Backed by 20 per cent growth in rural areas, higher sales of personal and home care products, Dabur India on Tuesday reported a 22 per cent increase in consolidated net profit to Rs 211 crore during the third quarter ended December 31. Its consolidated net profit was Rs 172.8 crore in the corresponding quarter last year.
The company has witnessed double growth in rural areas at more than 20 per cent, while it has grown at around 10 per cent in the urban areas. Modern trade channel was the main growth driver in the urban areas during the third quarter.
Dabur's sales increased 12.3 per cent to Rs 1,630.72 crore during the quarter under review. According to a company statement, sales of shampoos rose 29.6 per cent, perfumed hair oil business grew 15 per cent and its home care business reported a growth of 30.5 per cent in volume backed by robust sales of its mosquito repellent Odomos. Dabur's food business grew 22 per cent, skin care category sales increased 15.7 per cent and oral care rose 12 per cent during the quarter.
"We have delivered another quarter of strong volume-led growth with an improvement in margins. Dabur has been reporting strong and consistent performance despite Inflation playing truant and competitive pressures intensifying in some key categories. Dabur mitigated the impact of high input costs with calibrated price increases and stringent cost management initiatives," said Dabur India Chief Executive Officer Sunil Duggal.
Growth in the international business was mainly backed by GCC, Egypt and Levant markets. "The Levant business, which comprises Jordan, Lebanon & other neighbouring markets, reported a 36 per cent growth, while sales in GCC markets grew by 22 per cent. Egypt reported a 15 per cent growth. Going forward, we will continue to pursue an aggressive growth strategy," according to Dabur India Group Director P D Narang.