HUL Q4 results preview: Hindustan Unilever (HUL), the owner of brands such as Dove, Vim, Surf Excel and Horlicks, is scheduled to release its fourth quarter (Q4FY25) earnings on Thursday, April 24, 2025.
HUL Q4FY25: Profit expectations
Brokerages tracked by Business Standard estimate HUL’s adjusted profit after tax (PAT) at ₹2,447.57 crore on average, indicating a 2.15 percent year-on-year (Y-o-Y) growth compared to ₹2,396 crore a year ago. On a quarter-on-quarter (Q-o-Q) basis, PAT is expected to decline 3.64 percent.
HUL Q4FY25: Revenue Expectations
The company’s revenue for the fourth quarter ended March 31, 2024 is estimated to average ₹14,966.97 crore as against ₹14,693 crore a year ago, i.e. a growth of 1.86 percent year-on-year. Sequentially, revenue may decline 1.5 percent.
Analysts believe price cuts in detergents as well as slower volume growth could sequentially impact top-line growth.
HUL Q4FY25: Key Monitorables
Analysts and investors will keep an eye on the company’s demand outlook in the rural segment as against the urban, competitive intensity, and raw material trends.
These are the expectations analysts have for HUL’s Q4FY25:
Morgan Stanley: The brokerage expects 1.7 percent pricing/mix growth as compared to 1.8 percent in Q3. Further, earnings before interest, tax, depreciation and amortization (EBITDA) margin is expected to remain flat on a year-on-year and quarter-on-quarter basis.
EBITDA for the quarter under review is expected to be ₹3,490.8 crore compared to ₹3,435 crore a year ago and ₹3,570 crore in Q3. EBITDA margin for the fourth quarter is pegged at 23.4 percent, same as a year ago and 23.5 percent in Q3FY25.
Phillip Capital: Analysts at Phillip Capital forecast slower volume growth of 1 percent in Q4. Revenue for the fourth quarter is estimated at ₹15,107.7 crore compared to ₹14,693 crore a year ago.
Further, the company’s homecare division is projected to deliver low-mid single-digit growth led by liquid detergents, beauty and wellbeing. Meanwhile, the personal care segment may remain under pressure.
Ebitda margins are expected to remain under pressure due to rising demand for tea, some improvement in healthier food and beverages and gross margin contraction, with the food segment likely to see a slight recovery.
The brokerage expects Ebitda for Q4 FY25 to be Rs 3464.2 crore as against Rs 3,435 crore a year ago and Rs 3,570 crore in Q3.
Axis Securities: The brokerage expects HUL revenue to grow around 2 percent year-on-year led by a price hike of 1.4 percent led by increase in soap and tea prices. Revenue for the quarter is pegged at Rs 14,973 crore as against Rs 14,693 crore a year ago.
According to Axis Securities, volumes may remain flat due to a continued weak demand environment in the urban market. Ebitda margin is expected to decline mainly due to increase in raw material prices.
The company’s Ebitda is estimated at ₹3,473 crore in Q4FY25 as against ₹3,435 crore in Q4FY24. Ebitda margin is expected to be 23.2 percent in the quarter under review as against 23.4 percent a year ago.
JM Financial Institutional Securities: Analysts at JM believe that the company’s volume growth is likely to remain slow, which along with the reduction in detergent prices will sequentially impact top-line growth.
Top-line (revenue) is estimated to decline 2.3 percent quarter-on-quarter to ₹14,840.1 crore as against ₹15,195 crore in Q3FY25.
In addition, higher raw material costs could impact margins, resulting in stable EBITDA year-on-year. EBITDA for the fourth quarter is estimated at Rs 3,461.2 crore, as against Rs 3,435 crore a year ago. EBITDA margin for the quarter could be 23.3 percent, as against 23.5 percent in Q3 FY25 and 23.4 percent in Q4 FY24.
