HUL Q1 FY25 results: Profit climbs 3% YoY to Rs 2,538 crore; sales up 2%

Hindustan Unilever Ltd (HUL) on Tuesday recorded a 2.67 per cent rise in its year-on-year (YoY) first-quarter net profit for the ongoing financial year 2024-25 (FY25). Profit after tax (PAT) for the June 2024 quarter came at Rs 2,538 crore compared to Rs 2,472 crore in year-ago period.

During the quarter under review, the FMCG giant's total sales moved 1.72 per cent higher to Rs 15,596 crore from Rs 15,333 crore in the corresponding period last year.

Earnings before interest, tax, depreciation and amortization (EBITDA) for the quarter was at Rs 3,606 crore, up 2 per cent YoY. EBITDA margin, at 23.8 per cent, increased by 20 basis points (bps).

Indian consumer goods makers' sales started to rise in the quarter ended March, with rural growth outpacing that of urban areas for the first time in five quarters.

Easing commodity prices have also aided volume growth for consumer goods firms. Indeed, HUL, which passed on lower commodity costs to consumers in the form of price cuts, said it fuelled a 4 per cent rise in underlying volumes during the quarter.

Urban markets contribute 60 per cent to HUL's sales, while rural comprises the rest.

The earnings were out post-market hours today. Earlier in the day, HUL shares rose 1.17 per cent to settle at Rs 2,766.50. At this price, the stock has climbed 4.17 per cent on a year-to-date (YTD) basis.