Shares of Dabur India Ltd were trading flat during the early trading hours on 2 May but rallied 5% higher after the company announced its quarterly earnings for January-March. 

The packaged consumer goods manufacturer reported a 16.5% year-on-year gain in net profit to Rs 341 crore for the January-March quarter, up from Rs 292.8 crore in the same time the previous fiscal year.

The fast-moving consumer goods (FMCG) company reported organic domestic volume growth of 4.2%.

Revenue from operations climbed by 5% to Rs 2,814.6 crore during the quarter, up from Rs 2,678 crore in the same quarter of the previous fiscal year.

Earnings before interest, tax, depreciation, and amortisation (EBITDA) climbed by 14% to Rs 467 crore. The margin increased by 130 basis points to 16.6%.

Mohit Malhotra, Chief Executive Officer of Dabur India, said, “We’ve ended the year with a steady performance, underscoring the power of the Dabur’s brands. We have been investing heavily in our brands, which increased by 33%, to drive demand and also sustain the growth momentum. This has helped us deliver steady sales and profit growth in the fourth quarter despite multiple headwinds.”

The board of directors of the company also declared a final dividend of Rs 2.75 per equity share for the financial year 2024. The record date and dividend payment date will be announced in due course.

In an interaction with CNBC-TV18, Mohit Malhotra of Dabur India said he expects the margins to improve. “If you look at my guidance for last year, we’ve guided for around 19.5% kind of margin and we are around 19.4%. So, we have delivered as per our guidance for last year also.”

At 3:30 pm, the shares of Dabur India closed 4.11% higher at Rs 528.60 on NSE.