HUL Q2 net rises nearly 22 per cent to Rs689 crore

FMCG major Hindustan Unilever Limited (HUL) has reported a 21.7 per cent increase in the July-September quarter at Rs689 crore, compared to the previous year quarter.

Profit before interest and tax (PBIT) grew 30.1 per cent (PBIT margin was up 130 bps). Profit after tax before exceptional items (PAT) grew 22.3 per cent to Rs652 crore during the quarter. Net Profit at Rs689 crore grew 21.7 per cent.

The board of directors of the company has declared an interim dividend of Rs3.50 per share of Re1 each for the financial year ending 31 March 2012. The dividend, which works out to 350 per cent, will be paid to the shareholders on or after 22 November 2011, HUL said in a filing with the Bombay Stock Exchange (BSE).

 "Against the backdrop of a challenging environment, we have delivered one of our strongest quarters with top line growth well ahead of the market and improved operating margins. We will continue to leverage consumer insights to deliver winning innovations and maintain relentless focus on execution, cost management and building organisational capabilities for competitive advantage," Harish Manwani, chairman, said.

During the quarter, HUL's domestic consumer business grew 18.5 per cent with strong underlying volume growth of 9.8 per cent. Growth has been broad based, and ahead of market. All segments have delivered double digit growth for the third consecutive quarter.

Soaps and detergents business grew 21.8 per cent. Growth in laundry business was ahead of market, underpinned by double digit growth in detergent brands Rin, Surf and Wheel. Skin care products had one of its strongest quarters with all segments of the portfolio performing well. Toilet soap brands Lux and Lifebuoy grew in double digits.