HUL Q3 results: Standalone PAT rises 17% to Rs 2,243 cr, revenue up 10%

Hindustan Unilever Ltd (HUL) posted a 16.8 per cent year-on-year rise in standalone net profit at Rs 2,243 crore in the quarter ended 31 December, 2021 as India's largest consumer goods maker gained market share in both urban and rural areas amid COVID-19 pandemic.

The Indian unit of British consumer goods giant Unilever, had posted a net profit of Rs 1,921 crore in the year-ago period. 

The company's revenue from operations rose 10.2 per cent to Rs 13,183 crore as compared to Rs 11,959 crore in the corresponding quarter last fiscal, it said in a regulatory filing.

The EBITDA margin improved 100 bps to 25.4 per cent YoY. 

India's largest consumer goods maker also noted, "In the context of unprecedented inflation, we continue to manage our business dynamically driving savings harder across all lines of P&L and taking calibrated pricing actions using the principles of Net revenue management. We continue to invest competitively behind our brands."

The company also stated that business fundamentals remained strong with handsome market share gains in all our divisions, both urban and rural markets and across price segments. Underlying Volume Growth at 2 per cent was significantly ahead of the market, it added.

Sector-wise break-up 

-Home Care growth at 23 per cent was broad-based with strong performance in Fabric Wash and Household Care.

-Beauty & Personal Care grew 7 per cent led by Skin Cleansing, Skin Care and Colour Cosmetics. Skin Cleansing delivered double digit growth driven by strong performance in ‘Lux’, ‘Dove’ and ‘Pears’

-Foods & Refreshment grew 3 per cent on a very high prior year comparator, driven by solid performance in Tea and Ice-creams. 

-Foods grew on a strong base led by Jams and Ketchup. ‘Kissan Peanut Butter’ and ‘Hellman’s Mayonnaise’ innovations continue to perform well. ‘Bru’ launched a new product ‘Bru Beaten Coffee’.

Commenting on the quarterly results, Sanjiv Mehta, Chairman and Managing Director said: "We have delivered a strong and resilient performance in the quarter despite moderation in market growths and significant levels of commodity inflation. I am particularly pleased that the growth is extremely competitive with our market share gains being highest in more than a decade."

"In the near-term, operating environment will continue to remain challenging. In this scenario, we will manage our business with agility, continue to grow our consumer franchise whilst maintaining our margins in a healthy range. We remain confident of the medium to long term potential of Indian FMCG sector and HUL’s ability to deliver a Consistent, Competitive, Profitable and Responsible growth," he added.

Shares of HUL closed 2.13 per cent lower at Rs 2,261.60 apiece on BSE today.