Dabur expects mid-single-digit Q2 growth amid temporary GST-linked demand deferral
Dabur reported healthy performance in key brands such as Dabur Honey, Anmol Coconut Oil, Gulabari, and Hajmola Zeera.
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FMCG major Dabur India Ltd said it witnessed short-term moderation in sales during September and the second quarter (Q2 FY26), as consumers deferred purchases following the government’s announcement on GST rate reductions.
The company expects mid-single-digit growth in consolidated revenue for the July–September quarter, with operating profit likely to grow in line with revenue.
According to Dabur’s BSE filing, several of its key categories—including oral care, juices, hair oils, shampoos, digestives, OTC, branded ethicals, and culinary products--have now moved to the 5% GST slab from the earlier 12% or 18%.
“Now 85% of our portfolio is at a GST rate of 5%, which is a key positive,” the company said.
“Following the GST Council’s September 2025 announcement on rate reduction, trade witnessed temporary disruption as consumers deferred purchases to benefit from lower MRPs,” it added.
Despite these short-term headwinds, Dabur reported healthy performance in key brands such as Dabur Honey, Anmol Coconut Oil, Gulabari, and Hajmola Zeera. Its Home and Personal Care and Oral Care portfolios maintained strong momentum, with Red Toothpaste and Meswak expected to post double-digit growth.
The company projects single-digit growth in its skincare portfolio, led by Gulabari and Oxy, and high-single-digit growth in shampoos driven by Vatika. The hair oils category is expected to post mid-single-digit growth.
In its Healthcare segment, Dabur anticipates double-digit growth in brands like Dabur Honey, Honitus, Hajmola, and its Health Juices range, supported by strong volumes.
The Activ portfolio under its Beverages business is expected to grow over 30%, led by Activ Juices and Coconut Water, though overall beverage sales were impacted by heavy rainfall and floods in July–August.
Across channels, e-commerce (including quick commerce) is expected to grow in double digits, while modern trade continued its steady momentum. Internationally, MENA, Turkey, Namaste, and Bangladesh performed well, but the Nepal business was hit by political unrest.
