Hindustan Unilever, the FMCG behemoth, on April 27, 2023, declared a final dividend of Rs 22 per share along with the announcement of March quarter earnings (Q4FY23). The company's net profit for the quarter came in at Rs 2,552 crore, up 10 per cent year-on-year. Total sales for the quarter stood at Rs 14,638 crore, up 11 per cent YoY.

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Earnings before interest, tax, depreciation and amortisation (EBITDA) for the quarter was Rs 3,471 crore, up 7 per cent YoY while the EBITDA margin at 23.7 per cent declined by 90 bps as compared to the year-ago period.

HUL, in its press release, stated that exceptional items in the March quarter included restructuring expenses of Rs 27 crore (MQ 22: Rs. 58 crore), acquisition and disposal-related costs of Rs 26 crore (MQ 22: Rs. 21 crore), profit from the sale of surplus properties Rs 73 crore (MQ 22: Rs. 137 crores and profit from the sale of brand rights Rs 60 crore (MQ22: Nill)

During FY 2022-23, total sales came in at Rs 58,154 crore (up 16 per cent). EBITDA increased by 9 per cent, profit after tax before exceptional items grew by 11 per cent while profit after tax rose 13 per cent. 

Commenting on the results, Sanjiv Mehta, CEO and Managing Director, said, "In challenging circumstances of geopolitical uncertainties, high commodity inflation and tepid market growths, I am pleased that we have delivered yet another year of strong and resilient performance. We have added Rs 8000 crore to our topline in this fiscal with volume growth in mid-single digits despite a decline in FMCG market volumes. We continue to make steady progress in future-proofing our business through portfolio transformation and building distinctive capabilities." 

HUL FY23 SNAPSHOT

 

Looking forward, the near-term operating environment is likely to remain volatile. With inflation easing due to the lapping of high base and sequential softening in a few commodities, price and volume growths will rebalance. Market volumes will recover gradually as consumption habits readjust. "We remain focused on managing our business with agility and growing our consumer
franchise whilst maintaining margins in a healthy range. We stay confident of the medium to the long-term potential of the Indian FMCG sector and HUL’s ability to deliver Consistent, Competitive, Profitable and Responsible growth'," Mehta added.

 

HUL'S KEY SEGMENTS' SCORECARD