Hindustan Unilever Q2 Results FY2024, Net profit at Rs.2657 crores

On 19th October 2023, Hindustan Unilever announced its quarterly results.

Key Highlights:

- Total sales at Rs.15,364 crores grew by 3% during the quarter.
- Earnings before interest, tax, depreciation and amortisation (EBITDA) for the quarter at Rs. 3,797 crores grew by 9%. 
- EBITDA margin at 24.7 % increased by 140 bps 
- Profit after tax for the quarter at Rs. 2,657 crores 

Business Highlights:

- Home Care experienced mid-single digit UVG growth of 3%. Mid-single digit volume growth was seen in Fabric Wash, with the premium portfolio continuing to perform well. Dishwasher usage increased in high single digits for household care.
- Beauty and personal care experienced mid-single digit UVG growth of 4%. Low single digit volume growth was seen in Skin Cleansing, with Lux and Hamam continuing to lead the pack. High single digit growth was achieved in the hair care sector, with Clinic Plus and Indulekha continuing to perform well. Closeup led the mid-single-digit growth in oral care.
- Foods and refreshment saw 4% growth. As consumers' perceptions of the category continued to decline, tea saw a tiny increase. Coffee saw double-digit growth.
- The Board of Directors declared an interim dividend of Rs. 18 /- per equity share of face value of Re.1/- each for the financial year ending 31st March, 2024 at its meeting held on 19th October, 2023.

Commenting on the results, Rohit Jawa, CEO and Managing Director said: "We delivered a resilient and competitive growth whilst stepping up our EBITDA margin in a challenging operating environment, marked by subdued rural demand and heightened competitive intensity. Looking forward we remain cautiously optimistic. FMCG demand is likely to continue a gradual recovery with tailwinds from the upcoming festive season, sustained buoyancy of services and Government’s thrust on capex. At the same time, we need to be watchful of volatile global commodity prices as well as the impact of monsoon on crop output and reservoir levels. In this context, our focus is to provide superior value to our consumers, drive competitive volume growth, and invest behind our brands. We remain confident of the mid to long term potential of Indian FMCG sector and HUL’s ability to deliver a Consistent, Competitive, Profitable and Responsible growth."