Latest news with #HUL
Time of India
2 hours ago
- Business
- Time of India
HUL Share Price Live Updates: HUL's Recent Market Performance
02 Jun 2025 | 08:41:14 AM IST Welcome to the HUL Stock Liveblog, your go-to platform for real-time updates and analysis on a top-performing stock. Stay ahead of the market with our in-depth coverage of HUL, including: Last traded price 2348.3, Market capitalization: 551754.52, Volume: 3288892, Price-to-earnings ratio 51.81, Earnings per share 45.32. Get a complete picture of HUL's performance through our comprehensive blend of fundamental and technical indicators. Stay informed about breaking news that can influence the stock's trajectory. Our liveblog equips you with the knowledge and insights needed to make confident investment decisions. Don't miss out on the latest updates as HUL continues to make waves in the market. The data points are updated as on 08:41:14 AM IST, 02 Jun 2025 Show more
Mint
2 days ago
- Business
- Mint
FMCG stocks face margin pressure. Here's why
The fast-moving consumer goods (FMCG) sector is seen as a favourite among investors due to its stable cash flows and performance even in turbulent times. But recently, FMCG companies have been facing a new wave of margin pressure. From rising input costs to subdued demand, multiple forces are compressing the profitability for companies, and the markets are taking notice. Market acknowledgement of this fact is reflected in the performance of the FMCG index. Looking at the broader markets over the past year, the Nifty FMCG index rose 0.96% as compared to a 9.06% increase in the Nifty50. Here's a closer look at why FMCG stocks are under margin pressure right now. Reasons for Margin Pressure At the core of the problem is cost inflation. Sharp price rise in key raw materials- especially palm oil, wheat, maida, potato, cocoa, tea, etc, have pressured margins and have made it necessary for the companies to raise the prices. But companies can pass on these costs through price hikes only to some extent. The confluence of a few macro factors further impacted the margins, which have pushed global commodity prices higher. These factors are: geopolitical disturbances due to the Russia-Ukraine war, the Israel-Hamas war, and reciprocal trade tariffs by the US. Slowdown in various advanced economies, including the US and the UK, and climate change (untimely monsoon, floods, droughts) are the other factors. Managements of various top FMCG giants have highlighted the uncertainty in input costs and remain cautious in their margin guidance in the recent investor presentations. The management of Hindustan Unilever Ltd (HUL) revised FY26 earnings before interest, tax, depreciation, and amortization (Ebitda) margin guidance downward from 23–24% to 22–23% due to inflation. Operating profit margins (OPM) for FY25 of Marico Ltd are lower, from 21% to 20%, while Britannia's margins have fallen from 18% to 16.4%. Further, the pace of real GDP growth decreased from 9.2% in FY24 to 6.5% in FY25. The weakness in consumption was seen in the flat volume growth of the FMCG sector, both in rural and urban areas. To make matters worse, India's consumer food price index fluctuated during the previous fiscal year, with a peak in October 2024 (marking an inflation rate of 10.08%). The cumulative impact of inflationary pressures, as well as low GDP growth, has pulled down household savings and reduced consumption expenditure. Another factor contributing to the margin pressure is the intense competition in the FMCG space, not just from large brands but also from aggressive local players and small direct-to-consumer (D2C) brands. Recovery signs in the FMCG space Despite a weak short-term outlook, the FMCG companies are cautiously positive for the FY26 recovery. Management sees macro factors to normalise soon, including stabilising CPI inflation, easing raw material prices. India's overall retail inflation fell to 3.16% in April 2025, the lowest in nearly six years. Companies are implementing gradual price increases to slowly rebuild and recover their margins without disturbing the demand. Consumption expenditure is expected to pick up slowly due to the continuous recovery in rural demand because of the good monsoon. Further, improvement in urban demand can be seen due to lower inflation levels and tax cuts announced in the Union Budget, which is expected to boost disposable incomes. What could turn things around? The companies are focusing on deepening penetration and distribution in core and growth categories. The companies continue to execute on their strategy of premiumization (a shift towards branded products) and innovation. Companies are improving supply chain management and achieving cost optimization through modern trade, e-commerce, quick commerce, and digital transformation. They are continuously focusing on volume-led competitive growth. Conclusion The FMCG stocks are facing margin pressures right now. Rising input costs, weak demand, and intense competition, all putting pressure on the profitability of the companies and affecting the revenue growth as well. For FMCG companies, the solution lies in premiumization, cost optimization, deeper penetration, and digital transformation. Investors should be selective with stock picking, looking for companies that are adjusting to changing consumer preferences through product innovation and deeper distribution. Investors should evaluate the company's fundamentals, corporate governance, and valuations of the stock before making any investment decisions. Happy Investing. Disclaimer: This article is for information purposes only. It is not a stock recommendation and should not be treated as such. This article is syndicated from
