FMCG giant Hindustan Unilever Ltd (HUL) ) reported an 11 per cent growth in standalone net profit at Rs 2,289 crore for the quarter ending June 30, 2022 as against Rs 2,061 crore in the same quarter last year.
An ET NOW poll of analysts had predicted the profit number at Rs 2,185 crore.
Net total income at the FMCG major rose 20 per cent to Rs 14,409 crore in Q1FY23 as against Rs 11,982 crore in Q1FY22.
“During the quarter, our turnover grew 19 per cent with underlying volume growth of 6 per cent. We continued to grow significantly ahead of the market, gaining value and volume market shares. EBITDA (earnings before interest, taxes, depreciation & amortisation) margin at 23.2 per cent remained healthy despite unprecedented inflationary headwinds,” HUL said in a stock exchange filing.
The company mentioned its home care unit delivered 30 per cent growth driven by strong performance in fabric wash and household care. Both categories grew in high double-digits with all parts of the portfolio performing well. Liquids and fabric sensations continued to outperform driven by effective market development actions.
The beauty and personal care segment reported growth of 17 per cent. Hair care grew in high double-digits, led by strong performance in the premium portfolio. Soaps delivered price-led double-digit growth driven by strong performance in Lux, Dove and Pears brands. Skin care and colour cosmetics delivered strong YoY growth on a soft base. Premium portfolio in skin care performed well and is significantly ahead of pre-Covid levels, the company stated.
“Foods and refreshment grew 9 per cent driven by solid performance in ice-cream, coffee and food solutions. Ice cream had a very strong quarter broad-based across brands and formats taking it significantly ahead of pre-Covid levels. Tea delivered steady performance and cemented its market leadership. Coffee had a strong quarter growing in double-digit. Health food drinks continued to gain market share and penetration on the back of focused market development actions,” HUL said.
Sanjiv Mehta, CEO and Managing Director, said, “while there are near term concerns around inflation, the recent softening of commodities, forecast of a normal monsoon, and monetary/ fiscal measures taken by the government augur well for the industry. We are confident of the medium to long term prospects of the Indian FMCG sector and remain focused on delivering a consistent, competitive, profitable and responsible growth.”
HUL shares jumped by 0.57 per cent to close at Rs 2,568.00 apiece on the NSE today.
