HUL Share Price Spikes After Q1 Profit Tops Street Estimates

HUL share price inched higher (Image: Company website)

Shares of Hindustan Unilever Ltd jumped 4.08% in Thursday's trade after the FMCG major reported a better-than-expected consolidated net profit for the June quarter, despite margin pressures and muted Ebitda performance.

HUL posted a consolidated net profit of Rs 2,756 crore for Q1FY26, marking a 5.59% year-on-year increase from Rs 2,610 crore. Revenue rose 5.13% to Rs 16,514 crore, while Ebitda slipped marginally by 0.7% to Rs 3,718 crore.

HUL Standalone Q1 Highlights (YoY)

Revenue up 3.9% at Rs 15,931 crore versus Rs 15,339 crore. (Bloomberg estimate: Rs 15,962.30 crore)
Ebitda down 1.3% at Rs 3,558 crore versus Rs 3,606 crore. (Bloomberg estimate: Rs 3,617.81 crore)
Margin at 22.3% versus 23.5%. (Bloomberg estimate: 22.7%)
Net profit up 7.6% at Rs 2,732 crore versus Rs 2,538 crore. (Bloomberg estimate: Rs 2,583.38 crore)

HUL Consolidated Q1 Highlights (YoY)

Revenue up 5.13% at Rs 16,514 crore versus Rs 15,707 crore
Ebitda down 0.7% at Rs 3,718 crore versus Rs 3,744 crore
Margin at 22.51% versus 23.83%, down 132 bps
Net profit up 5.59% at Rs 2,756 crore versus Rs 2,610 crore

Operating margins contracted by 132 basis points to 22.51%, impacted by a temporary mismatch between pricing and input costs. Volume growth, a key performance metric for the company, stood at 4% for the quarter, reflecting steady consumer demand across categories.

Segment-wise, beauty and wellbeing led with 7% growth, followed by personal care at 6%, foods at 5%, and home care at 4%.

The company had acquired the skincare brand Minimalist and provided an update on its ice cream business demerger, which is expected to be completed by Q4FY26.

On a standalone basis, HUL reported a 7.6% rise in net profit to Rs 2,732 crore, with revenue up 3.9% at Rs 15,931 crore. Ebitda declined 1.3% to Rs 3,558 crore, and margins narrowed to 22.3%.