INSUBCONTINENT EXCLUSIVE:
NEW DELHI: FMCG major Hindustan Unilever (HUL) on Monday reported 19 per cent year-on-year rise in net profit for the quarter ended June 30,
The performance came in-line with market expectations
"We have delivered another strong performance in the quarter, with double digit volume growth across all three divisions and further
performance was in-line with the expectation with 22 per cent growth in the bottom line
The highlight of the quarter was sustenance double digit volume growth at 12 per cent in the domestic business
The strong volume growth can be attributed to uptick in the rural demand and strong traction to new launches
With rural consumption improving we expect strong volume growth momentum to sustain in the coming quarters
The volatility in the input prices needs to be keenly monitored in the coming quarters
2,250 crore with EBITDA margin expansion of 180 basis points to 23.7 per cent - came in line with market estimates
A 190 basis points and 130 basis points decline in raw material and other expense was partially offset by 150 basis points rise in
advertising and promotion (AP) spends.
- At the segmental level, net sales are not comparable as last year results includes excise duty
Home care, beauty and personal care and foods and refreshments reported 440 bps, 170 bps and 330 bps expansion in EBIT margin
respectively.
- Earnings per share (EPS) of the company increased to Rs 7.06 in June quarter from Rs 5.93 in the same quarter last year
-Revenue from operations of the company increased 2.88 per cent YoY to Rs 9,356 crore during the quarter under review over Rs 9,094 crore
in the same quarter last year.
- For the near term, Mehta added that they see gradual improvement in demand and focus will continue to be on
innovations and market development
Crude volatility and currency led inflation are key risks going ahead
