Hindustan Unilever Ltd. Q4FY20 Result Update
About the Company:
Hindustan Unilever Limited is a pioneer of Indian consumer goods Company based in Mumbai, Maharashtra. It is a subsidiary of Unilever, a British-Dutch company. HUL's products include foods, beverages, cleaning agents, personal care products and water purifiers. The company is serving more than 80 years in the field, every nine out of ten Indian households use their products to feel good, look good and get more out of life.
QoQ & YoY Performance:
India’s leading FMCG Company has declared the results for the fourth quarter of financial year ended on March 2020.
- QoQ Performance: Q4FY Consolidated Net sales/ revenue of the company recorded of Rs. 9,078 crores, significantly lower by 9.02% in December quarter of FY20. While total expenditure (excluding interest and depreciation expenses) stood at Rs. 7,111 crores, is lower by only 6.11%. EBITDA numbers decreased by 10.25%.
- YoY Performance: The Company has reported 9.64% plunge in sales/revenue figures. Expenditure (excluding interest and depreciation expenses) of the company also decreased by 8.92%. EBITDA numbers declined by 5.70%.
- Profitability of the company: Net profits of the company lowered to Rs. 1,520 crores, reduced by 6.81% QoQ and declined by 3.43% YoY.
- Segmental Revenue: The beauty and skin care segment saw significant down fall of 13.80% QoQ revenue numbers to Rs 3,834 crores, the food and refreshment segment figures slump by 4.13% QoQ to Rs 1,788 crore and the home care segment reported 3.07% QoQ slump to Rs 3,350 crores. As well in other products substantial downfall of 28.44% to 239 Crores.
The stock closed at Rs.2195 per share, down by 1.63% in today’s trading session. As per Lokesh Sethia, SEBI Registered, the company did not deliver impressive numbers for the fourth quarter of FY20 along with that due to CoronaVirus led country wide lock down in the country hits major units of the company's business. As per the current price of the stock HUL seems overvalued so he is not recommending the stock and avoid at this price.