Posted on May 8, 2025, by Niftynews
Dabur Share Price Q4 2025 witnessed a steep decline of over 4% in early trade on Thursday following the release of the company’s Q4 FY25 results and dividend declaration. The share price dropped to ₹461.95 on the BSE, reflecting investor concerns over muted performance and margin pressures.
Despite the announcement of a ₹5.25 final dividend per share, the reaction from the market was notably negative as key segments underperformed expectations. Here’s a detailed breakdown of what’s driving the stock movement and what investors should consider next.
Q4 FY25 Highlights: A Mixed Bag of Results
Dabur India reported a consolidated net profit of ₹320.13 crore for the quarter ended March 2025, marking an 8.4% decline compared to ₹349.53 crore in the same period last year. While revenues inched up by 0.5% year-on-year to ₹2,830 crore, the increase was not enough to offset shrinking profit margins.
- Net Profit: ₹320.13 crore (down 8.4% YoY)
- Revenue from Operations: ₹2,830 crore (up 0.5% YoY)
- EBITDA: ₹426.8 crore (down 8.6% YoY)
- EBITDA Margin: 15.1% vs 16.6% in Q4 FY24
This dip in profitability highlights challenges in controlling operational costs amid sluggish demand.
Segment-Wise Performance – Where the Pressure Lies
The quarterly results indicate that performance varied significantly across segments:
- Food Portfolio: Posted healthy growth of 14% YoY
- Home & Personal Care: Declined by 3.3% YoY
- Healthcare Products: Fell 4.7% YoY, impacted by a mild and delayed winter
- Beverages: Dropped sharply by 9.2% YoY
While the India business contracted 3.7% YoY, Dabur’s international business provided a cushion with 19% growth in constant currency. However, due to currency headwinds, growth in INR terms stood at 13%.
Dividend Announcement: ₹5.25 Final Payout for FY25
Despite earnings pressure, the Dabur board declared a final dividend of ₹5.25 per equity share. This underscores the company’s commitment to delivering value to shareholders, even as it navigates a tougher macroeconomic environment.
Why Did Dabur Share Price Q4 2025 Fall?
Investor sentiment turned cautious following the earnings call due to weak numbers in key categories and subdued volume growth. Analysts have flagged seasonality, higher input costs, and competitive pressures as key challenges.
🧾 Analyst Commentary:
- Nuvama Institutional Equities maintained a Buy rating but revised its target price from ₹635 to ₹615. The report cited challenges in the beverage and healthcare segments and predicted slower recovery in urban demand.
- Antique Stock Broking downgraded the stock to Hold, cutting the target price to ₹524 from ₹591. The firm expressed concerns about revenue stagnation and potential valuation de-rating given the lack of strong growth triggers.
Both firms highlighted that Dabur’s performance remains under pressure, particularly in its home and personal care (HPC) and healthcare segments.
Dabur Share Price Performance: A 1-Year View
- Past 1 Month: +3%
- Last 3 Months: -10%
- Year-To-Date (2025): -7%
- Trailing 12 Months: -15%
The long-term trend shows underperformance, even though Dabur remains a household name with a solid presence in the FMCG sector.
Should You Buy, Hold, or Sell Dabur Stock Now?
Given the results and the recent dip in Dabur Share Price Q4 2025, investors may be wondering what’s next.
🔍 Expert View:
- Short-Term Outlook: Cautious. The company faces headwinds in volume growth and margin improvement.
- Medium to Long-Term Outlook: Stable to positive, especially if the company successfully implements its growth strategy targeting double-digit gains by FY28.
For long-term investors, holding existing positions could be a prudent move while waiting for clarity on recovery trends. Fresh entries may be considered on further dips or after signs of margin stabilization.
Conclusion: Dabur Faces Near-Term Pressures But Retains Long-Term Potential
The decline in Dabur Share Price Q4 2025 reflects market reaction to near-term earnings pressure. However, the fundamentals of the company remain solid, backed by a diverse product portfolio and strong international growth.
Investors should keep an eye on volume recovery, margin trends, and rural demand going into FY26 before making aggressive moves. Meanwhile, the dividend and brand strength offer some cushion during this period of consolidation.
