Dabur shares rise 4% as firm sees double-digit Q2 growth; FMCG set for strong performance

Shares of FMCG major Dabur rallied as much as 4% to their day’s high of Rs 393 on the BSE on Tuesday after the company said it expects consolidated revenues to record double-digit growth in the second quarter of FY27. It added that it also expects PAT to continue growing at a double-digit level.

“The India FMCG business sustained its growth momentum and is expected to accelerate to double-digit growth, marking its strongest performance in recent quarters,” the company said in a regulatory filing earlier today.

Dabur expects its Home & Personal Care (HPC) business to register double-digit growth. Within the segment, Hair Oils and Shampoos are expected to deliver high-teens growth, supported by strong performance across both perfumed and coconut hair oils, reflecting healthy consumer demand. This would mark the fourth consecutive quarter of double-digit growth for the business.


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Dabur added that its Healthcare business is expected to report mid-single-digit growth. Within the segment, OTC & Ethicals is expected to see a sequential recovery, with growth in the early teens, while Digestives is likely to maintain its strong momentum and deliver high-teens growth.

Health supplements, however, were impacted during the quarter by the ongoing transition to refreshed packaging and labels across the portfolio, resulting in a temporary drag on performance.

Dabur expects its Food and Beverages business to record mid-teens growth. Within the segment, the Foods business is expected to maintain its strong momentum and deliver robust double-digit growth. The Beverages portfolio is expected to see a sequential recovery and grow in the early teens, supported by an expanded offering across formats and price points, along with a favourable season.

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Despite severe headwinds in the Middle East, Dabur expects its International Business to deliver high-teens growth in INR terms. Key markets including Egypt, Turkey, the USA, Bangladesh and the UK are each expected to record strong double-digit growth in INR terms.

Disclaimer: This article has been written by Veer Sharma, who is not a SEBI-registered Research Analyst or an Investment Adviser. Veer Sharma and his ‘relative(s)’ (as defined under Section 2(77) of the Companies Act, 2013) do not hold any financial interest in the companies mentioned in this article as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective SEBI-registered Research Analyst/brokerage and have been reproduced/reported with due attribution. They should not be construed as the views or recommendations of The Economic Times Digital or the journalist. Readers are advised to consider the original research report and make their investment decisions based on their own assessment. Brokerage disclaimers here.