Time of India
2 days ago
- Business
- Time of India
HUL MD's salary up 3.7% to Rs 23 cr in FY25; number of permanent employees falls 8.4%
New Delhi: HUL Managing Director Rohit Jawa's total remuneration in FY25 has witnessed an increase of 3.75 per cent to Rs 23.23 crore, according to the latest annual report of the FMCG major. Jawa's salary was at Rs 3.65 crore along with allowances of 11.45 crore, a bonus of Rs 3.78 crore and a perquisite - long-term incentives of Rs 2.76 crore. The annual report said that Jawa's remuneration was 146.47 times more than the median remuneration of employees. In FY24, Jawa's remuneration was 153.03 time more than median remuneration of employees. Interestingly, the annual report also highlighted a fall of 8.46 per cent in the total number of permanent employees. According to the report, HUL has 6,604 permanent employees on the rolls of the company as on March 31, 2025. However, a year before HUL had 7,215 permanent employees on the rolls of the company as on March 31, 2024. The percentage increase in the median remuneration of employees for the financial year 2024-25 was 8.39 per cent. "Average increase made in the salaries of employees other than the managerial personnel in the financial year was 4.62 per cent and does not include increase on account of promotions. Increase every year is an outcome of Company's market competitiveness as against its peer group companies as well as financial performance," the report said. Jawa, while addressing the shareholders of the company, said in FY'25 HUL witnessed moderation in urban demand and gradual recovery of rural consumption. "Against this backdrop, we remained focussed on driving volume growth and strengthening competitiveness for the business," he said. While HUL chairman Nitin Paranjpe said the business witnessed a challenging operating environment with uneven weather patterns, volatile commodity prices and muted consumer demand. He further said India is "well-poised to deliver strong and consistent growth with rising affluence, a burgeoning middle class, a vibrant young working population empowered by a strong public digital backbone and growth-oriented policies". "Economic development, technological advancements and a better quality of life have fuelled the aspirations of our consumers. These new dynamics present a significant opportunity for the FMCG sector," he said. The company is witnessing a rapid evolution of the Indian consumer with increased digital penetration and access to information. "We are building a robust portfolio for future growth, by sharpening our 'where to play' choices. In line with this, we announced the acquisition of premium science-backed beauty brand, Minimalist. This acquisition is in line with our vision to become the beauty shapers of India," Paranjpe said. In FY'25, HUL divested its water business, Pureit, and announced the decision to demerge its ice cream business, which consists of brands - Kwality Wall's, Cornetto and Magnum. HUL, which owns popular brands such as Rin, Lux, Surf Excel, Pond's, Dove, Horlicks, Bru, Lipton, etc had a turnover of Rs 60,680 crore and its profit after tax was at Rs 10,644 crore.>
Mint
3 days ago
- Business
- Mint
Multi-channel push: From quick commerce to premium beauty, HUL adapts to evolving consumer habits
Hindustan Unilever Ltd (HUL) is expanding its sales channels, including health and wellness stores, premium beauty outlets, and quick commerce, to adapt to evolving consumer shopping habits, said Rohit Jawa, chief executive and managing director of India's largest packaged consumer goods firm, in its 2024-25 annual report. "We now have a dedicated premium retail organisation focused on distributing and creating demand for our premium beauty products through the beauty and pharma channels. New channels have necessitated superior point-of-sale availability. We are leveraging advanced technology expertise to strengthen our presence in modern trade, e-commerce, and the fast-growing quick commerce,' he added. In October 2024, HUL's beauty and well-being portfolio, which includes brands such as Lakme and Dove, went live in 75,000 outlets with the beauty premium retail organisation (PRO). PRO is an exclusive route to market for offline beauty, with 75% coverage focused on health and beauty stores. Meanwhile, HUL's foods category is witnessing a significant expansion in channels such as modern trade stores and e-commerce, including quick commerce, the company said. It has rolled out several exclusive products for such channels. "We had several modern trade and e-commerce exclusive launches in the year, led by Pukka herbal infusions, Bru cold coffee and Korean meal pots. With our premium ice cream portfolio of Magnum, Cornetto and Slow Churn, we continued to strengthen our play in channels of the future, building on the trend of in-home ice cream consumption,' it added. E-commerce currently contributes 7-8% to HUL's business, a share that is growing faster than the company's overall average. This contribution could potentially reach 15% in the next few years, according to the company's management during their post-earnings call for the March quarter. Quick commerce accounts