"Hindustan Unilever (HUL) matched street estimates with the fourth quarter profit rising 16.7 percent year-on-year to Rs1,018 crore compared to Rs872 crore in the year-ago period."

1. Standalone Results In Cr.
Particulars Qtr Ending Qtr Ending
Mar 15 Mar 14 Var. (%)
Sales 7675.63 7094.10 8
OPM (%) 17.20 15.20
OP 1318.18 1077.55 22
Other Income 98.41 150.63 -35
PBIDT 1416.59 1228.18 15
Interest (Income)/expenses 0.00 5.33 -100
PBDT 1416.59 1222.85 16
Depreciation 70.52 65.77 7
PBT before EO 1346.07 1157.08 16
Exceptional Items 179.40 66.03 172
PBT after EO 1525.47 1223.11 25
Total Tax 507.39 350.98 45
Net profit 1018.08 872.13 17
EPS 4.71 4.03
May 14, 2015Hindustan Unilever Limited
Current Price:
Price (`) 843.05
52 W H/L(`) 979.00/554.55
Mkt. Cap.(` Cr) 182390.91
Latest Equity(Subscribed) 216.35
Latest Reserve 3507.76
Latest EPS-Unit Curr. 17.80
Latest P/E Ratio 47.36
Latest Bookvalue -Unit Curr. 17.21
Latest P/BV 48.99
Dividend Yield -% 1.54
Face Value 1.00
VALUE PARAMETERS
`843.05
STOCK DATA
BSE Code 500696
NSE Symbol HINDUNILVR
Reuters HLL.BO
Bloomberg HUVR IN
Hindustan Unilever (HUL) matched street estimates with the fourth quarter profit
rising 16.7 percent year-on-year to `1,018 crore compared to `872 crore in the
year-ago period.
The net sales have increased by 8% to `7675.63 crore. The Domestic Consumer business grew
at 9%, with 6% underlying volume growth, both ahead of market.
In Soaps and Detergents, growth sustained. Skin Cleansing delivered volume-led growth driven
by Lifebuoy, Liril and Pears. The liquids portfolio registered another strong quarter led by
Lifebuoy Handwash. In Laundry, growth was led by the premium segment with Surf
maintaining its volume led double digit growth momentum and Rin delivering good growth on
the bars portfolio. Comfort Fabric Conditioners continued to do well. Vim led the performance in
Household Care. The quarter witnessed price deflation across these categories, as the benefit
of lower commodity costs was passed on to consumers.
Personal Products growth steps up across all categories. Skin Care delivered double digit
growth driven by Fair and Lovely and Pond's. Fair and Lovely continued to perform well while
Pond's growth was led by premium skin lightening and talc.
Hair Care sustained its strong volume led growth momentum with broad based double digit
growth. Dove led the category performance while Clinic Plus, Sunsilk and TRESemmé continued
to make very good progress.
In Oral Care, Close Up registered double digit growth on the back of impactful activation.
Pepsodent growth was driven by Gum Care and Clove & Salt variants.
Colour Cosmetics delivered innovation led double digit growth with Lakme continuing to
strengthen its position in premium make up, driven by a range of exciting and contemporary
offerings from Absolute and 9 to 5.
Beverages had strong growth in Tea and Coffee. Tea delivered double digit growth led by Taj
Mahal, Red Label and 3 Roses. Lipton Green Tea registered another quarter of high growth on
sustained market development. In Coffee, the performance was driven by Bru Gold, which
continued to lead category premiumization.
1
SHARE HOLDING PATTERN (%)
Description as on % of Holding
31/03/2015
Foreign 15.37
Institutions 3.82
Non Promoter Corp. Hold. 1.13
Promoters 67.23
Public & Others 12.45
®

