Demand sign: HUL volumes up 2% in Q3

Fast-moving consumer goods (FMCG) major Hindustan Unilever Ltd. (HUL) reported a 19% growth in standalone net profit to ₹2,984 crore for the quarter ended December 31, 2024, compared with ₹2,509 crore in the year-earlier period.

The increase in profit was on account of the profit from the divestment of the Pureit business, while profit after tax before exceptional items was flat.

Turnover grew 2% at ₹45,680 crore driven by a 2% underlying volume growth (UVG).

“FMCG demand trends remained subdued with continued moderation in urban growth, while rural sustained its gradual recovery. In this operating context, we delivered competitive growth by driving unmissable brand superiority, investing behind brands and capabilities whilst maintaining healthy margins,” CEO and MD Rohit Jawa said.

During the quarter, the company’s Home Care business witnessed an underlying sales growth (USG) of 6%, led by high-single digit UVG in fabric wash and household care.

The Beauty & Wellbeing segment reported a 1% growth, while UVG saw a low-single digit decline.

The Personal Care segment witnessed 4% decline with mid-single digit volume decline. The Foods business had a flat USG with mid-single digit price growth offset by decline in volumes. Revenue from the ice cream business remained flat year on year.

The Board of Directors of the company approved a scheme of arrangement, between HUL and its wholly owned subsidiary Kwality Wall’s (India) Ltd. to demerge HUL’s ice cream business into KWIL. The company also announced that it had signed a definitive agreement to acquire premium beauty brand Minimalist from Uprising Science Private Ltd. for ₹2,670 crore.

The board also approved the acquisition of the palm undertaking of Vishwatej Oil Industries for an unspecified amount.