HUL shares drop over 4% despite Q4 topping Street estimates; profit jumps 21% YoY to Rs 2,464 crore

Shares of Hindustan Unilever Ltd (HUL) slipped as much as 4.4% to an intraday low of Rs 2,211 on the BSE on Thursday, despite the FMCG major reporting a consolidated profit of Rs 2,992 crore for the March quarter of FY26, up 21.4% from Rs 2,464 crore in the year-ago period.

Revenue from operations rose 7.6% YoY to Rs 16,351 crore, compared with Rs 15,190 crore in Q4FY25.

EBITDA increased 3.2% to Rs 3,877 crore versus Rs 3,754 crore in the corresponding quarter last year. EBITDA margins stood at 23.7%, improving by 70 basis points YoY. Segment-wise, Home Care grew 9%, marking its strongest performance in 11 quarters, led by double-digit growth in Fabric Wash and high single-digit growth in Household Care.

Beauty & Wellbeing delivered 8% USG with mid single-digit UVG, supported by strong double-digit growth in Hair Care, which continued to strengthen its leadership position. Personal Care grew 5%, with Skin Cleansing posting high single-digit growth, driven by Dove and Lux. Market development initiatives also supported double-digit competitive growth in premium soaps and bodywash.

The Foods segment recorded 5% USG, led by high single-digit UVG. Tea reported low single-digit UVG, while Coffee continued its strong double-digit growth, supported by both volume and pricing.

Priya Nair, CEO and Managing Director, said FY26 saw an improved demand environment backed by supportive macroeconomic policies. She noted that the company undertook several actions to accelerate growth, including portfolio sharpening, higher investments, stronger frontline demand generation and organisational simplification.

She added that the company remains well placed to navigate a volatile environment, supported by strong brands, a robust financial position and operational agility, with a focus on delivering sustainable and competitive growth.The board proposed a final dividend of Rs 22 per share, subject to shareholder approval at the AGM. This is in addition to the interim dividend of Rs 19 per share declared in October 2025, taking the total dividend payout for FY26 to Rs 9,633 crore.

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