Double-digit sales growth doable if pricing power returns: Dabur

Double-digit revenue growth seems achievable in FY17 but lot depends on revival of inflation and subsequently pricing power in our product categories, said Sunil Duggal, CEO of Dabur India, in an interaction with CNBC-TV18 post the company’s fourth quarter FY16 results on Thursday.

The company reported about 11 percent year-on-year (YoY) increase in revenue at Rs 2,161.3 crore for the fourth quarter, of which 7 percent growth came from volumes. Net profit was up 16.5 percent at Rs 332 crore.

Duggal said while FY17 is seen to be a better year given hope of good monsoons and pick up in rural demand in particular, the company will be able to achieve double-digit revenue growth only in the second half of the year. In the first half, only high single-digit growth can be expected as pricing will be subdued, he said.