Q2FY24 Preview: Hindustan Unilever: Revenue seen at Rs. 153,182 million, PAT at Rs. 25,887 million

17 Oct 2023 , 12:21 PM

Result date: October 19, 2023

Recommendation: Add

Target price: Rs. 2,800

Analysts at IIFL Capital Services expect 3.5% volume growth for Hindustan Unilever (HUL) as compared to the year-ago quarter. This growth is marginally higher than what the company reported in previous quarter (3% for Q1FY24). Overall sales growth would be 3%, which implies -0.5% pricing growth.

HUL’s EBITDA margin could witness expansion of 90 basis points over the year-ago quarter and an EBITDA growth of 7%. 

Profit After Tax (PAT) could decline by about 4% as compared to the year-ago quarter.

Important management insights to watch out for:

• Growth trends in the home, beauty and personal care segments
• Margin drivers
• Outlook on premiumization, market share across segments

Rs. Million	September 2023 estimates	YoY change
Revenue	153,182	3.0%
EBITDA	37,203	6.9%
PAT	25,887	(3.7)%

Source: IIFL Research