for approximately 2% of the business. HUL's assortment on quick commerce has doubled in 2024-25 compared to a year ago. HUL said e-commerce has evolved into various models. It has set up teams for each model, focusing on future-ready, need-based portfolios. HUL's wide portfolio of over 50 brands reaches over 9 million outlets in India, making it among the most well-distributed packaged consumer goods companies in the country. It has invested ahead of the curve in organised trade, leading to higher market shares and strong leadership positions across categories. The growing demand in modern trade will help drive sales. "We are also investing in e-commerce capabilities to build a strong digital moat…Under the WiMI 2.0 mandate, HUL is also building specialised new routes to market (RTMs) for emerging segments, such as health and wellness, premium beauty, and gourmet food. These channels will help HUL reach more than 70% of the premium beauty and foods markets, while also driving assortment growth,' it added. The company uses the WiMI (winning in many Indias) strategy to understand and reach diverse consumer groups across the country. Apart from premiumization and more consumers trading up to better brands, HUL has also outlined rapid digitisation as a core area of future growth. This includes digitizing Kirana store partners via apps, bolstering e-commerce offers, and spending more on digital marketing channels. The company still draws a majority of its business from kirana stores or traditional sales channels. Kirana stores are vital to any large packaged consumer goods company's distribution and reach in India, making up to 70-80% of their sales. 'Over the last year, we have focused on strengthening this channel with a 'kirana-centric, distributor-inclusive' model. Our strategy involves building stronger relationships with our distributor partners and kirana stores, partnering with them in their journey of digitisation, empowering them with future-fit capabilities to ensure we position them to succeed in the rapidly evolving distribution landscape,' it said. HUL is also 'actively' collaborating with the Government of India's initiative, Open Network for Digital Commerce (ONDC). 'With the help of an integrated module in Shikhar, neighbourhood kiranas can go live on ONDC seamlessly and sell their entire range of products online,' it said.
Time of India
3 days ago
- Business
- Time of India
HUL MD Rohit Jawa's salary rises to 23.23 crore in FY25; permanent workforce down 8.4%
Hindustan Unilever Ltd (HUL) Managing Director Rohit Jawa's total remuneration rose by 3.75 per cent in FY25 to 23.23 crore, according to the company's latest annual report. Jawa's annual pay package included a salary of 3.65 crore, allowances of 11.45 crore, a bonus of 3.78 crore, and long-term incentive perquisites amounting to 2.76 crore, PTI reported. The report stated that Jawa's remuneration was 146.47 times more than the median remuneration of employees. In FY24, the ratio was higher at 153.03 times. Meanwhile, the number of permanent employees at the FMCG major fell by 8.46 per cent. HUL had 6,604 permanent employees on its rolls as of March 31, 2025, compared to 7,215 the previous year. The median remuneration of employees increased by 8.39 per cent in FY25. 'Average increase made in the salaries of employees other than the managerial personnel in the financial year was 4.62 per cent and does not include increase on account of promotions. Increase every year is an outcome of the company's market competitiveness as against its peer group companies as well as financial performance,' the annual report noted. Addressing shareholders, Jawa said FY25 saw a moderation in urban demand and a gradual recovery in rural consumption. 'Against this backdrop, we remained focussed on driving volume growth and strengthening competitiveness for the business,' he said. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Giao dịch CFD với công nghệ và tốc độ tốt hơn IC Markets Đăng ký Undo HUL Chairman Nitin Paranjpe said the company navigated a challenging operating environment, marked by uneven weather patterns, volatile commodity prices, and muted consumer demand. He added that India is 'well-poised to deliver strong and consistent growth with rising affluence, a burgeoning middle class, a vibrant young working population empowered by a strong public digital backbone and growth-oriented policies.' 'Economic development, technological advancements and a better quality of life have fuelled the aspirations of our consumers. These new dynamics present a significant opportunity for the FMCG sector,' he said. Paranjpe said HUL is witnessing a rapid evolution of the Indian consumer due to greater digital access and information. 'We are building a robust portfolio for future growth, by sharpening our 'where to play' choices. In line with this, we announced the acquisition of premium science-backed beauty brand, Minimalist. This acquisition is in line with our vision to become the beauty shapers of India,' he said. In FY25, HUL also divested its water business, Pureit, and announced the decision to demerge its ice cream division, which includes brands such as Kwality Wall's, Cornetto and Magnum. The company, which owns brands like Lux, Rin, Surf Excel, Pond's, Dove, Horlicks, Bru, and Lipton, reported a turnover of 60,680 crore and a profit after tax of 10,644 crore in FY25. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
