Hindustan Unilever Limited announced its results for the quarter ending 30th September 2018.
Domestic Consumer Growth was 12% with Underlying Volume Growth at 10%. EBITDA margin was up 160 bps and Profit after tax (bei) at Rs.1522 Crores grew by 23%.
Home Care: Strong volume driven growth sustained
Stellar performance in Home Care continued with Fabric wash and Household care delivering double-digit growth. Domex ‘Pick up the Brush’ campaign was launched in South India and was well received. Our market development and premiumization initiatives are delivering good results.
Beauty & Personal Care: Broad-based growth
Skin Care delivered good performance with our key brands registering robust growths. Men’s Fair and Lovely* relaunch was well received. Hair Care witnessed strong double-digit growth and TRESemmé was relaunched with superior fragrance and packaging. Colour cosmetics delivered yet another quarter of strong performance on the back of successful innovations; “Kareena Kapoor Khan by Lakmé Absolute” an exclusive makeup range was also launched during the quarter. Axe Ticket has performed well and is continuing to gain traction. Personal Wash saw robust growth across the premium portfolio with Dove and Pears performing well.
Foods & Refreshment: Robust growth across categories
Beverages delivered broad based double-digit growth for the quarter enabled by flawless execution of our WiMI strategy. Ice Cream and Frozen desserts and Foods performed well with double-digit growths. We acquired Adityaa Milk Ice cream during the quarter and the integration has commenced.
Margin improvement sustained: EBITDA margin up by 160 bps
Our well-established savings programme and leverage in other expenses has enabled us to mitigate material inflation and drive margin improvement. Earnings before interest, tax, depreciation and amortization (EBITDA) at Rs. 2019 Crores was up by 20%. Profit after tax (PAT), at Rs. 1525 Crores was up by 20%.
The Board of Directors has declared an interim dividend of Rs. 9 per share for the year ending 31st March 2019.
Sanjiv Mehta, Chairman and Managing Director commented: “We have delivered another strong performance in the quarter and also for the half year. Our focus on strengthening the core, leading market development and driving excellence in execution has enabled us to deliver competitive and profitable growth.
In the near term, we expect demand to be stable. Our strength of agility and responsiveness gives us confidence to navigate the headwinds arising from crude inflation and currency depreciation. Our strategic agenda remains one of delivering Consistent, Competitive, Profitable and Responsible growth.”
About Hindustan Unilever Limited
Hindustan Unilever Limited (HUL) is India's largest Fast-Moving Consumer Goods Company with a heritage of over 80 years in India and touches the lives of nine out of ten Indian households. HUL works to create a better future every day and helps people feel good, look good and get more out of life with brands and services that are good for them and good for others.
*References to Fair & Lovely in this article pre-dates the brand’s name change to Glow & Lovely in 2020.
* References to the Fair & Lovely Foundation in this article pre-dates the brand’s name change to Glow & Lovely in 2020. The Foundation’s new name is ‘Glow & Lovely Careers’.