2. 2
Standalone Segmented Results
In Cr.
Particulars Qtr Ending Qtr Ending Var %
Mar 15 Mar 14 (%) of total
Soaps & Detergents 3673.71 3497.12 5 48
Personal Products 2249.68 1983.29 13 29
Beverages 976.15 869.04 12 13
Packaged Foods 476.83 419.68 14 6
Others 294.70 295.79 0 4
Total 7671.07 7064.92 9 100
Segment Results (PBIT)
Soaps & Detergents 488.25 421.71 16 37
Personal Products 624.52 495.81 26 48
Beverages 181.61 163.04 11 14
Packaged Foods 25.40 22.96 11 2
Others -7.83 -25.05 -69 -1
TOTAL 1311.95 1078.47 22 100
Packaged Foods had sixth successive quarter of double digit growth. Market development
continues to be the focus, resulting in double digit growth across all key brands. Kissan
sustained its strong activation-led growth momentum while Knorr registered volume led
growth as Instant Soups more than doubled sales and new Chinese flavours were added to the
Noodles portfolio. Ice Creams delivered another strong quarter, led by Magnum and sharper in-
market execution on Kwality Walls. A new variant, Magnum Choco Cappuccino was introduced
during the season.
Pureit growth was led by the premium segment with Ultima (RO+UV) continuing to deliver
strongly. The quarter saw the launch of a new Marvella (RO+UV) device.
Input costs were benign and this is reflected in the reduction in cost of goods sold. Investment
behind brands was sustained at competitive levels. The margin for the quarter includes a one-
time credit of Rs 71.5 crore towards a favourable outcome for a contested matter on Excise
Duty.
As a result, OPM inclined by 198 bps to 17.2%. There was fall in raw material cost by 220 bps to
38.08%, purchase of traded goods by 128 bps to 11.88%, employee cost by 20 bps to 5.05%
and other cost by 30 bps to 14.49% of adjusted net sales. However, there was rise
advertisement & promotion (ASP) cost by 170 bps to 13.36% of adjusted net sales. The
operating profit inclined by 22% to `1318.18 crore.
Other income has decreased by 35% to `98.41 crore, which includes interest income, dividend
income and net gain on sale of other non-trade current investments. Depreciation inclined by
7% to `70.52 crore. Profit before tax and exceptional item inclined by 16% to Rs 1346.07 crore.
There was an exceptional income of `179.40 crore, growth of 172%. Exceptional items includes
profit on sale of surplus properties `70.7 crore, profit on sale of wholly owned subsidiary Brooke
Bond Real Estate Pvt Ltd `168.97 crore, reduction in provision for retirement benefit arising out
of change in actuarial assumption of `5.37 crore and restructuring cost of `2.02 crore. The
profit before tax and after exceptional items has inclined by 25% to `1525.47 crore.
Tax outgo has increased by 45% to `507.39 crore. The effective tax rate was increased from
28.69% to 33.26%. The net profit has increased by 17% to Rs 1018.08 crore due to increase in
OPM and EO income.
®

3. 3
®
Segmented results
Soaps & detergents: At standalone level, the revenue has increased by 5% to `3673.71 crore
for Q4 FY15. PBIT margins had inclined by 120 bps to 13.3%. As a result, PBIT had increased by
16% to `488.25 crore. The category contributed around 48% to the revenues while the
contribution to PBIT stood at 37%.
Personal care: At standalone level, the revenues grew 13% to `2249.68 crore for Q4 FY15.
PBIT margin have increased by 280 bps to 27.8%. As a result, the PBIT has increased by 26% to
`624.52 crore. The category contributed around 29% to the revenues while the contribution to
PBIT stood 48%.
Beverages: At standalone level, the sales grew by 12% to `976.15 crore for Q4 FY15. The
segment contributed 13% to the total revenues. PBIT margin has declined by 20 bps to 18.6%.
As a result, PBIT has inclined by 11% to `181.61 crore. It contributes 14% to the total PBIT.
Packaged Foods: At standalone level, the sales have increased by 14% to `476.83 crore for
Q4 FY15. The segment contributed 6% to the total revenues. PBIT margin declined by 14 bps to
5.3%.The PBIT has increased by11% to Rs 25.40 crore.
Other Business
At standalone level, the sales stood at `294.70 crore for Q4 FY15. The segment contributed 4%
to the total revenues. The loss at PBIT level decreased by 69% to `7.83 crore.
Other Developments
The Board of Directors has proposed a final dividend of `9 per share, subject to the approval of
the shareholders at the AGM. Together with the interim dividend of `6 per share, the total
dividend for the financial year ending 31st March, 2015 amounts to `15 per share.
Management Comments
Harish Manwani, Chairman commented: We have delivered another year of strong
performance with broad based growth ahead of the market and sustained margin
improvement. Our strategy remains focused on strengthening the core of our business through
innovation, leading market development and continuous improvement of our executional
capabilities. Despite market challenges, our strategic agenda remains unchanged as we
continue to manage our business even more dynamically for growth that is consistent,
competitive, profitable and responsible.

4. 4
®
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