Dabur India (DABUR) Q4 99/00 earnings summary

Executive summary

• FY99/00 sales grew 13.5% to Rs 1,042.59 crore, outperforming an FMCG market where most peers posted single-digit growth.

• Profit after tax was Rs 77.43 crore, including a Rs 9 crore write-off of bad debts tied to the earlier collection system.

Financial highlights

• Turnover including other income rose to Rs 1,076.78 crore from Rs 932.19 crore; profit before tax increased to Rs 81.29 crore from Rs 51.60 crore.

• Net profit was Rs 77.43 crore versus Rs 50.10 crore in FY98/99; EPS increased to Rs 27.15 from Rs 17.58.

• Other income included Rs 21.04 crore profit on investment sales; the income statement also recorded a Rs 9 crore bad-debt write-off.

Outlook and guidance

• The Rs 2,000 crore turnover target, initially set for FY02/03, was expected in FY03/04 as FMCG growth slowed; continued outperformance of the sector was anticipated.

• Focus on natural, herbal healthcare and personal care, new product launches, and efficiency gains; profitability improvement targeted over the next 3–4 years.