Dabur Q4 net profit slips 22% to ₹294 cr; turnover at ₹10k cr

NEW DELHI: Homegrown FMCG major Dabur India on Thursday reported a 21.98% decline in consolidated net profit to ₹294.34 crore for the fourth quarter ended March 2022, on account of inflationary headwinds and impairment of goodwill in its international business.

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

The company had posted a net profit of ₹377.29 crore in the January-March quarter a year ago, Dabur India said in a BSE filing.

Its revenue from operations rose 7.74% to ₹2,517.81 crore during the quarter under review, against ₹2,336.79 crore in the corresponding quarter of the previous fiscal.

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

Dabur India’s total expenses increased by 8.7% to ₹2,141.04 crore from ₹1,969.54 crore in Q4 FY2020-21.

During the quarter, Dabur’s revenue from the consumer care business segment inched up 4.25% at ₹2,095.15 crore. It was ₹2,009.63 crore in the yearago period. Revenue from the food business surged 31.28% to ₹ 359.90 crore compared to ₹274.14 crore in the year-ago period, with its Juices and Beverages business growing at 35%.

“Despite the consumption slowdown and shrinkage in overall demand, Dabur reported market share gains across 99% 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 said.

However, its retail business was down 3.76% at ₹22.26 crore from ₹23.13 crore in the corresponding period previous year.

Revenue from other segments rose 28.01% to ₹30.66 crore against ₹23.95 crore.