Dabur takes off with new strategies despite challenges

In the course of the introduction of Campa Cola, Dabur's fruit juice segment is facing new challenges. The price competition has intensified, prompting Mohit Malhotra to point out that Dabur is now introducing new pricing structures. With attractive value propositions and the expansion of its product range to include more affordable options, the company aims to compete more effectively against carbonated beverages. In the traditional trade sector, Dabur has successfully completed its inventory adjustments. Malhotra expects a return to normal growth in the second half of the year, projected to be in the mid to high single-digit percentages, provided that external conditions remain favorable. Another strategic highlight is Dabur's acquisition of Sesa, which, according to CFO Ankush Jain, will enrich the portfolio with premium hair oils. This acquisition promises significant revenue and cost synergies and is expected to increase earnings per share in the long term. Operating margins could rise to 18-19% in this context. In response to the challenges posed by quick commerce and e-commerce, Dabur is increasingly focusing on strategic partnerships with digital partners. Through joint business planning and tailored product offerings, engagement is strengthened. At the same time, the company is exploring digital solutions to increase supply chain efficiency and reduce reliance on traditional distributors.