Dabur India (DABUR) Q1 25/26 earnings summary

Executive summary

• Sequential improvement in both domestic and international markets, with consolidated revenue for the quarter at ₹3,404.58 crore, up from ₹2,830.14 crore in the preceding quarter and ₹3,349.11 crore year-over-year.

• Rural markets outperformed urban for the fifth consecutive quarter, with rural growth outpacing urban by 400 bps.

• International business delivered robust double-digit growth, with strong performances in key regions and sustained constant currency growth.

• 95% of the portfolio gained market share, with power brands in healthcare posting double-digit growth.

• Operating margin and PAT grew ahead of topline, supported by price increases and cost-saving initiatives, with net profit for the quarter at ₹508.29 crore.

Financial highlights

• Consolidated sales grew 7% year-over-year excluding the seasonal portfolio; reported growth was 1.7% due to seasonal impact.

• International business grew 13.7% in consumer currency and 12.7% in INR terms.

• Volume growth for the ex-seasonal portfolio was 3–3.5%; reported volume declined 1%.

• Operating margin for the quarter was 19.62%, with net profit margin at 14.93%.

• PAT increased by 2.8% year-over-year, and earnings per share (basic) was ₹2.90.

Outlook and guidance

• Full-year guidance is for high single-digit growth, with next quarter expected to see double-digit growth due to a low base.

• Focus on premiumization, tactical price increases, and cost-saving initiatives to counter inflation and unseasonal rainfall.

• Beverage segment expected to see low single-digit growth, while other verticals should deliver double-digit growth.

• Operating margins are expected to improve significantly for the full year, driven by premiumization and better mix.

• The Board and Audit Committee reviewed and approved unaudited results, with auditors expressing an unmodified opinion.