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Boosted by good sales growth across segments, homegrown FMCG firm Dabur India has reported a 10.9 per cent increase in its consolidated net profit at Rs 154.45 crore for the third quarter ended December 31, 2010, compared with Rs 139.30 crore in the corresponding period last fiscal.
Net sales during the third quarter grew by 16.6 per cent to Rs 1,079.97 crore from Rs 925.84 crore.
“Despite inflationary pressures, we have managed our business dynamically through a combination of judicious price increases and greater focus on cost efficiency. As a result, our EBIDTA rose 19.8 per cent during the quarter,” the Dabur India Chief Executive Officer, Mr Sunil Duggal, said in a statement.
During the quarter, the consumer care business registered a net profit of Rs 228.88 crore and sales of Rs 866.78 crore, and consumer health business registered a net profit of Rs 18.62 crore and sales of Rs 81.28 crore.
Dabur’s foods portfolio, which includes brands such as Real, Activ and Hommade, reported a net profit of Rs 19.55 crore and sales of Rs 112.38 crore. The company’s toothpaste business reported a growth of 15.2 per cent and health supplements category ended the quarter with 12.7 per cent growth, the statement said.
Dabur’s international business (including Hobi Kozmetik of Turkey that was acquired by Dabur during the quarter for Rs 305 crore) recorded 32.8 per cent growth, led by robust performance in GCC, Egypt, Nigeria, Levant and North African markets, the statement said.
During the quarter, Hobi Kozmetik Group’s net sales and net profit stood at Rs 27.85 crore and Rs 1.08 crore, respectively and have been included in Dabur’s consolidated results.
“In constant currency terms, sales in North Africa reported 50 per cent growth, while Egypt witnessed 41 per cent growth during the quarter. Sales in Nigeria and Levant too performed well with sales surging by 34 per cent during the quarter,” the Dabur India Group Director, Mr P.D. Narang, said.
Shampoos, hair creams and toothpastes were the key growth drivers in the international markets, he added.
During the quarter, while Dabur’s material cost was at Rs 449.54 crore, up from Rs 367.92 crore in the same period of the previous fiscal, advertising and publicity cost declined marginally to Rs 134.93 crore compared with Rs 135.08 crore in the same quarter ended December 31, 2009.
The company shares ended the session at Rs 93.90 apiece on the BSE, up 3.07 per cent from the previous close.
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