Dabur India shares rallied 2.6% to their days high of Rs 508.05 on the BSE on Monday, July 7, after the company released its service upgrade for the quarter ended June 30, 2025 (Q1 FY26).
The update, released ahead of its comprehensive financial outcomes, reflects a combined efficiency across key sections, predicting low single-digit combined profits growth.Further, Dabur has also flagged a decrease in its beverages portfolio, affected by unseasonal rains and a short summer.
While Activ Juices and Activ Coconut Water saw mid-teen growth, overall weak point in the section weighed on combined performance.
As a result, operating profit development is also anticipated to be marginal.The Indian FMCG major stated that volume development in metropolitan markets assisted consecutive need healing, especially in its Home and Personal Care (HPC) department, which saw strong efficiency in oral, home, and skin care categories.Notable brands like Dabur Red Toothpaste, Odonil, Odomos, and Gulabari added to market share gains.Live EventsIn the health care space, brand names such as Dabur Honey, Hajmola, Honitus, and Dabur Health Juices published robust double-digit growth, with Dabur Honitus leading the pack with over 40% growth.Organised trade channels consisting of e-commerce, fast commerce, and modern trade continued their upward momentum.The companys global business provided double-digit constant currency development, driven by strong efficiencies in essential markets such as MENA, Turkey, Bangladesh, and the US Namaste business.Despite near-term difficulties, Dabur remains positive, pointing out above-average monsoon, reducing inflation, and a revamped tactical vision as tailwinds for the upcoming quarters.: Jane Street aftermath: 4 stocks suffer Rs 12,000 crore wipeout in collateral damageAfter the Q1 update, domestic brokerage firm Nuvama has maintained a Buy rating on Dabur India with a target cost of Rs 615.
The brokerage noted that the Q1FY26 upgrade was mostly in line with quotes.
Daburs consolidated earnings is anticipated to grow by 2.1% year-on-year (YoY), a slowdown compared to 7% development in Q1FY25.
The domestic business is projected to decline by 3% YoY (vs +7% in Q1FY25), while the global business is expected to broaden by a strong 17% YoY.The Home and Personal Care (HPC) segment is expected to perform well, and the health care department is likely to deliver double-digit growth, led by Dabur Honitus.
In the drink portfolio, Activ Juices and Coconut Water are expected to grow in mid-teens in Q1FY26E.Overall, the stock is likely to carry out well in the near term, according to Nuvama.(Disclaimer: Recommendations, recommendations, views and viewpoints offered by the professionals are their own.
These do not represent the views of TheIndianSubcontinent)