Dabur India net up 11% at Rs 154 cr

Boosted by good sales growth across segments, homegrown FMCG firm Dabur India today reported a 10.9 per cent increase in its consolidated net profit at Rs 154.45 crore for the quarter ended December 31, 2010.

For the corresponding period of the last fiscal, the company's net profit was Rs 139.30 crore.

Dabur's net sales during the third quarter this fiscal grew by 16.6 per cent for the three-month period under review at Rs 1,079.97 crore, up from Rs 925.84 crore in the same quarter last fiscal.

"Despite inflationary pressures, we have managed our business dynamically through a combination of judicious price increases and greater focus on cost efficiency. As a result, our EBIDTA rose by 19.8 per cent during the quarter," Dabur India Chief Executive Officer Sunil Duggal said in a statement.

The firm's consumer care business registered a net profit of Rs 228.88 crore and sales of Rs 866.78 crore during the quarter, and the consumer health business registered a net profit of Rs 18.62 crore during the quarter and sales of Rs 81.28 crore.

Dabur's foods portfolio that includes brands such as Real, Activ and Hommade reported a net profit at Rs 19.55 crore during the quarter and sales of Rs 112.38 crore.

The company's toothpaste business reported a growth of 15.2 per cent and health supplements category ended the quarter with 12.7 per cent growth, the statement said.

Dabur's international business (including Hobi Kozmetik of Turkey that was acquired by Dabur during the quarter for Rs 305 crore) recorded 32.8 per cent growth, led by robust performance in GCC, Egypt, Nigeria, Levant and North African markets, the statement said.

For the quarter, Hobi Kozmetik Group net sales and net profit were at Rs 27.85 crore and Rs 1.08 crore, respectively and have been included in Dabur's consolidated results.

"In constant currency terms, sales in North Africa reported a 50 per cent growth, while Egypt witnessed a 41 per cent growth during the quarter. Sales in Nigeria and Levant too performed well with sales surging by 34 per cent during the quarter," Dabur India Group Director P D Narang said.

Shampoos, hair creams and toothpastes were the key growth drivers in the international markets, he added.

During the quarter while Dabur's material cost was at Rs 449.54 crore, up from Rs 367.92 crore in the same period of the previous fiscal, advertising and publicity cost declined marginally to Rs 134.93 crore as compared to Rs 135.08 crore in the same quarter ended December 31, 2009.

Shares of Dabur were trading at Rs 94.25 apiece on the BSE in the afternoon trade, up 3.46 per cent from the previous close.