Hindustan Unilever : HUL financial results for March Quarter 2016

The Domestic Consumer business grew by 4% with 6% underlying volume growth. Reported growth was impacted by -110ps arising from the phase out of excise duty incentives. Profit before interest and tax (PBIT) grew by 10% with PBIT margin improving +90 bps, despite the net excise duty impact of -50bps on PBIT. The consistency in margin improvement was delivered even as we continued to make significant investments behind our brands (A&P was up 160bps). Profit after tax but before exceptional items, PAT (bei), grew by 6% to Rs.4078 Crores. Net Profit was at Rs.4082 Crores, with the growth rate impacted by the higher exceptional income arising from subsidiary and property related sales in the previous year. The strong track record of cash generation was sustained with cash from operations exceeding Rs.5000 Crores for yet another year.

The Board of Directors have proposed a final dividend of Rs. 9.5 per share, subject to the approval of the shareholders at the AGM. Together with the interim dividend of Rs. 6.5 per share, the total dividend for the financial year ending 31st March, 2016 amounts to Rs. 16 per share.

Harish Manwani, Chairman commented: 'In challenging markets and a deflationary cost environment, we have delivered another year of competitive and profitable growth. The consistency of our performance is a result of managing our business dynamically, and executing our strategy with even greater rigour and discipline. Our sustained focus on investing behind brands, sharpening our executional capabilities and driving market development has enabled us to keep winning with consumers in a rapidly changing market.'