Consumer products manufacturer Dabur India is expecting a lower double-digit growth in financial year 2019, said Lalit Malik, chief financial officer of the company, after the company posted a slightly weak set of numbers in quarter 2.
The festive season shifting to Q3 has slowed the pace of growth, however, the company expects a recovery going forward.
“On an annualised basis, we would still be able to achieve lower double-digit(growth) considering the fact that H1 overall has been positive for us on the back of Q1," said Malik.
While the company does think that margin pressure will remain in Q3 and Q4. “Overall we have seen that the inflationary pressures are coming up and we do expect it to go further from here in Q3 and Q4. A lot will also depend upon how post monsoon the supply will pan out given the fact that monsoon is also short by 8-9 percent. We certainly feel that there will be margin pressure going forward on Q3 and Q4 on account of inflation,” said Malik.
Mailk added that despite the competition, the focus was to gain market share.
“When we look at the overall demand scenario, we do see a little bit of muted consumer confidence and consumer sentiment which one has to see how it is going to pan out given the inflationary pressure and given the currency impact. However, overall for us this season is going well so far in this month,” he added.