Hindustan Unilever Limited · NSE:HINDUNILVR
Hindustan Unilever — Q1 FY2025 Earnings Presentation
25 slides from Hindustan Unilever's earnings presentation, Jul 23, 2024
Slide 1: Stock exchange disclosure cover letter
23rd July, 2024 Stock Code BSE: 500696 NSE: HINDUNILVR ISIN: INE030A01027 BSE Limited, National Stock Exchange of India Ltd Corporate Relationship Department, Exchange Plaza, 5th Floor, 2nd Floor, New Trading Wing, Plot No. C/1, G Block, Rotunda Building, P.J. Towers, Bandra – Kurla Complex, Dalal S
Slide 2: Hindustan Unilever Limited JQ'24 Results
Hindustan Unilever Limited JQ’24 Results 23rd July 2024 Sensitivity: Public
Slide 3: Safe harbour statement
JQ’24 Results Safe harbour statement This Release / Communication, except for the historical information, may contain statements, including the words or phrases such as ‘expects, anticipates, intends, will, would, undertakes, aims, estimates, contemplates, seeks to, objective, goal, projects, should
Slide 4: Rohit Jawa, CEO and Managing Director
Rohit Jawa Chief Executive Officer and Managing Director Sensitivity: Public
Slide 5: Operating environment
JQ’24 Results Operating environment Market Demand Commodity Prices Consumption Trends Gradual recovery in rural demand Range-bound commodity prices More aspirational, more premium, continued following an inflation-deflation cycle more digital Our Priorities – Accelerate volume growth, Strengthen com
Slide 6: Financial Highlights
JQ’24 Results JQ’24: Financial Highlights Growth Margins Earnings ₹ 15,166 cr. 23.8% ₹ 2,538 cr. Turnover EBITDA % of TO Net Profit 2% +170 bps 3% Underlying Sales Growth Gross Margin vs. JQ’23 EPS Growth vs JQ’23 4% Underlying Volume Growth Underlying Sales Growth (USG) - increase in turnover for t
Slide 7: Competitive performance
JQ’24 Results JQ’24: Competitive performance Corporate Market Shares (MAT) Business Winning Shares (MAT) c. 200 bps L3M @ c. 55% 60% Mar 2021 June 2024 Mar 2021 Dec 2024 Backed by strong business fundamentals 95% + Value Weighted Distribution 75% + Business with stable/ gaining Brand Power Busines
Slide 8: Transform to Outperform: Key Thrusts
JQ’24 Results Transform to Outperform: Key Thrusts Grow the Core through Unmissable Drive Premiumisation Brand Superiority Reshape Portfolio in High Growth Lead in Channels of the Future Spaces Enabled by Distinctive Capabilities Winning in Many Indias Net Productivity Digital Transformation Sustain
Slide 9: Update: Grow the Core through Unmissable Brand Superiority
JQ’24 Results JQ’24 Update: Grow the Core through Unmissable Brand Superiority Newly formulated dishwash bars Bringing science & desire to the providing superior performance forefront of our proposition Product Proposition Packaging Place Promotion Pricing Growing Brand Power Gaining Market Share Br
Slide 10: Update: Drive Premiumisation
JQ’24 Results JQ’24 Update: Drive Premiumisation Leading trends Leveraging technology Delivering new formats & benefits Premium portfolio contribution up by c.300 bps over the last 3 years Premium contribution basis Nielsen categorization (HUL relevant categories with categorization available) 9 Sen
Slide 11: Update: Reshape Portfolio in High Growth Spaces
JQ’24 Results JQ’24 Update: Reshape Portfolio in High Growth Spaces Home Care liquids Big Bets in Beauty Bodywash International Cuisine Portfolio growth: c. 20% UVG & 50%+ in E-com UVG for JQ’24 10 E-com growth on Gross Sales Value for JQ’24 Sensitivity: Public
Slide 12: Update: Lead in Channels of the Future
JQ’24 Results JQ’24 Update: Lead in Channels of the Future Leading category growth in Modern Trade Designing for customer in E-com Digital Selling Hub MT shares > GT shares Growing 3X of Modern Trade High Net Promoter Score >70% Shares as of MAT June’24 based on Nielsen market data (HUL relevant cat
