Hindustan Unilever Limited announced its results for the quarter ending 31st December 2015. During the quarter, turnover grew at 3% with 6% underlying volume growth. The growth in the quarter continued to be impacted by the phasing out of Excise Duty incentives and price de-growth, as the benefit of lower commodity costs was passed on to consumers.
During the quarter, the profit of the company declined 22.42% to Rs 971.4 crore from Rs 1,252.17 crore in the same quarter last year. Total Income increased from Rs. 7,894.390 crore for the quarter ended December 31, 2014 to Rs. 8,120.60 crore for the quarter ended December 31, 2015.
Commenting on the Q3 results, Harish Manwani, Chairman, HUL, said, “We have stepped up investment behind our brands and delivered another quarter of profitable volume led growth, consistent with our strategic intent. In an environment of moderating growth and benign input costs, we remain focused on innovation and market development to drive volumes competitively whilst improving operating margins. As channels and markets evolve, we continue to make strategic interventions to strengthen our portfolio and sharpen our executional capabilities to serve our consumers even better”
Soaps and Detergents segment witnessed continued price deflation in the quarter given the benign input costs. Skin Cleansing was driven by strong volume growth on Dove, Pears and Lifebuoy. The liquids portfolio registered another quarter of double digit growth. Household Care performance was driven by Vim.
Personal Products delivered volume led growth driven by Fair and Lovely, Pond’s and Lakme. Hair Care maintained its strong volume led growth momentum, with Dove and TRESemmé leading the category performance. In Oral Care, the overall performance was subdued.
In the Beverages segment Red Label, Taj Mahal and 3 Roses grew well, driven by focused in-market initiatives. Lipton Green Tea registered another quarter of high growth on sustained market development. In Coffee, Bru delivered double digit growth and achieved market leadership. While Packaged Foods sustained market development and recent innovations resulted in another quarter of double digit growth across all key brands.