Consumer goods major Dabur saw September quarter (Q2FY26) profit narrowly miss street estimates amid GST trade disruptions during the quarter. The company posted a consolidated net profit of Rs 453 crore during the quarter under review on Thursday, up 6.5% year-on-year, but marginally below Bloomberg consensus estimates of Rs 457 crore for the period. Consolidated revenue was up 5.4% y-o-y to Rs 3,191 crore, below street estimates of Rs 3,217 crore for the period.
The board approved the launch of Dabur Ventures, an investment platform with capital allocation of up to Rs 500 crore, which will be invested in acquiring stakes in high-potential, new-age digital-first businesses, the company said.
“Continuing with our pay-out policy, the board has declared an interim dividend of Rs 2.75 per share, aggregating to a total payout of Rs 487.76 crore,” Dabur India Chairman Mohit Burman said.
Earnings before interest tax depreciation and amortisation (Ebitda) was up 6.4% y-o-y to Rs 588 crore in line with Bloomberg consensus estimates of Rs 587 crore for the period. Ebitda margins were steady in Q2 at 18.4%, slightly higher than the 18.2% recorded in the corresponding period a year ago, but broadly in line with street expectations of 18.2% for the quarter.
The company said the second quarter saw steady growth across key verticals such as health supplements, toothpaste, hair care, skin care, and home care despite transitional GST headwinds in September.
“Riding on growing demand for our flagship Dabur Red Paste and the premium brand Meswak, Dabur’s toothpaste business reported 14.3% growth during the second quarter. The 100% fruit juice portfolio under the Real Activ brand grew by over 45%, while the foods portfolio grew by over 14%,” it said.
Dabur India’s CEO Mohit Malhotra said that the company’s India business reported market share gains across 95% of its portfolio during the quarter. Dabur gets over 70% of its total revenue from India; the rest comes from international markets.
Ahead of the earnings announcement on Thursday, shares of Dabur closed 1.31% lower at Rs 501.35 apiece on the BSE, after touching an intra-day low of Rs 498.80.