HUL Q4 PAT rises 9% YoY to Rs 2,327 cr

Hindustan Unilever (HUL) reported 8.59% rise in standalone net profit to Rs 2,327 crore on 10.40% increase in sales to Rs 13,190 crore in Q4 FY22 over Q4 FY21.

During the quarter, HUL's volume growth was flat. Earnings before interest, tax, depreciation and amortization (EBITDA) for the quarter stood at Rs 3,245 crore, a growth of 10% YoY. EBITDA margin at 24.6% remained healthy despite very high inflationary headwinds. Profit before tax (PBT) rose 10.84% to Rs 3,128 crore in Q4 FY22 over Q4 FY21.

As per Nielsen FMCG market share report March 2022, HUL continued to grow significantly ahead of the market, gaining value and volume market shares.

HUL said that in the context of unprecedented inflation, it continues to manage its business dynamically driving savings harder across all lines of P&L and taking calibrated pricing actions using the principles of net revenue management. The company said it continues to invest competitively behind its brands.

Home care growth at 24% was broad based with strong performance in fabric wash and household care. Beauty & Personal Care grew competitively at 4%. Foods & Refreshment grew 5% on a very high prior year comparator, driven by solid performance in Beverages, Foods, and Ice-cream.

HUL's net profit rose 10.86% to Rs 8,818 crore on 11.09% increase in sales to Rs 50,336 crore in the year ended March 2022 over the year ended March 2021. Underlying volume growth was reported at 3%. EBITDA margin remained healthy at 24.8%, 20bps lower than FY21. HUL said its track record of strong cash generation continued in the year.

The board has proposed a final dividend of Rs 19 per share, subject to approval of shareholders at the AGM.

Sanjiv Mehta, CEO and managing director commented: "In challenging circumstances, we have grown competitively and protected our business model by maintaining margins in a healthy range. I am also pleased that we have become a Rs. 50,000 crore turnover company in this fiscal. While there are near term concerns around significant inflation and slowing market growth, we are confident of the medium to long term prospects of the Indian FMCG sector and remain focused on delivering a Consistent, Competitive, Profitable and Responsible growth."

HUL is India's largest fast moving consumer goods company. Shares of HUL fell 0.18% to settle at Rs 2144.25 on the BSE.

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