JQ'20: Resilient performance with strong fundamentals
In a challenging context of COVID-19 disrupting markets and operations, HUL delivered a resilient performance with reported turnover growth of 4% and Profit after tax and before exceptional items growing by 7%. Domestic Consumer Growth (excluding impact of merger with GSK CH India) stood at -7%. Heath, Hygiene and Nutrition constituting c.80% of our portfolio delivered healthy mid-single digit domestic consumer growth. The integration of GSK-CH's nutrition business with us was done seamlessly with good performance on both growth and margins.
Home Care: Competitive growth in Fabric Wash and Household Care with our portfolio addressing the 'Clean living' needs of consumers. Household Care grew strongly on back of penetration led gains. Domex's credentials of destroying Coronavirus in just 60 seconds is resonating well with consumers. In Fabric Wash, our diversified portfolio straddling the price-benefit pyramid has yielded resilient performance. Surf excel ran a contextual campaign #DaagGharPeRahenge. Performance of Purifiers which are in the nature of 'Consumer Durable' was impacted severely by the lockdown.
Beauty & Personal Care: Skin Cleansing led by Lifebuoy delivered strong double-digit growth across formats. We have significantly stepped up capacities in both hand wash and hand sanitizers to meet the consumer needs. Lifebuoy is making the 'good habit of handwashing' viral with campaigns across platforms.
Foods & Refreshment: Riding on the 'In-home, wellness and immunity' trends, Foods, Tea and Coffee delivered strong performance with double digit growths. Red Label extended its long-running 'Taste of Togetherness' campaign through a simple yet contemporary message of 'We can be socially connected even while we are physically distant'. Ice Creams, foods solutions and our vending businesses which are driven primarily by out of home consumption were massively impacted by the lockdown and closure of restaurants / eateries. Domestic Nutrition business performed well; immunity boosting Horlicks with added Zinc was launched in the quarter.
Cost agility helps sustain healthy margins: The negative impact of adverse mix and higher COVID-19 related costs were deftly managed by dialing up savings and unlocking synergies of GSK-CH merger enabling us to sustain healthy EBITDA margins of 25%. We continued to remain competitive in our brand and marketing support spends in the quarter. Profit after tax (bei) at
Special Dividend
The Hon'ble
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