{"id":92216,"date":"2026-07-28T19:42:12","date_gmt":"2026-07-28T19:42:12","guid":{"rendered":"https:\/\/www.europesays.com\/britain\/92216\/"},"modified":"2026-07-28T19:42:12","modified_gmt":"2026-07-28T19:42:12","slug":"hindustan-unilever-ltd-bom500696-q1-2027-earnings-call-highlights-strong-revenue-growth","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/britain\/92216\/","title":{"rendered":"Hindustan Unilever Ltd (BOM:500696) Q1 2027 Earnings Call Highlights: Strong Revenue Growth …"},"content":{"rendered":"\n

This article first appeared on GuruFocus<\/a>. <\/p>\n

Turnover: INR17,184 crores, with an underlying sales growth of 10%. <\/p>\n

EBITDA Margin: 23%, within the guided range. <\/p>\n

Absolute EBITDA: INR3,947 crores, an 8% year-on-year growth. <\/p>\n

Profit After Tax Before Exceptional Items: INR2,731 crores, a 9% year-on-year growth. <\/p>\n

Reported Profit After Tax After Exceptional Items: INR2,680 crores, a 2% year-on-year decline due to a one-off tax credit in the previous year. <\/p>\n

Home Care Segment Growth: 14% USG, driven by high single-digit UVG. <\/p>\n

Beauty and Wellbeing Segment Growth: 12% USG, driven by high single-digit UVG. <\/p>\n

Personal Care Segment Growth: 4% USG, driven by price increases. <\/p>\n

Foods Segment Growth: 7% USG, driven by mid-single-digit UVG. <\/p>\n

Boost Brand Milestone: Crossed INR1,000 crore annual turnover. <\/p>\n

Release Date: July 28, 2026 <\/p>\n

For the complete transcript of the earnings call, please refer to the full earnings call transcript<\/a>. <\/p>\n

Positive Points <\/p>\n

Hindustan Unilever Ltd (BOM:500696<\/a>) reported a strong revenue growth of 10% for the quarter, with an underlying volume growth of 5%. <\/p>\n

The company achieved its highest growth in 13 quarters, driven by a balanced contribution from both volume and price increases. <\/p>\n

Home Care segment delivered a 14% underlying sales growth, marking its strongest performance in three years. <\/p>\n

Beauty and Wellbeing segment saw a 12% underlying sales growth, with premium hair care and skin care products performing exceptionally well. <\/p>\n

The company continues to invest in brand development and innovation, with significant investments in advertising and promotion, reaching the highest level in the last 11 quarters. <\/p>\n

Negative Points <\/p>\n

The global environment remains uncertain, characterized by geopolitical tensions and volatile commodity markets, which could impact future performance. <\/p>\n

The Personal Care segment experienced a modest 4% underlying sales growth, primarily due to continued palm oil inflation affecting the soaps category. <\/p>\n

Despite strong top-line growth, the EBIT for the Home Care segment fell, indicating margin pressures. <\/p>\n

The company faces challenges in the mass market segment, with some categories experiencing slower growth compared to premium segments. <\/p>\n

There is ongoing inflation in crude-linked derivatives, necessitating calibrated price increases, which could affect consumer demand. <\/p>\n

Q & A Highlights <\/p>\n

Q: Is there a change in confidence levels regarding FY ’27 compared to three months ago, given the current geopolitical and monsoon conditions? A: Priya Nair, CEO, stated that there is no change in their confidence. They remain well-positioned to navigate volatility with their portfolio, procurement, and supply chain strategies. The economic scenario remains volatile, but they are confident in their ability to manage it. <\/p>\n

Story continues <\/p>\n

Q: What are the reasons for the mid-single-digit volume decline in the soaps business? A: Niranjan Gupta, CFO, explained that the soaps category has been impacted by continued palm oil inflation over two years, affecting pricing. However, they are focusing on premiumization, with brands like Dove and Pears growing in double digits, and expanding the Bodywash category, which has low penetration. <\/p>\n

Q: Can you clarify the stable demand environment expected in the outlook? Does it mean similar volume growth as seen in Q1? A: Priya Nair mentioned they won’t provide quarterly guidance but expect FY ’27 to be better than FY ’26. Demand is expected to remain stable, and they are not seeing inflation-led impacts on FMCG demand. <\/p>\n

Q: How should we think about ad spend, given it has been growing slower than sales growth? A: Priya Nair highlighted that they focus on return on investments, leveraging AI-enabled programs, and procurement savings to achieve efficiency. Niranjan Gupta added that their competitive spend on GRP levels has been increasing, indicating effective media investments. <\/p>\n

Q: Is there a K-shaped growth pattern where premium categories grow faster than mass segments? A: Priya Nair clarified that while premium segments may grow faster, they continue to see competitive growth in both mass and premium categories. It’s important for them to remain competitive across the price spectrum. <\/p>\n

For the complete transcript of the earnings call, please refer to the full earnings call transcript<\/a>. <\/p>\n","protected":false},"excerpt":{"rendered":"This article first appeared on GuruFocus. Turnover: INR17,184 crores, with an underlying sales growth of 10%. EBITDA Margin:…\n","protected":false},"author":2,"featured_media":41713,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[20694],"tags":[39370,13052,39369,39368,21056,12213,21055],"class_list":["post-92216","post","type-post","status-publish","format-standard","has-post-thumbnail","category-unilever","tag-exceptional-items","tag-price-increases","tag-priya-nair","tag-profit-after-tax","tag-sales-growth","tag-unilever","tag-volume-growth"],"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@UnitedKingdom\/116999313383342031","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/posts\/92216","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/comments?post=92216"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/posts\/92216\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/media\/41713"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/media?parent=92216"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/categories?post=92216"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/britain\/wp-json\/wp\/v2\/tags?post=92216"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}