Dabur India gets tax relief as Income Tax Appellate quashes ₹59 crore demand; shares rise 7% in 6 months

As a result, the total demand has come down from ₹110.33 crore to ₹50.96 crore, against which the company already has an appeal pending before the Commissioner of Income Tax (Appeals).

“As informed earlier also, the financial implication in the matter is unlikely. The financial impact, if any, will be limited to the extent of final tax liability as may be ascertained by higher appellate authorities,” the company said in a regulatory filing.

Dabur further said the update follows its earlier disclosure dated April 1, 2025, along with subsequent quarterly integrated governance filings. The original tax demand of ₹110.33 crore had been raised by the Assistant Commissioner of Income Tax, Delhi.

The order was received by the homegrown brand on November 18, 2025, at 03:36 PM.

On Wednesday, shares of Dabur India settled at ₹518 apiece on NSE, falling 0.55%. In the last month, the stock has gained nearly 3%, while for the six-month period, it has rallied over 7%.

The company’s market capitalisation stands at ₹91,877.15 crore.

Dabur India’s Q2 earnings

Homegrown FMCG firm reported its second-quarter results for the 2025-26 financial year, posting a 6.53% year-on-year (YoY) surge in its consolidated net profit to ₹453 crore. In the corresponding period of the 2024-25 fiscal year (Q2FY25), the company had clocked a profit of ₹425 crore.

During the quarter under review, Dabur’s revenue from operations advanced 5.37% YoY to ₹3,191.32 crore, as against ₹3,028.59 crore in the September quarter of FY25.

At an operational level, its EBITDA (earnings before interest, tax, depreciation, and amortisation) stood at ₹588 crore in Q2FY25, marking a 6.4% YoY jump from ₹553 crore in the year-ago period. Its EBITDA margin expanded by 19 basis points (bps) YoY to 18.43% during the quarter, compared to 18.24% in Q2FY25.

Commenting on the earnings, Mohit Malhotra, CEO of Dabur India, said, "Despite a dynamic economic environment and transitional GST headwinds, we delivered robust topline and bottomline growth, reaffirming our leadership across core categories.”

Dabur India's board of directors had also declared an interim dividend of ₹2.75 per equity share with a face value of ₹1 each (275%) for FY26.