Dabur Q2 revenue rises 11.6% to ₹3,563 crore; net profit up 11.7% on broad-based growth

Dabur India reported an 11.6% year-on-year increase in consolidated revenue to ₹3,563 crore for the September quarter, marking its second consecutive quarter of double-digit growth, as a recovery in general trade, stronger food and beverages sales and continued momentum in international markets supported performance. Net profit for the quarter rose 11.7% to ₹505 crore, marking the fourth straight quarter of double-digit profit growth.

The FMCG major's India business grew 10.7% during the quarter, supported by underlying volume growth of 5.5%, indicating that growth was not driven by price increases alone. Its international business was another key contributor, expanding 20% in rupee terms, with Bangladesh, Egypt, Sub-Saharan Africa and Turkey among the markets delivering strong performances.

For the first half of FY27, Dabur's consolidated revenue stood at ₹7,327 crore, up 11.1% year-on-year, while profit after tax (PAT) increased 13.4% to ₹1,096 crore.

"Our performance in Q2 reflects the strength of our brands and the sharper execution of our strategy. We delivered profitable growth despite operating in a challenging external environment marked by geopolitical uncertainty and elevated input-cost pressures. What gives me confidence is that the growth has been broad-based and backed by healthy underlying volumes," said Herjit S. Bhalla, chief executive officer, Dabur India.

Mohit Malhotra, former CEO, has been elevated to the role of whole-time director and global chief executive officer.

General trade stages a comeback; premium brands gain ground

One of the key developments during the quarter was the resurgence in general trade, a critical distribution channel for FMCG companies facing growing competition from quick commerce and modern retail. Dabur said general trade recorded mid-to-high single-digit growth during the quarter, supported by its Project Saksham initiative, which focuses on strengthening its distribution network and retail reach.

"The evolving channel landscape continues to present significant opportunities for us. This quarter saw a marked resurgence in General Trade with the channel growing by mid to high single digit, supported by our continued efforts under Project Saksham," Bhalla said.

Its premium brands grew at four times the pace of regular brands and now account for 20% of its domestic business. The shift towards premium products is part of Dabur's strategy to improve its product mix and tap consumers willing to spend more on differentiated offerings.

Across categories, the Home and Personal Care (HPC) business grew 10.9%, led by hair care and home care. Shampoo and hair oils recorded high double-digit growth, while home care also expanded at a double-digit pace. Skin and salon products grew at a high single-digit rate, while oral care registered mid-single-digit growth.

The healthcare business grew 6.9%, with digestives, over-the-counter (OTC) and ethical products reporting strong double-digit growth. Food and beverages was the fastest-growing domestic category, expanding 17.4%, driven by foods and a sequential recovery in beverages.

International business growth of 20% in the quarter further strengthened the company's performance. For the first half, the segment grew 19.4%.

Meanwhile, Dabur's board declared an interim dividend of ₹3.50 per share, representing a 350% payout for FY27. The dividend will translate into an aggregate payout of ₹620.88 crore, chairman Mohit Burman said.