Slide 13: Ritesh Tiwari, Chief Financial Officer
Ritesh Tiwari Chief Financial Officer Sensitivity: Public
Slide 14: Commodity price trends
JQ’24 Results Commodity price trends Commodity prices remain benign on a deflationary base Strategic pricing inline with Material Cost movement JQ’24 Inflation vs. JQ’23 vs. JQ’22 Crude Oil 10% -25% (Brent USD/bbl) Soda Ash (INR/ton) -15% -15% 0% Palm Oil (BMD CPO USD/MT) 0% -45% Skimmed JQ'22 DQ'22
Slide 15: JQ'24 Results
JQ’24 Results JQ’24 Results Topline Gross Margin EBITDA PAT (bei) Underlying Sales Growth Margin Margin INR 2% 50.9% 23.8% ₹ 2,572 cr. 4% +170 bps +20 bps 3% Underlying Volume Growth Change YoY Change YoY Growth YoY A&P Investments at 10.8% is up by c.90 bps YoY as we continue to invest behind our b
Slide 16: JQ'24 Segment Results
JQ’24 Results JQ’24 Segment Results Foods & Home Care Beauty & Wellbeing Personal Care Refreshment Revenue ₹ 5,675 cr. ₹ 3,199 cr. ₹ 2,386 cr. ₹ 3,850 cr. Margins 20% 31% 18% 19% 15 Sensitivity: Public
Slide 17: Home Care
JQ’24 Results Home Care Strong volume led performance USG : 4% UVG : High-single digit growth Fabric Wash: High-single digit volume growth. Broad based performance across segments and formats led by investments in premium and mass brands Household Care: Volumes grew in mid-single digit on the ba
Slide 18: Beauty and Wellbeing
JQ’24 Results Beauty and Wellbeing Volume driven growth led by Hair Care USG : 3% UVG : Mid-single digit growth Hair Care: Double-digit volume growth led by Clinic Plus, Sunsilk and Dove. Focus on innovations and market development actions in high growth demand spaces continues to yield results
Slide 19: Personal Care
JQ’24 Results Personal Care Resilient performance in Skin Cleansing USG : -5% UVG : Low-single digit growth Oral Care: Mid-single digit broad-based growth driven by pricing Skin Cleansing: Low-single digit volume growth while revenue declined due to pricing actions. Bodywash continues to strengt
Slide 20: Skin Cleansing: Introducing Stratos
JQ’24 Results Skin Cleansing: Introducing Stratos A transformational sustainability-linked journey towards product superiority Proprietary technology innovated Clinically and Consumer proven Combining sustainable Palm while over 5 years, 20+ patents filed superior functional benefits reducing wastag
Slide 21: Foods & Refreshment
JQ’24 Results Foods & Refreshment Stable performance, category impacted by a severe summer season USG : 1% UVG : Flat Beverages: Tea continued to cement its market leadership through value and volume share gains. Coffee grew in double digits driven by pricing and strong growth in channels of the f
Slide 22: JQ'24 Results summary
JQ’24 Results JQ’24 Results summary Rs. Crores Particulars JQ’24 JQ’23 Growth Sales 15,166 14,931 2% EBITDA 3,606 3,521 2% EBITDA Margin 23.8% 23.6% + 20 bps Other Income (Net) 172 138 Exceptional Items (48) (37) PBT 3,432 3,365 2% Tax 894 893 Net Profit 2,538 2,472 3% PAT before exceptional items 2
Slide 23: Looking Ahead: Near term
JQ’24 Results Looking Ahead: Near term Outlook Our priorities FMCG and rural demand gradually improving Focused on driving competitive volume led growth Excluding the one-off indirect tax impact in the base: Continued investment behind brands and long-term strategic priorities o Near-zero pr
Slide 24: Hindustan Unilever Limited JQ'24 Results
Hindustan Unilever Limited JQ’24 Results 23rd July 2024 Sensitivity: Public
Slide 25: Standalone results for the quarter ended 30th June 2024 (press release)
STANDALONE RESULTS FOR THE QUARTER ENDED 30th JUNE 2024 4% Underlying Volume Growth, 2% Underlying Sales Growth, 23.8% EBITDA margin Mumbai, 23rd July 2024: Hindustan Unilever Limited (HUL) announced its results for the quarter ended 30th June 2024. June Quarter 2024 Results HUL delivered a robust p