Dabur India
Dabur, which is trading perilously close to its 52-week low found some solace in the not-so-bad Q3FY16 numbers. It posted a steady growth with a 2.4% (YoY) growth in consolidated net sales at Rs.2122 crore. Net profit for the quarter was up 13% at Rs.318 crore. EBITDA was up 12% at Rs.439 crore. EBITDA margin increased to 21% v/s 19% (YoY). Material Costs were lower at 43% of sales vs 48%in Q3FY15.
The Nepal crisis is affecting the performance. Political crisis in Nepal impacted the supply of Real Fruit juices and hence the Foods business suffered a decline of 24%, leading to lost sales of around Rs.100 crore for the quarter. Dabur’s plant is located right at the epicenter of where the unrest is festering and its plant in Nepal has been shut down there since 24th Sept 2015.
The Toothpaste business for Dabur grew ahead of the industry ending the quarter with a strong 15.5% surge. The Skin Care business reported a near 10% growth during the quarter, while the Home Care business grew by over 8%. The Over-The-Counter (OTC) & Ethicals category ended with a 8% growth. The International Business Division for Dabur reported a 15% growth.