BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.
Dolat Capital Report
Hindustan Unilever Ltd.’s core business registered 16% sales growth in Q2 FY23 led by ~12% price increase and volume growth of 4%.
Home care segment posted 34% revenue growth with three-year compound annual growth rate of 15%. The growth was led by double digit volume growth and calibrated price hikes during the quarter.
However, 170 basis points contraction in the segmental margin was due to high inflation.
Increase in raw material prices and delayed/restrictive price pass on resulted in 580 bps contraction in gross margin. However, better operating efficiency helped restrict operating profit margin contraction at 170 bps.
Recent softening in select commodity prices is likely to benefit HUL in H2 FY23E. The company expects the gross margin to improve sequentially going ahead, but it would remain lower in YoY basis.
Click on the attachment to read the full report:
DISCLAIMER
This report is authored by an external party. BQ Prime 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 author entity and do not represent the views of BQ Prime.
Users have no license to copy, modify, or distribute the content without permission of the Original Owner.
As a Subscriber you get
Stories
RECOMMENDED FOR YOU
POPULAR