FMCG firm Dabur today reported 16.56 per cent increase in consolidated net profit at Rs 331.93 crore for January-March period and also announced setting up of a Rs 250-crore facility at Tezpur in Assam.
"In order to meet the growing demand for products of the company, the Board of Directors of the company in its meeting held on April 28, 2016, has approved a capex of Rs 250 crore for setting up a manufacturing plant at Tezpur, Assam which shall be financed through Internal Accruals," the company said in a BSE filing.
The plant is likely to commence operations in 2017, the company added.
Dabur's net sales moved up by 10.92 per cent to Rs 2,157.31 crore in the last quarter of 2015-16, compared to Rs 1,944.81 crore in the year-ago period.
"We had to deal with a tough economic environment characterised by extreme volatility in currency, as well as geopolitical disturbances in key geographies. We have taken steps to efficiently manage the emerging risks and challenges," Dabur India CEO Sunil Duggal said.
He further said: "Our performance indicators reflect the success of our strategy. Our domestic FMCG business grew at 8.5 per cent during the fourth quarter of 2015-16, led by 7 per cent volume growth."
Dabur's International business reported an around 16 per cent growth, led by Egypt, Nepal, Dubai, Bangladesh and the US.
The company said it will leverage its strong herbal heritage and product portfolio to take advantage of the growing consumer preference for natural and Ayurvedic products.
For the entire 2015-16, Dabur's net profit stood at Rs 1,252.71 crore, as against Rs 1,065.83 crore in the previous financial year.
Its net sales in the year ended March 31, 2016, stood at Rs 8,435.95 crore compared with Rs 7,806.37 crore in the previous year.
The board has proposed a final dividend of Re 1 per share, the company said.
Shares of Dabur closed at Rs 269.40 apiece on the BSE, down 1.05 per cent, from previous close.
