Dabur India Ltd today reported 24.99 per cent increase in consolidated net profit at Rs 187.04 crore for the first quarter ended June 30, 2013 on the back of good performance of FMCG segment, price hikes and cost efficiency measures. The company reported net profit of Rs 149.64 crore in the corresponding quarter last year. Dabur's net sales went up by 12.93 per cent to Rs 1,651.1 crore in the quarter under review compared to Rs 1,461.97 crore in the corresponding quarter a year ago. "We have managed our business dynamically through a combination of calibrated price increases and greater focus on cost efficiencies," Chief Executive Officer Dabur India Ltd, Sunil Duggal, said in a statement.
Despite signs of an economic downturn and increased competitive intensity in the market, the company has reported strong volume growth in its key categories, he added. "Our domestic FMCG business grew at a strong 13.2 per cent driven by a volume growth of 9 per cent," Duggal said. The consumer care business posted 14.32 per cent increase in revenue at Rs 1,343.15 crore, while that of food business went up by 18.17 per cent to Rs 249.96 crore. The retail business clocked 27.05 per cent increase in revenue at Rs 16.86 crore. "Dabur's retail business, under NewU, has marked a turnaround with a substantial reduction in losses and the business has attained store-level profitability," Dabur said.
On the overall expenses front, Dabur reported 12.46 per cent jump at Rs 1,444.35 crore in the quarter ended June 30 this year as against Rs 1,284.27 crore in corresponding quarter last year. International business, including acquisitions, ended the first quarter with 17.5 per cent growth, led by Egypt, GCC and Nepal, the company said without elaborating. Commenting on future outlook for company Duggal said, "The macro-economic pressures notwithstanding, we remain on course to strengthen our brand portfolio and improve our competitiveness in the market place." The company paid final dividend at the rate of Rs 0.85 per share (85 per cent) for FY 2012-13 aggregating to Rs 173.33 crore. Shares of Dabur India were trading at Rs 172.75 per scrip in the afternoon trade, up 1.11 per cent from previous close on BSE.