HUL: Dividend declared despite flat growth, call recording released

Hindustan Unilever Limited announced its consolidated results for the quarter ended September 30, 2025, with sales growing 2% to ₹16,061 crores and profit after tax increasing 4% to ₹2,694 crores. This growth comes despite flat underlying volume growth and a 90 basis points decline in EBITDA margin to 23.2%, influenced by GST rate rationalization and prolonged monsoon conditions. The company's board declared an interim dividend of ₹19 per equity share for the financial year ending March 31, 2026, with the record date set for Friday, November 7, 2025, and payment on Thursday, November 20, 2025.

The company's strategic response to the new age GST reforms involved agile pricing and grammage actions across over 1,200 SKUs, impacting approximately 40% of its portfolio transitioned to 5% GST. Home Care, Beauty & Wellbeing, Personal Care, and Foods segments all experienced varying impacts from the GST transition and market conditions, with Beverages maintaining double-digit growth.

Hindustan Unilever's near-term outlook anticipates continued GST-related disruption into October, with normal trading conditions expected from early November. The company expects the second half of FY26 to outperform the first half, maintaining EBITDA margins at current levels, excluding Ice Cream, to support business investment.