On January 31, 2024, Dabur India Limited (BSE, NSE: DABUR) announced its Q3 2023-24 results, reporting a surge in Q3 Operating Profit to 9.5% with Revenue Up by 7% and an impressive Q3 Volume Growth pegged at 6%.
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Main Financial Dabur India Limited Q3 Result Takeaways
Reporting growth in many aspects of the business, India’s top Science-centric Ayurveda player announced its financial results for Q3 FY24. Here are the main points of interest:
- In Q3 FY24 the Company’s Consolidated Revenue from Operations was up by 7% at ₹3,255 Cr versus ₹3,043.2 Cr in Q3 of 2022-23, and growth this quarter was driven by the stable performance of the Food and Beverage segments and the Home and Personal Care segments of the business.
- The Company’s Q3 Consolidated Revenue was reported at 10% in Constant Currency growth.
- The Company’s Consolidated Operating Profit posted a a 9.5% growth with Q3 Net Profit rising 8% reaching ₹514.2 Cr versus ₹475.9 Cr for the same quarter in the previous fiscal year.
- The Company’s FMCG Volume Growth in terms of India stands at 6%. On the robust nature of its consumer-centric product line, excellent brand communication, and stellar go-to-market implementation, the Company continues to grow and sustain its momentum of growth with performance firsts in major categories of its portfolio.
- Regarding the Company’s International Business, this stood at 11.7% Constant Currency growth.
Additional Read: Q3 Results Dashboard
Q3 FY24 Key Businesses on the Rise
The Company has attributed growth in the quarter to different products and business segments that have proved to be winners:
- Dabur’s Digestives business generated above 15% growth at the end of Q3, while the Ayurvedic Ethicals segment increased by almost 7%.
- The Post-Wash and Shampoo category registered growth of more than 11%, while the popular Toothpaste business was up 8%, leading the industry, backed by volume growth of 5%.
- The Home Care segment of the business registered a 7% growth while the Beverage segment posted the same growth figure.
- In terms of the Company’s Foods segment, including the brand Badshah, the quarter ended wiith 22% growth.
- Dabur also recorded an 184bps gain in the market share of the Air Freshener segment and a 151bps gain in the Chyawanprash market share.
- Concerning International Business, the Company witnessed a growth of 11.7% in terms of Constant Currency. The Nigeria part of the business saw growth of 52%, while the Turkey side of the business was up by 44% and the Egypt business ended Q3 with a 43% growth.
The Management’s Take on Q3 Results
The top management of Dabur India Limited had some key aspects of Q3 results to share and these are highlighted below:
- The Company continues to focus on its plans to manage an accountable and agile business structure with stress on superior product delivery and constructive disruption.
- The growth of the Company is largely due to the effect of moderating inflation blended with buoyant sentiments of consumers.
- The Company has expanded its distribution footprint, especially to reach rural sections of India, investing in this side of the business in Q3.
- The rural demand for Dabur went up 200 bps ahead of urban demand.
- The Company has spent on the advertising of its brands in the quarter, and despite this, has witnessed growth.
- With expansion on its radar, Dabur has expanded its rural coverage to reach 100,000 villages and aims to take this figure to 17,000 villages in the present fiscal year.
- Dabur’s rural distribution has the distinction of being the highest in the industry, giving the Company a unique advantage to back growth.
Financial Results at a Glance
Here is a glimpse of the Consolidated financial results of Q3 (figures in ₹ Cr as reported by the Company, except where specified otherwise):
| Metrics | Q3 FY 2023-24 | Q3 FY 2022-23 | YoY Growth % |
| Revenue from Operations | 3,255.1 | 3,043.2 | 7.0% |
| Operating Profit | 667.8 | 609.9 | 9.5% |
| EBITDA | 795.2 | 710.7 | 11.9% |
| Net Profit for the Period | 514.2 | 475.9 | 8.0% |
Additional Check: Dabur India Share Price
Q3 FY24 Result Summary
Dabur India Limited has the distinction of being known as one of the top FMCG companies in India. Evolving on a special legacy of experience and quality, not to mention reliability, the Company has over 139 years of operations under its belt. It is India’s most trusted player in the natural healthcare and Ayurvedic business category. With eight superior brands under its umbrella, the Company has won a market share in many of these. Brands like Dabur Honitus, Dabur Chyawanprash, and Dabur PudinHara need no introduction.
In Q3 FY24, Dabur India Ltd. experienced significant gains, both on the financial front and in terms of its operational abilities. 90% of the Company’s portfolio saw gains in market share on a MAT basis. Almost all its business verticals witnessed huge earnings in a single quarter with Home and Personal Care topping financially, and Healthcare coming in next. The Revenue from International Markets was substantial as Dabur India continued its expansion into the SAARC countries, MENA, South Africa, North America, Turkey, and Egypt. The Company has all the right reasons for an optimistic end to FY24 and many new beginnings in the next business year.
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Source: Dabur India Investor Presentation on BSE
