ICICI Direct: HUL Leveraging Emerging Trends In Q1

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..ICICI Direct Report.Hindustan Unilever Ltd. Q1 reported 4.4% revenue growth with the inclusion of acquired brands (Horlicks, Boost) revenue. On a like to like basis, revenue fell 7% with 8% volume dip. Despite manufacturing and supply chain disruption in April, May, the home care segment saw mere 2.1% decline in revenues. The company has been able to refill the distributor pipeline by June 2020 to pre-Covid-19 levels. Beauty and personal care segment (BPC) segment saw 12.0% sales decline severely impacted by cosmetics, skin care and deodorants. However, soaps, sanitisers saw a strong surge in demand. The company has augmented hand wash capacity by 5 times to meet the surge in demand aided by increasing hygiene awareness.Foods and refreshments category grew 52% with the inclusion of acquired brands sales. On a like to like basis, revenues fell 4% with ice-cream business severely impacted by lockdown. However, ketchup, tea and coffee witnessed strong double digit growth with increasing in-home consumption. Operating margins contracted 113 basis points with 220 basis points shrinkage in gross margins. The reduction in advertising and promotion (A&P) spend by 393 basis points partially offset the operating de-leverage impact on other costs. Net profit increased 7.2%..Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the brokerage and do not represent the views of BloombergQuint..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

ICICI Direct: HUL Leveraging Emerging Trends In Q1

ICICI Direct: HUL Leveraging Emerging Trends In Q1

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