Dabur India - March 2013 Results Preview - Motilal Oswal

- We expect sales growth of 13.3% to INR15.4b led by 8% domestic organic volume growth.

- Benefits from recent distribution expansion should support volume growth, in our view.

- Dabur has stepped up activity in the oral care space and launched Babool Salt.

- We expect low teens growth in international division.

- Expect margin expansion of 90bp to 16.7% due to correction in input costs; in line with management guidance.

- We estimate 14% PAT growth to INR1.94b.

- The stock trades at 24.9x FY14E EPS and 20.6x FY15E EPS. Buy.

Source : Equity Bulls

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