Hindustan Unilever Limited Q4 FY 2022 Research Tear Sheet

Hindustan Unilever Limited is an Indian consumer goods company.  It is headquartered in Mumbai, India. This is a subsidiary of Unilever, a British company. The company was incorporated in 1931 as Hindustan Vanaspati Manufacturing Co. However, in 1956 after merger it has been named as the Hindustan Unilever Limited. The company has 50+ FMCG brands in India. The shares are traded on both BSE and NSE. The company deals in Foods, cleaning agents, personal care, skin care and water purifiers. The company has wide and diversified portfolio across 15 categories, placed uniquely.

Key Financial Highlights

(Rs in Crores)	31-03-2022	31-03-2021
TOTAL INCOME	13,584	12,241
TOTAL EXPENSES	10,514	9,433
Profit before tax	3,128	2,822
Profit after tax	2,327	2,143

Standalone Highlights

EBITDA margin stood at 24.6%.

PAT increased by 9% year-on-year to at Rs. 2,327 Crores.

Turnover improved by 10% with flat Underlying Volume Growth.

EPS for the quarter stood at Rs 9.90.

Consolidated Highlights

Turnover increased by 11 % to Rs. 50,336 Crores.

EBITDA margin stood at 24.8% with a lower 20bps.

PAT stood at Rs 8,818 Crores with an improvement in 11%.

The company recorded a strong cash generation.

Segment Wise Analysis

The homecare division grew by24% to Rs 4,750 crore with an excellent performance in Fabric Wash and Household Care.  Both the products performed well with a double digit growth. The Beauty & Personal Care shows an improvement of 4% to 4,712. The Skin Cleansing delivered double digit growth driven by strong performance in ‘Lux’, ‘Dove’ and ‘Pears. In Q4 FY 22 the Beauty & Personal Care division has launched few new products which include New Dove Hair Therapy, Sunsilk Onion and Jojoba Oil Shampoo, Lifebuoy’s ‘Powder to Liquid’ Handwash and Lakme’s new range of eye make-up. Foods & Refreshment improved by 5%, driven by solid performance in Beverages, Foods, and Icecream. Food shows a strong growth of Ketchup, Jams and Soups.

Management  Statement

“We are building a strong business. Even in such a difficult year, we have made good progress on our strategic thrust area. This has not only helped us deliver a solid India performance, but have also made us a much stronger business, which is much better prepared to win in this fast-changing world. In the next few slides, I’m going to talk to you about each of the thrusts.”

Sanjiv Mehta — Chief Executive Officer and Managing Director

Management Updates

The company has declaredaninterim dividend of Rs. 15 per share and final dividend of Rs. 19 per share. Hence the total dividend for the year amounts to Rs. 34 per share.

The company has Strong momentum on ESG and Digital transformation.

HUL has achieved highest market share gains in a decade.

Business Updates

HUL announced the appointment of Madhusudhan Rao and Deepak Subramanian to its management committee, for beauty and wellbeing and personal care and home care respectively.

HUL in collaboration with HSBC India and BMC (Brihanmumbai Municipal Corporation), to launch Suvidha Centre in Dharavi, women’s safety a priority here.

Hindustan Unilever Ltd is i a discussion with Mahashian Di Hatti Pvt. Ltd (MDH) to buy a majority stake.