Business Standard
- Apr 27

Price hikes to drive HUL Q4 revenue, ad-spends to dent margin: Analysts

HUL Q4FY23 preview: Strong volume growth, along with price hikes are likely to help FMCG giant Hindustan Unilever (HUL) clock revenue growth up to 14.5 per cent year-on-year (YoY) to Rs 15,409 crore in the January-March quarter of FY23 (Q4FY23), forecast analysts. The company will declare results on Thursday, April 27.

According to brokerages, a sequential expansion in Ebitda (earnings before interest, tax, depreciation, and amortisation) margins is expected, amid tapering commodity cost inflation. However, on a YoY basis, Ebitda margins are likely to contract up to 39 basis points (bps) to 23.7 per cent in Q4FY23, due to higher advertising spends.

Besides, analysts said that the company's adjusted profit-after-tax (PAT) will grow up to 14.8 per cent YoY to Rs 2,605 crore in Q4FY23, but moderate sequentially due to lower margins.