Fast-moving consumer goods (FMCG) maker Hindustan Unilever on Tuesday reported an 8.86 per cent year-on-year rise in standalone net profit at Rs 2,187 crore for the second quarter of the financial year 2021 (Q2FY22). The company's net profit in the corresponding quarter last year came in at Rs 2,009 crore. Meanwhile, on a quarter-on-quarter (QoQ) basis, the figure grew by 6.11 per cent over Rs 2,061 crore.
Its revenue from operations stood at Rs 12,516 crore during the recently concluded quarter, up 10.99 per cent YoY, as against Rs 11,276 crore in the same period last fiscal. The figure rose by 6.7 per cent sequentially.
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, the company said. Sectorally, the home care segment grew 15 per cent, the beauty and personal care segment 10 per cent and food & refershment segment 7 per cent.
Both the figures matched analysts' projections who had pegged the net profit growth between 8-10 per cent and revenue growth in the range of 10-15 per cent. READ PREVIEW HERE
The earnings before interest, tax, depreciation and amortisation (EBITDA) for the said quarter came in at Rs 3,132 crore versus Rs 2,869 crore in the same period last year. The EBIDTA margin, meanwhile, declined 40 bps YoY to 25 per cent.
"We continue to invest behind building our brands, portfolio and future-fit capabilities. Our focused actions on Net Revenue Management and savings have enabled us to manage inflationary pressures and deliver a healthy bottom-line performance," the company said in an exchange filing.
The company also declared an interim dividend of Rs 15 per equity share of the face value of Re 1 each for the financial year ending March 31, 2022.
Sanjiv Mehta, Chairman and Managing Director at HUL 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.
Going forward, the company remains 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, Mehta added.
Following the declaration of its Q2 numbers, the stock declined 2.67 per cent to Rs 2,583 on the BSE while the BSE Sensex was up 0.25 per cent at 61,920.
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