Brands
Q1-2016: Dabur marketing spends up 15.5%
BENGALURU: Dabur India Limited (Dabur) spent 15.5 per cent more towards advertising and publicity expenses (ASP) in the quarter ended 30 June, 2015 (Q1-2016) at Rs 330.61 crore (16 per cent of Total Income from Operations or TIO) as compared to the Rs 286.27 crore (15.3 per cent of TIO) in Q1-2015 and 24.6 per cent more than the Rs 265.39 crore (13.6 per cent of TIO) in Q4-2015.
Note: 100,00,000 = 100 lakh = 10 million = 1 crore
Dabur’s products
Among the products that Dabur has include health supplements like Chyawanprash, Ratnaprash, Honey, Glucose; digestives like Hamjola – Hajmola Chuzkara and Natkhat Amrud, Pudin hara fizz; OTC and Ethicals such as Lal Tail, Honitus Syrup; Haircare products like Vatika, Vatika Brave and Beautiful digital, Anmol Jasmine marks; Toothpaste brands like Dabur Red, Babool and Meswak; skincare products like Fem natural fairness, Gold Bleach, Gulabari; Homecare brands such as Odomos, Odonil and Sanifresh; Food brands such as Real and Real Active.
“The macro-economic scenario remains challenging. In this subdued environment, we remained watchful, agile and prudent, managing our business dynamically to deliver another quarter of competitive and profitable growth. Our India FMCG business ended the first quarter of 2015-16 with an 11.6 per cent growth, led by an 8.1 per cent volume growth. Our EBITDA marked a 21.6 per cent growth during the quarter,” said Dabur India CEO Sunil Duggal said.
“Going forward, we will focus on our cost efficiencies and pursue an aggressive and profitable growth strategy. We continue to strengthen our business for the long term by driving innovation and investing behind our brands. With these initiatives, we are confident of growing ahead of the market and improving our market share,” Duggal added.
Trends
The company’s ASP in Q1-2016 at Rs 330.61 crore (16 per cent of TIO) was the highest in terms of actual rupee spends as well as in terms of percentage of TIO during the 11 quarter period starting Q3-2013 until Q1-2016. Over the 11 quarter period under consideration, Dabur’s ASP in absolute rupees and ASP in terms of percentage of TIO both show a linear increasing trend. Please refer to Fig 1 below.
Fig 1 below indicates that ASP in terms of percentage of TIO follows a linearly increasing zigzag line, with peaks in Q1 and Q3 and valleys in Q2 and Q4 of a financial year. Based on this, it is quite likely that the company’s ASP in Q2-2016 (next quarter) may be lower in terms of percentage of TIO.
Dabur TIO in Q1-2016 at Rs 2069.49 crore was 10.6 per cent more than the Rs 1868.86 crore in Q1-2015 and was 6.1 per cent more than the Rs 1949.74 crore in Q4-2015. The company’s TIO shows a linear increasing trend during the eleven quarter period under consideration in this report.
Dabur PAT for Q1-2016 at Rs 262.10 crore (12.7 per cent of TIO) was 24.3 per cent more than the Rs 210.81 crore (11.3 per cent of TIO) in Q1-2015, but was eight per cent lower than the Rs 284.86 crore (14.6 per cent of TIO) in the immediate trailing quarter. PAT in abslute rupees as well as in terms of percentage of TIO show linear increasing trends. Please refer to Fig 2 below.
Category Growths
Dabur says that its Toothpaste business, led by strong demand for Dabur Red Paste and Dabur Meswak, ended the first quarter with a near 24 per cent growth. The OTC and Ethicals business ended the first quarter with a 16.7 per cent growth, while the Foods category reported a 15.5 per cent growth during Q1. While the Hair Oil category reported a 13 per cent growth during the period, the Shampoo business ended the quarter with an 11.5 per cent growth. The Home Care business grew by nearly 12 per cent during the period.
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Brands
Axis Bank named Official Banking Partner of DP World PGTI
Partnership supports all tournaments this season to grow professional golf in India.
MUMBAI: Axis Bank just teed up a hole-in-one partnership because when a bank sponsors golf’s biggest swing in India, even the fairways feel more financially secure. Axis Bank has been appointed Official Banking Partner of the DP World Professional Golf Tour of India (DP World PGTI), strengthening its commitment to sporting excellence and community engagement while backing the growth of professional golf across the country.
Under the partnership, Axis Bank will support all DP World PGTI tournaments this season, contributing to talent development, enhanced tournament experiences and wider fan engagement. The collaboration aligns the bank’s values of precision, discipline and trust with the Tour’s focus on performance and opportunity.
Axis Bank executive director Munish Sharda said, “We are pleased to partner with DP World PGTI as its Official Banking Partner. Golf embodies precision, discipline, and a pursuit of excellence qualities that strongly reflect who we are at Axis Bank. This association also strengthens our engagement with India’s growing premium customer segments, where the sport has a deep and enduring connect.”
Professional Golf Tour of India president Kapil Dev said, “We are extremely pleased to welcome Axis Bank as a Tour Partner of the DP World Professional Golf Tour of India. Partnerships of this stature play a vital role in strengthening the foundation of the Tour, enhancing opportunities for our players, and expanding the sport’s reach across the country.”
Professional Golf Tour of India CEO Amandeep Johl added, “Axis Bank’s strong legacy of excellence, innovation, and nationwide reach aligns perfectly with DP World PGTI’s goal to elevate professional golf in India and provide greater opportunities for our players.”
In a sport where every stroke counts and every partnership drives distance, Axis Bank isn’t just backing golfers, it’s investing in the fairway to future, turning India’s greens into a stage where precision meets passion and every drive has the power to inspire.
