Hindustan Unilever (HUL) on Thursday reported an 8% year-on-year rise in standalone net profit to Rs 2,732 crore for the quarter ended June 2025, aided by lower tax expenses and volume-led sales growth across key categories. The first-quarter profit number beat Street estimate of Rs 2,583 crore, sending the stock price surging over 4% intra-day on the BSE. It finally closed at Rs 2,521 apiece, up 3.48% versus the previous day’s close.
HUL’s growth
HUL’s volume growth came in at 3% in the June quarter on a standalone basis, though at a consolidated level, it was higher at 4%. Consolidated revenue (Rs 16,514 crore) and profit (Rs 2,756 crore) growth for the first quarter of FY26 stood at 5.1% and 5.6% versus last year. Earnings before interest, tax, depreciation and amortisation (Ebitda) was flat at Rs 3,718 crore.
“FMCG demand has continued to remain stable, with a gradual uptick visible in the last few months. I expect this recovery to sustain in the future,” Rohit Jawa, CEO & MD, HUL, said in a post-results briefing.
Standalone revenue rose 3.9% to Rs 15,931 crore in Q1, compared with Rs 15,339 crore in the year-ago period, in line with Bloomberg consensus estimate of Rs 15,962 crore. Standalone Ebitda, however, declined 1.3% versus last year to Rs 3,558 crore, coming in slightly below Street estimate of Rs 3,618 crore, as the company increased brand investments in a competitive environment. The increase in investments reflected in standalone Ebitda margins, which declined 120 basis points to 22.3% in the first quarter versus 23.5% reported last year. On a consolidated basis, HUL’s Ebitda margins declined 130 basis points to 22.5% in the quarter versus 23.8% last year.
Home care saw 4% underlying sales growth driven by high-single digit volume growth, despite pricing pressures. Personal care grew 6%, led by price hikes due to inflation in key inputs. Fabric wash delivered mid-single digit volume growth led by Surf Excel, while household care posted double-digit volume growth. Beauty & Wellbeing posted 7% sales growth and low-single digit volume growth. Hair care delivered mid-single digit growth, skin care and colour cosmetics grew in low-single digits. Foods delivered 5% sales growth and mid-single digit volume growth.
New launches
The company launched several new products during the quarter. HUL also integrated Uprising Science (USPL), the company behind the Minimalist brand, which it acquired for Rs 2,706 crore in April 2025. Financials of USPL were included in the Q1 results.
HUL said that a one-off re-estimation of tax provisions relating to prior years resulted in lower tax outgo, boosting the PAT by 12%. Exceptional items amounted to a `Rs 127 crore charge, including `91 crore in restructuring costs and a Rs 34 crore reversal of an indemnification asset.