FMCG major Hindustan Unilever Ltd (HUL) reported a 3.8% increase in consolidated net profit to ₹2,694 crore for the second quarter ending September 2025, compared with ₹2,595 crore in the same quarter a year ago.
Revenue for the quarter rose 2.1% to ₹16,034 crore, up from ₹15,703 crore in the corresponding period of 2024.
The company posted a consolidated Underlying Sales Growth (USG) of 2% and flat Underlying Volume Growth (UVG) for the quarter, reflecting a transitory impact from recent Goods and Services Tax (GST) reforms and prolonged monsoon conditions in certain parts of the country.
Total expenses rose 3.32% to ₹12,999 crore, while total income, including other revenue, increased 1.5% to ₹16,388 crore.
HUL’s board approved an interim dividend of ₹19 per share for fiscal year 2026 at a meeting held on Thursday.
The company’s performance highlights resilience amid temporary market adjustments caused by regulatory changes, which temporarily affected consumption patterns and product pricing.
Priya Nair, CEO and Managing Director of HUL, said the company delivered a competitive performance with a USG of 2% and an EBITDA margin of 23.2% for the quarter.
She noted that the recent GST reforms are expected to drive consumption by increasing disposable income and enhancing consumer sentiment, though the market needed time to adjust to the changes.
Nair added that the company anticipates normal trading conditions to return from early November, enabling a gradual and sustained market recovery.
Shares of HUL were trading at ₹2,597.60 apiece on the BSE on Thursday, up 0.23%, reflecting positive investor sentiment after the earnings announcement.
Analysts at Bloomberg and Reuters observed that while the quarter saw modest growth, HUL’s performance remained stable amid macroeconomic headwinds, highlighting the company’s strong portfolio and distribution network.
Industry experts noted that HUL’s steady earnings underscore the resilience of India’s FMCG sector despite regulatory transitions and weather-related challenges.
The company’s focus on premiumization, digital initiatives, and rural penetration continues to support growth, even as GST adjustments temporarily moderated consumer demand.
The results mark HUL’s continued ability to navigate structural shifts in the market, maintain profitability, and provide consistent shareholder returns.
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