HUL Share Price Falls 4% Despite Strong Q1 Results; Profit Sees Best Growth in 13 Quarters

India's largest FMCG company, Hindustan Unilever Limited (HUL), has reported an impressive performance for the April-June quarter of FY2026-27, registering its strongest quarterly growth in the last 13 quarters. Despite robust revenue growth and healthy operational performance, HUL shares slipped more than 3%, with the stock trading near ₹2,100 after the earnings announcement.

HUL Q1 FY27: Key Financial Highlights

HUL delivered strong operational numbers during the June quarter.

Total Turnover: ₹17,184 crore (up 10% YoY)

EBITDA: ₹3,947 crore (up 8% YoY)

Reported Net Profit (PAT): ₹2,680 crore (down 2% YoY due to last year's one-time tax credit)

Underlying Profit Growth: Up 9%, excluding exceptional items

Although reported profit declined slightly, the underlying earnings remained healthy, reflecting steady business momentum.

Home Care Segment Drives Growth

The Home Care business emerged as HUL's biggest growth driver during the quarter.

Home Care: Sales growth of 14%, the strongest in three years, led by robust demand for fabric wash and liquid detergents.

Beauty & Wellbeing: Grew 12%, supported by premium skincare, haircare, and continued strong performance of the Minimalist brand.

Foods & Refreshment: Recorded 7% growth, with Boost crossing the ₹1,000 crore annual turnover milestone.

Personal Care: Delivered 4% growth despite rising palm oil prices.

CEO Priya Nair on Q1 Performance

HUL CEO and Managing Director Priya Nair said the Indian economy has remained resilient despite global geopolitical uncertainties.

According to her, the company's 10% revenue growth was equally supported by higher volumes and pricing, while HUL continues to strengthen its product portfolio and focus on sustainable volume-led growth.

Why Did HUL Shares Fall Despite Strong Results?

Despite posting its best growth in over three years, investors booked profits after the earnings announcement, dragging the stock down by more than 3%. Market participants also remained cautious over margin pressures from higher raw material costs and expectations surrounding future earnings growth.