Hindustan Unilever to Adjust Prices, Cuts Costs to Manage Margin Pressure

Hindustan Unilever Ltd reported an 18% year-on-year increase in net profit for the March quarter at ₹29.30 billion, as per Reuters reports.
Revenue rose 7% to ₹155.99 billion. EBITDA margin stood at 23.9%, up 10 basis points from a year earlier, indicating limited expansion despite higher costs.
Cost Pressures from Crude-Linked Inputs
The company cited rising raw material costs driven by higher crude oil prices following tensions in the Middle East. India’s dependence on imported oil continues to affect input costs across consumer goods categories.
Material inflation during the quarter was estimated at 8% to 10%.
Price Hikes and Cost Adjustments
To manage cost increases, the company has taken price hikes in the range of 2% to 5% across select products. It has also adjusted pack sizes in some segments.
Alongside pricing, spending has been tightened, including lower advertising and discretionary costs, to contain the impact on margins.
Broader Sector Trend
Similar cost pressures are visible across the sector. Companies such as Bisleri and AWL Agri Business have also increased prices to manage higher input costs.
However, passing on the full extent of cost increases remains gradual due to competition and demand sensitivity.
Margin Guidance and Focus Areas
The company maintained its medium-term EBITDA margin guidance of 22.5% to 23.5%. It expects performance to improve by fiscal 2027, supported by a greater focus on premium segments and a smaller set of priority brands, including Horlicks.
Read More: IndiGo Regains Operational Momentum in March 2026: OTP Crosses 88% in March After December Disruptions!
Hindustan Unilever Share Price Performance
As of April 30, 2026, 3:30 pm, Hindustan Unilever share price closed at ₹2,254.00, down 2.61% from the previous closing price.
Conclusion
Higher input costs linked to global developments continue to affect margins. The company is relying on limited price increases and cost control measures while retaining its stated margin outlook.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Investments in the securities market are subject to market risks, read all the related documents carefully before investing.
Published on: May 1, 2026, 11:41 AM IST

Team Angel One
- Bajaj Housing Finance Share Price in Focus After Q2 FY27 Earnings Results: Total Income Up 18.3% YoY
- Omaxe Share Price Gains Over 4%; Collaborates with Lemon Tree Hotels for 10 Hotel Projects in India
- Federal Bank Share Price in Focus After Q2 FY27 Earnings Results; Q2 Profit Hits Record ₹1,386 Crore
- Jio Financial Services Share Price in Focus as Q2FY27 Profit Falls 51%
- TCS vs HCL Tech vs Tech Mahindra vs Wipro: Which IT Stock Won Q2 Results 2026?




