HUL Reports Q2 Net Profit at ₹2,796 Crore, Revenue Up 14.8%

Fast-moving consumer goods (FMCG) major Hindustan Unilever (HUL) has released its financial results for the second quarter of the financial year 2026-27. The company reported a steady year-on-year consolidated net profit of ₹2,796 crore for the September quarter. This performance follows a base period that included an elevated ₹273-crore one-off tax gain. In the corresponding quarter of the previous year, HUL had logged a net profit of ₹2,791 crore.

Revenue from the sale of products grew by 14.77 per cent to reach ₹18,037 crore during the quarter under review, compared to ₹15,715 crore in the same period a year ago. Total income, which includes other income, increased by 14.44 per cent to ₹18,386 crore. For the first half of the financial year, the total consolidated income stood at ₹35,915 crore, marking a 12.15 per cent increase.

HUL highlighted a strong underlying volume growth (UVG) of 7 per cent for the September quarter. According to the company, this marks its highest underlying sales growth recorded over the last 14 quarters. For the first half of the fiscal year, the UVG stood at 6 per cent.

Priya Nair, CEO and Managing Director of HUL, stated that the underlying volume growth reflects sustained momentum driven by the company's focus on crafting desirable brands and strengthening its go-to-market strategies. Nair noted that the Indian economy remains resilient with healthy macroeconomic indicators supporting a positive consumption environment, and added that the company continues to invest in long-term capabilities aligned with its 'Winning in New India' strategy.

On the profitability front, HUL reported an 8 per cent year-on-year increase in EBITDA, bringing it to ₹4,089 crore. The EBITDA margin stood at 22.6 per cent, staying within the company's guided range. Profit after tax (PAT) before exceptional items grew by 9 per cent year-on-year. However, reported PAT remained flat due to the ₹273-crore tax-related gain recorded in the exceptional items of the base period.

Total expenses for the reported quarter rose by 15.8 per cent year-on-year to reach ₹14,574 crore.

Alongside its financial results, the board of HUL declared an interim dividend of ₹19 per share for the financial year 2026-27. In early morning trade on the BSE following the announcement, shares of HUL were trading at ₹1,782.20 apiece, down 2.08 per cent.

"Hindustan Unilever's Q2 performance demonstrates the strength of volume-led growth in a resilient macroeconomic environment. Achieving their highest underlying volume growth in fourteen quarters indicates that consumer demand in the FMCG sector is stabilizing positively. For entrepreneurs and businesses, this steady expansion highlights the importance of anchoring strategies on core market strengths, efficient distribution, and continuous investment in brand loyalty to navigate rising operational expenses effectively." — Dr. Shishir Gupta, Founder & CEO, StartupLanes