Riding on the back of strong demand from rural regions, Dabur India has posted a 23.4 per cent increase in net profit for the second quarter of the current fiscal at Rs 249.74 crore, up from Rs 202.37 crore a year earlier.

It has also reported an increase of 14.9 per cent in net sales to Rs 1,749 crore (Rs 1,522.6 crore).

“Continuing with our payout policy, the board has declared an interim dividend of Re 0.75 per share, aggregating to a total payout of Rs 153.02 crore,” said Dabur India Chairman Anand Burman.

In a statement, the company’s Chief Executive Officer, Sunil Duggal, said the rising cost pressures were managed through a mix of price increases and improved buying efficiencies.

“There are signs of an economic downturn, but Dabur maintained its strong growth momentum and continues to register sales growth ahead of the market in several key categories. With our rural expansion programme, we have laid the foundation for strong and profitable growth in the future and this initiative started yielding positive results.

“We are seeing demand from rural India outpacing the urban markets,” he added.

While the company’s home care business grew 25.3 per cent, foods business was up 22 per cent.

The oral care category ended the three-month period with a nearly 19 per cent growth and the health supplements business grew around 17 per cent.

The skin care business grew over 17 per cent while the shampoo business reported an over 13 per cent growth.

Dabur’s international business grew 25. 8 per cent, led by performance in the Middle East & North Africa (MENA) markets and Bangladesh.

> meenakshi.v@thehindu.co.in

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