HUL Shares Plunge 6% After Earnings Miss

New Delhi, Oct 24 (PTI) Shares of FMCG major Hindustan Unilever Ltd (HUL) on Thursday tumbled nearly 6 per cent after the firm reported a 2.33 per cent decline in consolidated net profit for the second quarter ended in September.

The stock tanked 5.78 per cent to Rs 2,504.15 on the BSE.

At the NSE, it plunged 5.86 per cent to Rs 2,503.25.

The stock emerged as the biggest laggard among the Sensex and Nifty firms during the morning trade.

Hindustan Unilever Ltd on Wednesday reported a 2.33 per cent decline in consolidated net profit at Rs 2,595 crore for the second quarter ended in September 2024, impacted by moderation in demand from the urban market.

The company had logged a net profit of Rs 2,657 crore in the July-September quarter a year ago, HUL said in a regulatory filing.

However, revenue from product sales was up 2.36 per cent at Rs 15,703 crore in the September quarter, from Rs 15,340 crore in the year-ago period, HUL which owns power brands such as Surf, Rin, Lux, Pond's, Lifebuoy, Lakmé, Brooke Bond, Lipton and Horlicks said.

"In the September quarter, FMCG demand witnessed moderating growth in urban markets, while rural continued to recover gradually. In this context, we delivered a competitive and profitable performance," HUL CEO and Managing Director Rohit Jawa said.