Dabur India Limited expects consolidated operating profit and net profit to grow faster than revenue in the third quarter of the current financial year, amid demand recovery aided by GST rate revisions. The FMCG major has announced early signs of demand recovery during the October-December quarter, marking a positive shift in market conditions following government tax reforms.

Rural Markets Drive Recovery Momentum

The company highlighted that rural demand continues to outperform urban demand during the quarter, reflecting improved consumer sentiment in smaller markets. This trend underscores the effectiveness of recent policy measures in stimulating consumption across India's diverse market segments.

GST Rate Revisions Drive Market Recovery

The government restructured the GST rate framework in late September, bringing most consumer goods into the 5.00% bracket, significantly benefiting FMCG companies. Following this change, distributors and retailers initially focused on liquidating existing higher-priced inventory in the channel during October. Post trade stabilisation, consumer sentiment improved across both urban and rural markets.

Home & Personal Care Segment Shows Strong Momentum

The company's domestic Home & Personal care business is expected to deliver robust double-digit growth, primarily driven by strong performance in Hair Oils and Oral care categories. The majority of the company's portfolio continued to outpace category growth and is expected to register market share gains during the quarter.

Healthcare and F&B Segments Show Mixed Performance

The Healthcare business is expected to grow in low single digits, showing sequential improvement in its growth trajectory. Within the Food & Beverages segment, the Culinary business is projected to deliver double-digit growth, while beverages face seasonal challenges.

Despite adverse seasonality affecting nectars and drinks performance, the beverage portfolio gained market share during the quarter, reflecting strong consumer confidence in the 'Real' brand.

Favourable Macro Conditions Support Sustained Recovery

The company expects favourable macro conditions and tax reforms to support sustained recovery in demand going forward. This positive outlook is reinforced by the international business expected to post near double-digit growth in rupee terms, demonstrating robust performance across key geographies.

The company's board will consider and approve the third quarter financial results at a meeting scheduled for January 29.

Dabur India has announced its schedule to review the third quarter financial results for FY25 on January 29, 2025. The announcement indicates the company's commitment to maintaining regular communication with investors and stakeholders regarding its quarterly performance.

Scheduled Financial Review

The FMCG major has set January 29 as the date for presenting its Q3 FY25 financial performance. This review will provide insights into the company's operational metrics, revenue performance, and overall business health for the third quarter of the current financial year.

Investor Communication

The scheduled review represents part of Dabur India's regular financial disclosure practices. The company maintains transparency with its stakeholders through these periodic financial presentations, allowing investors to assess the company's quarterly progress and performance trends.

Market Positioning

As a prominent player in the FMCG sector, Dabur India's quarterly results are closely watched by market participants. The company's financial reviews provide valuable insights into consumer goods market dynamics and the company's strategic execution during the reporting period.