HUL Q3FY14 Result : In line With Expectation With Volume Growth Of 4%

Hindustan Unilever (HUL), one of the largest fast moving consumer goods company in India, today (January 27, 2013), came up with its December quarter FY14 result. The company posted good set of numbers during the quarter on yearly basis. Total income of the company stands at Rs 7223.4 crore against Rs 6654.8 crore in Q3FY13. HUL's bottomline jumped by 22% stands at Rs 1062 crore for Q3FY14.

On operating expenses front, the company's total expenses increased to Rs 5996.6 crore from Rs 5566 crore in Q3FY13, mainly due to the increase in cost of material consumed and higher advertising & promotional expenses. Whereas, the expenses remained flat for the quarter as a proportion of revenue to 83% (YoY).

Further, moving on to the operational front, EBITDA stands at Rs 1226.8 crore, with a growth of 13% on yearly basis and the EBITDA margin also strengthened by 62 basis points to 16.98%.

On volumes side, during Q3FY14, HUL showed a volume growth of 4% in its underlying products. Though the volume growth has lowered on sequential basis from 5% in Q2FY14.

Out of its four revenue segments, its personal care product segment posted highest growth of 12% reached to Rs 2304 crore. In this segment, the income was primarily driven by skin care and oral care products. Hair care products also showed a good momentum in the sales.

Its major revenue contributor soaps and detergents segment sales grew by 7% on yearly basis to Rs 3398 crore. It was majorly driven by the skin care soaps such as Dove, Pears, Lifebuoy and Breeze. Also, in the detergent segment the growth was driven by its premium products surf Excel and Rin. The other two segments beverages and packaged foods segment also showed a significant growth during Q3FY14.

The stock price closed 1.71% higher at Rs 575.55 during the today's trading session.