HUL gains after Q4 PAT grows 41% YoY to Rs 2,143 cr

Hindustan Unilever (HUL) rose 1.61% to Rs 2,445.80 after the company's standalone net profit surged 41.07% to Rs 2,143 crore on 34.46% jump in revenue from operations to Rs 11,947 crore in Q4 FY21 over Q4 FY20.

The growth in the quarter was competitive and profitable with domestic consumer growth at 21% Y-o-Y (year-on-year) with underlying volume growth of 16%. Health, hygiene and nutrition forming 80% of business grew in double-digits for the third consecutive quarter, while discretionary and out-of-home categories improved sequentially.

Home Care grew 15% Y-o-Y, backed by a strong recovery in fabric wash. Beauty & personal care segment climbed 20% Y-o-Y with skin cleansing, hair care and oral care delivering high double-digit growths. Foods & refreshment segment delivered another quarter of strong performance and galloping 36% Y-o-Y.

Standalone EBITDA margin stood at 25% Y-o-Y, remaining healthy. HUL said it continues to invest behind its brands and portfolio, and in future-fit capabilities. Its focused actions on net revenue management and savings have enabled the company to manage inflationary pressures and deliver a healthy bottom-line performance, as per its press statement.

On a standalone basis, HUL recorded a 18.04% gain in profit after tax to Rs 7,954 crore in FY21 as against Rs 6,738 crore in FY20. Revenue from operations spurted 18.38% to Rs 45,311 crore in FY21 over FY20. In the year ended March 2021, domestic consumer growth stood at 6%.

Recommended a final dividend of Rs 17 per share for the financial year ended 31 March 2021.

Commenting on the Q4 results, Sanjiv Mehta, the chairman and managing director (MD) of Hindustan Unilever (HUL), said: "Our in-quarter performance was strong on both the top-line and bottom-line. Despite challenging times, in FY'21 our business ecosystem has withstood the disruption and demonstrated agility and resilience across the value chain. We have delivered on our multi stakeholder business model. Our purpose-led brands and capabilities were further strengthened during the year and this positions us well to serve our consumers during this turbulent period. Our focus firmly remains behind delivering volume led competitive growth."

HUL manufactures branded and packaged consumer products including soap, detergent, personal care products and processed food.

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