Hindustan Unilever Limited (HUL) posted a flat underlying volume growth for the September quarter (Q2 FY26), even as its profit after tax (PAT) rose 4% year-on-year to Rs 2,694 crore, according to the company’s consolidated financial results.
The company reported an underlying sales growth of 2%, while gross margin stood at 50.9%, down by 10 basis points (bps) from the same quarter last year. EBITDA margin declined by 90 bps year-on-year to 23.2%, impacted by higher advertising and promotional (A&P) spending, which rose to 10.3% of sales, an increase of 80 bps year-on-year.
Despite the moderation in volume growth, HUL’s performance was supported by steady pricing and resilient demand across its key categories. The FMCG major continues to focus on innovation, premiumisation, and rural expansion as part of its long-term strategy.
The company also announced an interim dividend of Rs 19 per share for the financial year ending March 31, 2026, with the record date set for November 7, 2025, and payout scheduled for November 20, 2025.
Analysts note that the flat volume growth highlights ongoing challenges in rural demand recovery, even as urban consumption remains steady. The focus now shifts to festive season trends and input cost movements in the coming quarter.
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