Dabur Reports 3.1% Revenue Growth in Q3, strengthens Rural Presence

Dabur India Ltd. one of the leading science-based Ayurveda company, reported a 3.1% increase in consolidated revenue for the third quarter ended December 31, 2024. The company registered revenue of ₹3,355 crore, up from ₹3,255 crore in the same period last year, with constant currency revenue growth of 5.6%. Operating profit saw a 2.1% year-on-year increase, reaching ₹682 crore.

Strategic Growth Amid Market Challenges

In a quarter impacted by high food inflation, urban demand moderation, and a rural resurgence, Dabur remained focused on strengthening its brand presence and driving long-term, profitable growth.

“We focused on strengthening our competitive edge in the marketplace to gain market share in 95% of our portfolio and enhancing brand superiority to consolidate our position in the categories where we operate,” said Mohit Malhotra, Chief Executive Officer, Dabur India Ltd.

Revised Strategic Vision for Agility

Acknowledging the volatile geopolitical landscape and uncertain macroeconomic conditions, Dabur has revised its strategic Vision cycle from four years to three years. To refine its approach, the company has engaged McKinsey & Co to align its strategies for the next three years.

Rural Expansion Driving Growth

Dabur has significantly expanded its rural distribution network, adding 15,000 villages this fiscal to reach a total of 131,000 villages—one of the largest in the industry. This extensive presence has enabled the company to outpace urban growth by 140 basis points.

“The positive trend in rural consumption reflects our commitment to this consumer base and our ability to adapt to their unique needs,” Malhotra added.

Market Share Gains Across Key Categories

Dabur reported market share gains across 95% of its portfolio, with significant improvements in:
• Hair Oils: 150 bps increase, reaching a record 18% market share
• Air Fresheners: 101 bps gain
• Juices & Nectars: 318 bps gain

In terms of category growth:
• Toothpaste (led by Dabur Red and Meswak) grew 9.1%
• Skin & Salon: 5.6% growth
• Hair Oils: 3.1% growth

• Digestives: 4% growth
• Foods business: 30% growth
• Badshah business: 15% growth

Dabur’s premiumisation strategy is yielding strong results, with its premium portfolio growing 2.5 to 3 times faster than the overall business in India.

Robust International Business Performance

Dabur’s International Business recorded 19% constant currency growth in Q3, driven by strong performances in Egypt, MENA, US, and Bangladesh.

Commitment to Sustainability & ESG

Dabur continues to make strides in sustainability, with a significant improvement in its Corporate Sustainability Assessment (CSA) Score, rising from 72 to 81. The company has been ranked among the top two FMCG companies in India by the Dow Jones Sustainability Index (DJSI).

“Our commitment to Environmental, Social, and Governance (ESG) principles is at the core of our business strategy. These accolades reflect the hard work and dedication of our entire team,” Malhotra said.

With a focus on innovation, rural expansion, and sustainability, Dabur remains poised for strong future growth in both domestic and international markets.