Dabur Q4 results: Net profit falls 22% to Rs 294 cr, revenue rises 8%

Homegrown FMCG major Dabur India Ltd on Thursday reported a consolidated net profit of Rs 294.34 crore, declining 22 per cent, in the quarter ending 31 March, 2022. The company had posted a net profit of Rs 377.29 crore in the year-ago period.

In terms of turnover, Dabur has now become a Rs 10,000 crore company, a milestone that very few homegrown FMCG firms have achieved. Its revenue from operation in FY22 touched Rs 10,888.68 crore.

The company's consolidated revenue from operations rose 7.7 per cent to Rs 2,517.81 crore in the quarter under preview as against Rs 2,337 crore a year ago, while the total income for the quarter increased to Rs 2,616.95 versus Rs 2,421.77 in the same quarter last fiscal.

Further, the company's EBITDA, or earnings before interest, taxes, depreciation, and amortisation rose 2.5 per cent to Rs 453.60 crore in Q4FY22 in comparison to Rs 442.50 crore in Q4FY21, while the EBIDTA margin fell 390 basis points to 18 per cent.

Further, the Board of Directors today recommended final dividend of Rs 2.70 per share, aggregating to Rs. 477.32 crore, informed Dabur India Ltd Group Director P. D. Narang said.

''Dabur braved the inflationary headwinds to end the quarter with a 0.4 percent growth in Net Profit before exceptional items at Rs 379 crore. An impairment of Goodwill in respect of Hobi Kozmetic, Turkey, amounting to Rs 85 crore was provided, due to the steep devaluation in Turkish currency over the past year. Including this impairment, reported Net Profit for the fourth quarter of 2021-22 stood at Rs 294 crore,'' the company said in an earnings statement.

''Despite the consumption slowdown and shrinkage in overall demand, Dabur reported market share gains across 99 percent of its product portfolio. In juices and nectars, Dabur grew ahead of the category and improved its market share by 610 bps. Dabur also reported a 250 bps gain in its Chyawanprash market share and a 40 bps gain in shampoo market share during the quarter,'' it added.

Commenting on the quarterly results, Dabur India Ltd Chief Executive Officer Mohit Malhotra said. "The dramatic rise in input costs was the major challenge during the quarter. We responded to this challenge with a mix of pricing actions and cost control measures. These are challenging times, and we are happy to have progressed well in this journey with consumer-centric innovations to expand our total addressable market and gain market share across 99 per cent of our product portfolio. Innovation continued to be the cornerstone of our strategy with new launches contributing to 5 per cent of our revenue."

The year 2021- 22 was a strong year for Dabur as we ended with an industry-leading revenue growth of 13.8% in our India Business, with an underlying FMCG Volume Growth of 10.1 per cent for the full year. We also ended the year with a 15.8 per cent Constant Currency growth in the International Business," he added.

Shares of Dabur on Thursday closed 1.96 per cent to Rs 527 apiece on BSE.