The company says that the gap between urban and rural demand growth has narrowed, with urban growth supported by strong performance of modern trade, quick commerce and other emerging channels
Science-based Ayurveda major Dabur India has reported a 15 per cent year-on-year uptick in its net profit in the first quarter of the current financial year. The net profit attributable to the owners rose to Rs 590.88 crore in Q1FY27 from Rs 513.91 crore in Q1FY26.
The financial results of the company revealed that revenue from operations rose to Rs 3,764.39 crore in Q1FY27 from Rs 3,404.58 crore in the corresponding period of the last financial year (Q1FY26), marking an uptick of 10.6 per cent. India FMCG business reported 9.5 per cent growth with an underlying volume growth (UVG) of 5 per cent.
“The quarter unfolded against a backdrop of persistent inflationary pressures, heightened geopolitical uncertainties in the MENA region, and volatile commodity markets. In this hyperinflationary environment, our disciplined cost management with Project Samriddhi, operational efficiencies and judicious price increases helped report healthy profit growth during the quarter,” stated Mohit Malhotra, Global Chief Executive Officer (CEO), Dabur India.
Rural India continues to be a bright spot in the consumption landscape, outperforming urban markets for the eighth consecutive quarter. The gap between urban and rural demand growth has narrowed, with urban growth supported by strong performance of modern trade, quick commerce and other emerging channels, the company added.
“As per syndicated data, rural demand grew 170 basis points ahead of urban demand in the first quarter, with growth of 6.2 per cent in rural versus 4.6 per cent in urban markets. We believe this reflects a healthy broadening of India’s consumption story across urban and rural India,” the Global CEO added.
Category Growth
Each of the company’s three business verticals, Home & Personal Care (HPC), Healthcare and Food & Beverages (F&B), contributed meaningfully to growth. While the HPC business posted a strong 12.3 per cent growth, the F&B business grew by 7.2 per cent and the Healthcare vertical reported a 5.5 per cent growth.
“The broad-based nature of this performance reflects the enduring consumer preference for our brands, the effectiveness of our innovation pipeline and the agility of our execution. Together, these businesses continue to create a diversified and resilient growth engine for Dabur,” he said.
Within the HPC portfolio, the shampoo business emerged as the strongest performer during the quarter, reporting a 23 per cent growth. The hair oils category also reported a robust performance, growing by 17.6 per cent. The oral care business showed a 9 per cent gain during the quarter.
The toothpowder business accelerated by 13.1 per cent in Q1. The skin and salon portfolio, led by across-the-board gains in Gulabari, Fem and Oxylife brands, ended the quarter with an 8.1 per cent growth, while the home care business posted a 6 per cent rise despite supply chain disruptions due to the Middle East war.
The foods category ended Q1 up 29.2 per cent and the Badshah business grew by 13.2 per cent. Despite a challenging start to the season due to rain-led demand disruptions, its beverages business recovered strongly over the remainder of the quarter and returned to the positive territory with mid-single-digit growth in Q1.
The company’s premium beverage portfolio continues to gain scale, with Real Activ Juices growing 42 per cent and coconut water growing 73 per cent during Q1, Dabur India pointed out.
