The board of directors of Dabur India Ltd (DIL) met recently to consider the unaudited financial results of the company for the quarter ended December 31, 2019 (Q3 of 2019-20). It reported a seven per cent jump in revenue and a 10.7 per cent growth in operating margin during the third quarter of 2019-20. The company’s consolidated revenue for Q3 of 2019-20 stood at Rs 2,353 crore, up from Rs 2,199 crore a year earlier.It effectively managed the risks and mitigated the impact of macro-economic headwinds to deliver a strong performance during the quarter ended December 31, 2019.Consolidated net profit grew 8.7 per cent to end the third quarter at Rs 397.7 crore, up from Rs 366.1 crore a year ago. The net profit was impacted by one-time impairment in value of investments to the tune of Rs 20 crore.
Excluding this impairment, the net profit for Q3 of 2019-20 marked a 12.8 per cent growth year-on-year. Dabur’s domestic FMCG (fast-moving consumer goods) business reported an underlying volume growth of 5.6 per cent during the quarter.“While the global macroeconomic environment continues to be challenging and competitive intensity remains high, we have successfully tapped the growth opportunities to deliver a strong performance during the quarter,” said Mohit Malhotra, chief executive officer, Dabur India Ltd.
“Our focus on strengthening our core healthcare portfolio with heavy investments behind our power brands, coupled with investment in expanding our rural footprint and enhancing our go-to-market approach, continues to serve us well. This has enabled us to grow ahead of categories and gain market share across our portfolio,” he added.
“The near-term outlook for demand growth remains challenging with most key categories reporting a steady decline in value and volume growth. We will continue to invest in building a sustainable growth platform for the future with healthy investments in strengthening our brands and enhancing our competitiveness in the marketplace to tide over the consumption headwinds,” Malhotra stated.