Hindustan Unilever (HINDUNILVR) Q2 26/27 earnings summary

Executive summary

• Q2 turnover ₹18,071 crore; USG 15%, the highest in 14 quarters, and UVG 7%, with broad-based growth across segments.

• PAT before exceptional items was ₹2,795 crore, up 9% YoY; EBITDA was ₹4,089 crore, up 8% YoY.

• H1 turnover ₹35,255 crore; USG 12%, UVG 6% and PAT before exceptional items growth 9%.

Financial highlights

• Consolidated EBITDA margin was 22.6%, down 140 bps YoY; EBITDA grew 8% to ₹4,089 crore.

• Reported Q2 PAT was ₹2,796 crore, flat YoY; the prior-year quarter included a one-off ₹273 crore tax-related gain.

• Gross margin contracted 400 bps YoY; 260 bps of expense leverage offset part of the decline.

• EBITDA margin declined 40 bps sequentially; calibrated pricing, cost savings and overhead leverage supported profitability.

Outlook and guidance

• FY27 expected to outperform FY26, supported by portfolio and channel transformation and resilient underlying demand.

• Medium-term EBITDA margin guidance remains 22%–24%; near-term commodity inflation is expected to persist, with calibrated price increases in measured steps.

• Focus remains on competitive, volume-led revenue and profit growth; portfolio is expected to be structurally positioned for higher gross margins over three to five years.