Hindustan Unilever has posted a net profit of Rs 8,721.30 mn for the quarter ended March 31, 2014 as compared to Rs 7,872.00 mn for the quarter ended March 31, 2013. Total Income has increased from Rs. 65716.40 mn for the quarter ended March 31, 2013 to Rs. 72447.30 mn for the quarter ended March 31, 2014.
Skin cleansing products delivered a double digit growth, aided by a step up in price growth. Growth was broad based across brands with the liquids portfolio seeing accelerated growth. In laundry, growth was led by the premium segment with Surf maintaining its double digit growth momentum and Rin delivering good growth on the bars portfolio. Wheel growth stepped up on the back of its re-launch in the last quarter. Comfort Fabric Conditioners continued leading the market development with sustained high growth. Vim led the performance in Household Care.
Skin care segment grew well. The re-launch of Fair & Lovely, with the new ‘Best Ever Formula’ and supported by a focussed activation plan, is yielding positive results. Ponds had a good quarter at the premium end while Lakme and Dove showed a strong performance. The Facial Cleansing portfolio registered broad based growth driven by innovations launched in previous quarters.
Hair care line sustained volume led double digit growth with Dove delivering another strong performance and Clinic Plus doing well. TRESemme, which saw the addition of a new Split Remedy variant, continued to make a good progress.
In Oral Care, significant investments were made in the category. While Close Up grew in the quarter, Pepsodent was impacted by the high promotional intensity in the market. Actions are underway to step up performance.
Colour Cosmetics maintained its strong innovation led growth momentum across both Lakme and Elle 18. Lakme continues to strengthen its position in premium make up driven by a range of exciting and contemporary offerings.
In beverages, tea sustained double digit growth on the back of stepped up volumes. Taj Mahal, Red Label and 3 Roses grew in double digits. The thrust on leading market development for tea bags saw flavoured and green tea bags more than double sales in the quarter. In Coffee, Bru Gold continued to perform well.
Packaged Foods, Kissan registered another strong quarter with growth accelerating on both Ketchups and Jams, driven by impactful activation while Knorr growth continued to be led by Instant Soups which more than doubled volumes. Ice Creams saw strong growth arising from the selling of Magnum which was extended to 4 other cities, and sharper in-market execution on Kwality Walls.
Profit before interest and tax (PBIT) grew by 11 percent and PBIT margin improved by 30 bps. Profit after tax before exceptional items, PAT (bei), grew by 7 percent to Rs 832 crores while Net Profit at Rs. 872 Crores was up 11 percent.