Total income has grown to Rs 16,715 crore in the first quarter of the current financial year (Q1FY26) from Rs 15,964 crore in Q1FY25
Marking a healthy improvement in its performance, Hindustan Unilever, a fast-moving consumer goods (FMCG) major, has seen its consolidated net profit rise to Rs 2,768 crore in the first quarter of the current financial year (Q1FY26) from Rs 2,612 crore in Q1FY25. The net profit marked a 6 per cent year-on-year (YoY) uptick.
The financial results of the company revealed that total income increased to Rs 16,715 crore in Q1FY26 from Rs 15,964 crore in the corresponding period of the previous fiscal year. HUL reported a consolidated Underlying Sales Growth (USG) of 5 per cent and an Underlying Volume Growth (UVG) of 4 per cent. The earnings before interest, tax, depreciation and amortisation (EBITDA) margin at 22.8 per cent declined by 130 basis points year-on-year, in line with the company’s guidance, as it continued to step up investments in the business.
“FMCG demand has continued to remain stable, with a gradual uptick in recency. Encouraged by favourable macro-economic indicators, we strategically stepped up our investments to effectively advance our portfolio transformation agenda in this quarter,” highlighted Rohit Jawa, Chief Executive Officer (CEO) and Managing Director, HUL.
Profit After Tax (Pat) before exceptional items declined by 5 per cent, while Pat grew by 6 per cent. The company said in an exchange filing that the difference is on account of a one-off impact of reestimation of tax provisions with respect to the potential disallowance of certain expenses pertaining to prior years. On a standalone basis, HUL reported an underlying sales growth of 4 per cent, an underlying volume growth of 3 per cent and a Pat growth of 8 per cent.
Segment-wise Growth
Beauty and wellbeing delivered 7 per cent USG with a low-single digit UVG. Hair core delivered mid-single digit growth, led by strong performance in future core and market makers portfolio. Personal care grew 6 per cent, driven by calibrated pricing actions taken due to commodity inflation. Foods delivered 5 per cent USG with a mid-single digit UVG. Beverages (tea and coffee) grew in double-digit. Tea delivered high-single-digit growth driven by price and volume.
Ice Cream delivered high-single-digit volume-led growth. The performance was impacted by the early onset of rains. “I am confident that the Aspire strategy will further strengthen our presence in segments and channels of the future, powered by unmissably superior brands, heightened innovation intensity and digital media models, to deliver competitive volume-led growth and create long-term shareholder value,” Jawa mentioned, while adding that the company expects this gradual recovery to be sustained going forward.
