Fast-moving consumer goods major Dabur India said on Thursday its fourth-quarter income grew over 16% on the back of increased premiumisation, a larger distribution footprint and cost reduction.

What Happened: The consumer company said it earned a consolidated net profit of ₹341.22 crore for the quarter ended on March 31. This marked an increase of 16.5% from the ₹292.76 crore reported during the corresponding period the previous year. The figure beat analyst estimates of around ₹320 crore.

The company also recorded a 5.1% rise in revenue from operations, amounting to ₹2,814.64 crore compared with ₹2,677.8 crore reported in the same period last year.

See Also: Exide Shares In The Red — But Analysts Remain Upbeat On The Stock

“We have been investing heavily behind our brands, which increased by 33%, to drive demand and also sustain the growth momentum. This has helped us deliver steady sales and profit growth in the fourth quarter despite multiple headwinds,” said Dabur India CEO Mohit Malhotra.

The FMCG sector in India has faced a slowdown in recent times amid heightened competition from new players and sluggish rural demand.

In line with its financial performance, the board of Dabur has recommended a final dividend of ₹2.75 per equity share for the financial year 2023-24.

Price Action: Following the release of its Q4 results, the company’s shares were trading 3.1% higher at ₹520.8 in late afternoon trade on Thursday.

Read Next: Adani Ports Shares Upbeat As Profit Jumps 76% In Q4