HUL Q1 Results: Consolidated net profit rises 6% on-year to Rs 2,768 crore, EBITDA margin contracts

Hindustan Unilever Ltd (HUL) on Thursday reported a 6 percent year-on-year rise in consolidated net profit to Rs 2,768 crore for the quarter ended June 2025, aided by lower tax expenses and volume-led sales growth across key categories.

Revenue (total sales) grew 5 percent to Rs 16,323 crore, with underlying volume growth (UVG) at 4 percent and underlying sales growth (USG) at 5 percent, HUL said in a stock exchange filing.

HUL shares jumped after the earnings release, and were trading up 3.6% at Rs 2,525.2 on NSE at 10.15 am.

Profit after tax before exceptional items declined 5 percent year-on-year to Rs 2,526 crore, while earnings before interest, tax, depreciation, and amortisation (EBITDA) for the quarter stood at Rs 3,718 crore, marginally down from Rs 3,744 crore in the year-ago period. The EBITDA margin declined 130 basis points to 22.8 percent, in line with the company’s guidance, as HUL continued to step up business investments.

Segment-wise performance highlights

Home Care saw 4 percent USG driven by high-single digit volume growth, despite pricing pressures. Fabric Wash delivered mid-single digit volume growth led by Surf Excel, while Household Care posted double-digit volume growth, supported by continued momentum in liquid detergents.

Beauty & Wellbeing posted 7 percent USG and low-single digit UVG. Hair Care delivered mid-single digit growth, while Skin Care and Colour Cosmetics grew in low single digits.

Personal Care delivered 6 percent growth, led by calibrated pricing due to inflation in input costs. Premium soap bars and bodywash led growth in Skin Cleansing, while Oral Care grew mid-single digit, aided by Closeup.

Foods delivered 5 percent USG and mid-single digit volume growth. Tea and coffee grew in double digits, while Ice Cream posted high-single digit volume growth despite weather-led headwinds. Packaged Foods and Lifestyle Nutrition continued to strengthen market positions.

New product launches and innovation

The company launched several new products during the quarter. HUL also integrated Uprising Science Pvt Ltd (USPL), the company behind the Minimalist brand, which it acquired for Rs 2,706 crore in April 2025. Financials of USPL were included in Q1 results.

Tax impact and exceptional items

HUL said that a one-off re-estimation of tax provisions relating to prior years resulted in lower tax outgo, boosting the reported PAT by 12 percent. Exceptional items amounted to a Rs 127 crore charge, including Rs 91 crore in restructuring costs and a Rs 34 crore reversal of an indemnification asset.

CEO outlook

Commenting on the results, HUL CEO and MD Rohit Jawa said: “FMCG demand has continued to remain stable, with a gradual uptick in recency. Encouraged by favourable macro-economic indicators, we strategically stepped up our investments to effectively advance our portfolio transformation agenda. This has resulted in competitive, broad-based growth with a USG of 5 percent, driven by UVG of 4 percent.”

Looking ahead, Jawa added that HUL expects the recovery trend to continue and reiterated confidence in the company’s ASPIRE strategy to drive growth through innovation, digital acceleration, and strengthening presence in future-ready channels and segments.

The company’s board approved the financial results at its meeting held on July 31.