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HUL turns volatile after Q3 results
(14:39, 06 Feb 2012)

The result was announced during trading hours today, 6 February 2012. Soon after the result was announced, the stock rose as much as 2.45% to hit the day's high of Rs 410.50. However, selling emerged at higher levels that dragged the stock down to an intraday low of Rs 395.60 later.

Meanwhile, the BSE Sensex was up 79.15 points, or 0.45%, to 17,684.11.

On BSE, 9.51 lakh shares were traded in the counter as against an average daily volume of 2.95 lakh shares in the past one quarter.

The stock hit a high of Rs 410.50 and a low of Rs 395.60 so far during the day. The stock had hit a record high of Rs 420 on 26 December 2011. The stock had hit a 52-week low of Rs 264.50 on 21 March 2011.

The stock had underperformed the market over the past one month until 3 February 2012, falling 1.72% compared with the Sensex's 10.45% rise. The scrip had, however, outperformed the market in past one quarter, gaining 4.87% as against 0.70% rise in the Sensex.

The large-cap FMCG major has an equity capital of Rs 221.41 crore. Face value per share is Re 1.

Hindustan Unilever (HUL) said during the quarter, its domestic consumer business grew at 16.5% with strong underlying volume growth of 9.1%. All segments delivered double digit growth.

Soaps and detergents segment grew by 21%. Personal products segment delivered broad-based volume led growth of 14% with strong performance in skin and hair segment.

Beverages segment delivered competitive growth of 11% with both tea and coffee segment growing in double digits. Packaged foods segment grew by 14% and continued to lead market development.

The company said its strategy on water business is on track with expansion of Pureit portfolio.

HUL said inflationary pressures during the quarter were primarily on account of currency depreciation. Cost pressures were managed dynamically through aggressive savings programmes coupled with judicious pricing. Cost of Goods Sold was up by 140 basis points. Brand investment continued to be competitive with advertising and promotional charges at 11.8% of turnover.

Harish Manwani, Chairman, commented, We have delivered another strong quarter of competitive growth with improvement in margins. The results, delivered against a backdrop of an uncertain economic environment, are reflective of the strength of our brands, consistency in our strategy and relentless focus on execution. We will continue to manage our business dynamically to deliver competitive, profitable and sustainable growth.

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