​FMCG major Dabur India Ltd. has reported a net profit decline of 8.4% at Rs 320.13 crore in the fourth quarter (Jan-March) of the financial year 2024-25, compared to Rs 349.53 crore profit in the year-ago period. The company has attributed the fall in net profit to a challenging demand environment amid high food inflation and a surge in the cost of living, which continues to affect urban spending.

The company's topline stood at Rs 2,830 crore, marginally up by 0.6%, as compared to Rs 2,814.64 in the corresponding period last year. Its full-year profit grew 4% YoY to Rs 1,767.63 crore, while its fiscal year revenue surged 1.3% to Rs 12,563 crore.

The company says the FMCG demand trends remained "subdued" during the fourth quarter and full year 2024-25. "While the demand environment remained challenging with high food inflation and a surge in the cost of living continuing to limit urban spending, Dabur drove consumer engagement and brand superiority across product categories to end the fourth quarter of 2024-25 with market share gains across 90% of the portfolio."

Amid a challenging operating environment, Dabur says it delivered 2.1% constant currency revenue growth at Rs 2,830 crore. The company's international business achieved 19% constant currency growth in the fourth quarter and 17% during the full year. "Despite facing some pressures in the India business, our international business enabled us to successfully navigate the complex external environment."

The company expects consumer demand in India to recover progressively in the coming quarters, both in urban and rural markets. "Our business fundamentals remain strong with household penetration gains across Oral Care, Hair Care, Healthcare, Air Fresheners and Food & Beverages businesses. We are focusing on strengthening our competitive edge in the marketplace by investing in scaling up our rural footprint and rolling out consumer-centric innovations," Dabur India Chief Executive Officer Mohit Malhotra said.

Malhotra said the company remains committed to modernising its core portfolio, driving premiumisation, and plugging white spaces in our home and personal care, HC and F&B business verticals. The company is also refining its go-to-market strategy to respond to the changing channel dynamics in urban India.

The Dabur board has recommended a final dividend of Rs 5.25 per equity share for FY25 for the approval of members of the company in the ensuing annual general meeting.

The company stock closed 0.12% down at Rs 480.00 on Wednesday.