% during the quarter in the consolidated business.
“The investments we have been making allowed us to drive demand during the quarter with key verticals like Health Supplements, Digestives, Shampoos, Toothpaste, Home Care and Beverages. The India business saw our key brands and products report market share gains across 95% of the portfolio,” said the Chief Executive Officer, Mohit Malhotra.
Despite a challenging demand environment marked by high food inflation and unemployment rate, Dabur delivered an 8.3% growth in operating profit, demonstrating the resilience of its business model.
Dabur ended the Q1FY25 with an 8% growth in consolidated net profit at Rs 500 crore, up from Rs 464 Crore a year earlier. The India FMCG business posted a volume growth of 5.2% for the quarter.
“It’s been a good start to the new financial year as we drove sequential recovery in volume growth, driven by rural markets, to report industry-leading performance across our key verticals. This allowed us to plough higher investments behind our brands to drive market expansion and sustain our growth momentum,” Malhotra highlighted.
Expanding its rural footprint to over 1.22 lakh villages helped the company’s rural demand outpaced urban demand by 350 bps during the quarter.
Further to cater to the wider network of rural demand, Dabur has expanded its product basket with the launch of newer affordable and rural-specific pack bundles across categories, besides investing in consumer activations in the hinterland to establish a better connection with the consumers.
Malhotra also shared that the company continues to capitalise on the brand strength and deepen engagement with the consumers.
Riding on the growing demand for the flagship Dabur Red Paste and the premium brand Meswak, Dabur’s toothpaste business reported a 12% growth during the quarter. The 100% fruit juice portfolio grew by 21%, while the carbonated fruit drinks portfolio grew by 90%. The digestives business posted an 11% jump. The shampoo portfolio also grew by 13.7% while the health supplements business posted a 7% growth during the quarter. The food business grew by 21.3%.
The recently acquired Badshah business grew by 15%.
Dabur reported market share gains across 95% of its portfolio. Odomos gained a 518 bps market share, while the J&N portfolio reported a 330-bps improvement in market share. Dabur also reported a 194-bps gain in Air Freshener market share. Dabur Red Paste gained 15 bps share.
Further, Dabur’s international business reported an 18.4% growth in constant currency terms. The Egypt business reported a near 64% growth and Nigeria grew by 181%, while Sub-Saharan Africa grew by 21.4% and MENA by 13%.