In a move that’s turning heads across the industry, Dabur India has managed to grow its profits even after making a sharp cut in advertising and marketing expenses. The consumer goods major reported a 3 percent rise in net profit for the first quarter of FY26, reaching 514 crore rupees, compared to 500 crore rupees during the same period last year. What makes this number particularly impressive is that it comes alongside a 14 percent drop in ad spending.

According to the financial results, Dabur’s ad spends fell year-on-year to 201.96 crore rupees from 235.89 crore rupees. Despite this significant reduction, the company saw its ad-to-revenue ratio increase to 15.68 percent, signaling more efficient marketing execution. On a quarter-on-quarter basis, the brand actually ramped up marketing from the previous quarter, where it had spent 176.36 crore rupees.

CEO Mohit Malhotra explained the shift in strategy, noting that the company has become more selective and data-driven in its marketing approach. Instead of blanket campaigns, Dabur has sharpened its focus on digital platforms, modern trade channels, and rural outreach. This smarter allocation of resources allowed them to keep visibility strong while spending less.

Even though unseasonal rainfall affected the demand for some summer-heavy categories such as beverages, Dabur saw impressive growth across other segments. The Real Activ juice range posted a strong 20 percent growth, toothpaste sales rose by 7.3 percent, and home care products saw a double-digit increase of over 10 percent.

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Rural markets continued to be a major focus area for Dabur. The company’s direct distribution network now reaches 1.52 million retail outlets, and its village coverage has expanded to 1.33 lakh villages. This rural push is not just about increasing reach but also about strengthening loyalty and improving product availability in non-urban zones, which are key growth drivers for many FMCG brands today.

International markets also brought good news for Dabur. The company recorded a 13.7 percent growth in constant currency terms, led by impressive performances in the United Kingdom, Turkey, and African markets. These numbers indicate that Dabur is maintaining momentum both at home and abroad, even as it adapts to shifting market conditions and unpredictable weather patterns.

What stands out is Dabur’s ability to balance profitability and efficiency. While most companies rely on heavy marketing budgets to drive visibility and sales, Dabur is proving that precision can be just as powerful. By focusing on relevant channels, optimising spends, and backing product categories that are in demand, the brand is not just cutting costs it’s building a smarter, more future-ready model.

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