HUL Q2 PAT rises 9% YoY at Rs 2,187 cr

The FMCG major posted a 9% rise in standalone net profit to Rs 2,187 crore on an 11% increase in revenue from operations to Rs 12,516 crore in Q2 FY22 over Q2 FY21.

The company's profit before tax grew by 11% year on year to Rs 2,954 crore in Q2 FY22 from Rs 2,661 crore posted in Q2 FY21. EBITDA margin stepped up sequentially and stood at 25% in Q2 FY22.

During the quarter, HUL reported domestic consumer growth of 11%.

HUL said its performance was broad based with all three divisions growing competitively. Business fundamentals remained strong with more than three-fourths of the business gaining market share and penetration.

Home Care segment grew 15% driven by high double-digit growth in Fabric Wash. Beauty & Personal Care grew 10% led by skin care, colour cosmetics and hair care. Foods & Refreshment grew at 7% against a strong prior year comparator.

HUL said it continues to invest behind building its brands, portfolio and future-fit capabilities. The company said its focused actions on net revenue management and savings have enabled it to manage inflationary pressures and deliver a healthy bottom-line performance.

Sanjiv Mehta, chairman and MD said, September quarter witnessed a sequential improvement in trading conditions, albeit remained challenging with unprecedented levels of input cost inflation and subdued consumer sentiments. In this backdrop, we have delivered a strong performance growing topline in double digits and stepping up profitability sequentially. Large parts of our business continue to gain market shares and penetration. Calibrated price increases and laser sharp focus on savings has helped us protect our business model while ensuring the right price-value equation for our consumers. Looking forward, we remain cautiously optimistic about demand recovery. In these times of uncertainty and unprecedented input cost inflation, we continue to firmly focus in delivering Consistent, Competitive, Profitable and Responsible Growth.

The board declared an interim dividend of Rs 15 per equity share.

Shares of HUL were down 2.67% at Rs 2,583.20 on BSE.

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

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