Shiva Joshi, Pune
The Hindustan Unilever (HUL) reported a stand-alone net profit of 12%, worth a profit of Rs. 2,505 crores on Thursday. The company had posted a profit of Rs. 2,243 crores in the last year period.
HUL posted modest inflation in the quarter under review, but higher than the year-ago period. Net sales for the quarter rose 16% to Rs 14,986 crore compared to Rs 12,900 crore in the same period last year. Shares of HUL closed at Rs 2,643.05 on Thursday, down 1.61 percent on the National Stock Exchange (NSE), up 8 percent year-on-year. In addition, EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortisation) margins fell 180 basis points year-over-year to 23.6%. Total volume growth in the third quarter was 5%.
Segmentally, the homecare business posted a 32% increase in revenue and double-digit growth, driven in part by price increases in the laundry and homecare portfolio to offset higher input costs in the soap portfolio .
The hair care segment posted high single-digit growth driven by the strong performance of Clinic Plus, while the oral care segment delivered solid performance supported by Close-up. The Beauty and Grooming personnel increased by 10% due to skin cleansing products and the Food & Refreshment business grew by 7%, driven by solid performance in food, coffee and ice cream.