Shares of Hindustan Unilever Ltd. (HUL) rallied sharply in early trade, rising nearly 5% to ₹2,349 on the NSE, recovering from the recent weakness seen after its Q4 FY26 results announcement. The stock had declined around 3% in the previous session following a sharp spike post-results on April 30, indicating profit booking at higher levels.
The rebound comes as investors reassess the company’s strong underlying performance and management commentary, which pointed to improving demand trends and a better outlook for FY27 despite global uncertainties.
HUL reported a strong set of numbers for the March quarter, with net profit rising 20.9% year-on-year to ₹2,992 crore compared to ₹2,475 crore in the same period last year. Revenue from operations grew 7.6% YoY to ₹16,351 crore, while EBITDA increased 6% to ₹3,841 crore.
Margins remained largely stable, with EBITDA margin at 23.5% compared to 23.8% a year ago, reflecting continued cost pressures but disciplined execution. Notably, the company delivered volume growth of 6%, exceeding analyst estimates of 4–5%, which is being seen as a key positive by the market.
Management commentary also played a crucial role in driving the stock higher. HUL CEO & MD Priya Nair reiterated that FY27 is expected to be better than FY26, even as geopolitical concerns such as the West Asia crisis continue to create uncertainty. The company maintained confidence in its growth trajectory, signalling resilience in both demand and execution.
The initial negative reaction post-results is being attributed largely to profit booking after the stock had rallied ahead of earnings. However, with the strong volume-led growth and positive forward guidance, buying interest has re-emerged, supporting the sharp recovery in today’s session.
The move also reflects broader investor preference for FMCG majors offering stable growth visibility in a volatile macro environment.
Disclaimer: This article is for informational purposes only and does not constitute investment advice.