FMCG Business Drives Growth Expectations
Indian consumer goods major Dabur India expects its consolidated revenue and profit after tax to register double-digit growth in the second quarter, supported by stronger performance in its domestic consumer business and continued momentum in international markets.
The company’s outlook comes as India’s consumer goods sector continues to see improving demand across several categories. Dabur said its India FMCG business is expected to deliver double-digit growth for the quarter ended September 30, marking its strongest performance in recent quarters.
Hair Care Segment Maintains Strong Momentum
Dabur’s home and personal care portfolio is expected to be one of the key contributors to its performance. The company anticipates double-digit growth in this segment, with its hair oils and shampoos projected to grow in the high teens.
Demand for perfumed and coconut-based hair oils is supporting the category, according to the company. If achieved, the performance would mark the fourth consecutive quarter of double-digit growth for Dabur’s home and personal care business.
The momentum highlights continued consumer demand for everyday personal-care products while strengthening Dabur’s position across key FMCG categories.
International Markets Add to Growth
Dabur’s international operations are also expected to contribute significantly to the company’s second-quarter performance. Despite facing considerable challenges in the Middle East, the international business is projected to deliver high-teen growth in Indian rupee terms.
The performance indicates that the company’s overseas portfolio continues to provide an important growth engine alongside its domestic operations.
Higher Costs Put Pressure on Margins
While revenue and profit growth are expected to remain strong, Dabur has faced pressure on margins from higher input costs.
The company said inflation linked to crude prices in the Middle East increased the cost of plastic packaging. However, the impact was partly offset through further price increases and cost-saving initiatives.
The company’s ability to manage input-cost pressures while sustaining growth will remain an important factor for its overall financial performance.
FMCG Sector Shows Positive Momentum
Dabur’s outlook comes alongside similar growth expectations from other major Indian consumer goods companies. Marico has projected double-digit consolidated revenue growth for the second quarter, while Godrej Consumer Products expects revenue to rise in the high teens.
The broader outlook suggests that several FMCG companies are entering the second quarter with improved growth momentum, supported by demand across consumer categories.
Looking Ahead
With its domestic FMCG business gaining pace, international operations maintaining strong growth and personal-care categories performing well, Dabur expects to deliver a stronger second quarter.
At the same time, managing packaging costs and broader commodity pressures will remain important as the company works to balance revenue expansion with profitability.
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