Dabur India Q2 net profit rises 8.42 percentOctober 31st, 2011 - 5:08 pm ICT by IANS
New Delhi, Oct 31 (IANS) Dabur India Monday reported an increase 8.42 percent in net profit at Rs.173.86 crore for the quarter ended Sep 30 owing to the strong growth in its key business categories, calibrated price hikes and stringent cost saving initiatives.
The company had posted a net profit of Rs.160.35 crore during the like period of the previous financial year, the company said in a regulatory filing.
The total income stood at Rs.1,270.68 crore during the quarter under review, up 29.31 percent against Rs.982.59 crore during the like period of the previous fiscal.
“The operating environment was extremely challenging and it impacted our margins during the period. Despite the challenges, effective management of costs helped Dabur expand its EBITDA (earnings before interest, taxes, depreciation, and amortization) by 16.5 percent, said Dabur India Ltd. chief executive officer Sunil Duggal.
“Going forward, we will strive to continue to remain competitive and cost efficient, and deliver profitable growth,” he added.
The hair oil category for Dabur reported a 26.6 growth, led by Dabur Amla, the foods business registered a 27.5 percent growth while the toothpaste category had a 7.8 percent rise during the quarter under review.
According to the company, Dabur’s international business continued to be a key growth driver, recording a growth of 22.8 percent through the organic route, led by robust performance in the Gulf countries, Egypt and Nigeria.
“Shampoos, hair creams and toothpastes were the key growth drivers in the international markets in the first six months of the fiscal. While the Nigeria business grew by 36 percent, the GCC (Gulf Cooperation Council) and Egypt businesses reported a 27 percent growth during the first half of the year,” said Dabur India Ltd. group director P D Narang.
At the Bombay Stock Exchange the shares of Dabur India were 0.45 percent lower to trade at Rs.99.70.