Synopsis:
HUL reported Q1 FY26 revenue of Rs. 16,514 crore and net profit of Rs. 2,768 crore. Strong growth in Beverages and Foods; management expects better H1 FY26, margin improvement, and volume-led growth.
During Thursday’s trading session, shares of India’s largest Fast-Moving Consumer Goods (FMCG) company moved up by nearly 4.2 percent on BSE, after the company reported financials for Q1 FY26 along with a near-term outlook.
At 12:33 p.m., the shares of Hindustan Unilever Limited were trading in the green at Rs. 2,520.2 on BSE, up by around 3.4 percent, as against its previous closing price of Rs. 2,437, with a market cap of Rs. 5.92 lakh crores. The stock has delivered negative returns of around 7 percent in the last one year, but has gained by around 10 percent in the last one month.
What’s the News
According to the latest regulatory filings on the stock exchanges, Hindustan Unilever Limited announced the financial results for Q1 FY26 on Thursday during market hours.
For Q1 FY26, HUL reported a consolidated revenue from operations of Rs. 16,514 crores, marking around a 5 percent QoQ marginal growth compared to Rs. 15,670 crores in Q4 FY25, and a year-on-year increase of about 5 percent from Rs. 15,707 crores recorded in Q1 FY25.
The company’s net profit for the quarter stood at Rs. 2,768 crores, reflecting a growth of around 12 percent QoQ compared to Rs. 2,475 crores in Q4 FY25, and a slight year-on-year rise of about 6 percent from Rs. 2,612 crores recorded in Q1 FY25. During the quarter, HUL generated around 35 percent of its total revenue, amounting to Rs. 5,777 crore, from its Home Care segment.
The Beauty & Wellbeing segment contributed 22 percent or Rs. 3,631 crore, while Personal Care accounted for 15 percent or Rs. 2,540 crore. The Foods segment made up 24 percent of revenue, totalling Rs. 4,016 crore, and the remaining 3.3 percent, or Rs. 550 crore, came from Other segments.
Foods segment delivered 5 percent underlying sales growth (USG), supported by a mid-single-digit underlying volume growth (UVG). The Beverages segment, comprising Tea and Coffee, recorded double-digit growth. Tea posted high-single-digit growth driven by both price and volume, while Coffee sustained its strong double-digit growth trajectory, primarily led by pricing.
For the near-term outlook, HUL’s management indicated that growth in H1 FY26 is expected to outpace H1 FY25, driven by portfolio transformation and improving macroeconomic conditions. If commodity prices remain stable, price-led growth is likely to remain in the low-single digit range.
Gross margins are expected to improve sequentially, supporting incremental investments. Consolidated EBITDA margin is projected to remain within the 22-23 percent range, with continued focus on competitive, volume-led growth.
Hindustan Unilever Limited is in the Fast moving consumer goods (FMCG) business comprising primarily of Home Care, Beauty & Wellbeing, Personal Care and Foods segments. The company has manufacturing facilities across the country and sells primarily in India.
Written by Shivani Singh
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