Anisha Mehra
North News
Chandigarh, October 3
Dabur India has forecast a decline in profit and revenue for the second quarter of FY25, citing reduced consumer demand due to extreme weather events such as floods and heavy rains, according to media reports. The FMCG giant expects a mid-single-digit drop in consolidated India revenue for the September quarter, with profitability hit and operating margins falling into the mid-to-high teens, the news outlet Money Control reported.
Brokerages have reacted by lowering price targets. Citi cut its target to Rs 570 per share, reducing FY25-27 earnings estimates by 3-6%. Macquarie slashed its FY25 EPS estimate by 8%, setting a new target of Rs 560 per share. Shares of Dabur fell 7.3% to Rs 573 on the NSE, reflecting the weak outlook, the news outlet further said.
According to Money Control, while some brokerages expect sales growth to recover from October, slow demand and inventory adjustments in the GT channel remain challenges. Nuvama Institutional Equities maintained a buy call but warned that the stock could face near-term pressure. Over the last year, Dabur shares have risen 12%, lagging behind the Nifty FMCG index’s 28% gain, the news outlet said.
