Latest News | Expects Improvement in Market Conditions in Near, Medium Term: HUL Chairman
Get latest articles and stories on Latest News at LatestLY. Leading FMCG maker Hindustan Unilever Ltd (HUL) expects an improvement in the market conditions in the near and medium term, with a good monsoon, softening of inflation and measures such as easing interest rates, and tax reliefs, said its Chairman Nitin Paranjpe at the company AGM.
New Delhi, Jun 30 (PTI) Leading FMCG maker Hindustan Unilever Ltd (HUL) expects an improvement in the market conditions in the near and medium term, with a good monsoon, softening of inflation and measures such as easing interest rates, and tax reliefs, said its Chairman Nitin Paranjpe at the company AGM.
The rural economy, which has been growing over the last few quarters, should continue to do well with better produce; however, urban pockets should also come back on track, helped by factors such as reduced inflation along with the taxation changes announced by the government.
This will put more money in people's pockets, as well as some changes in the monetary policy will benefit the economy and the sentiment in this market.
"As a result of which we should see a gradual improvement, but an improvement nonetheless in the overall environment", he said while replying to shareholders in the 92nd annual general meeting (AGM) of the company.
Further, he said: "We do believe that in the near term and the medium term, we should see an improvement in market conditions. Improvement in market conditions due to several reasons. Macro conditions are getting better."
Terming FY25 as a difficult year, Paranjpe said rural growth was recovering, but recovering slowly; however, urban growth was moderating right through the year.
"As a consequence of this, price-led growth did not happen in this year," he said, adding that however, HUL "restored volume-led growth".
For the financial year ended on March 31, 2025, HUL reported a turnover of Rs 60,680 crore, up 2 per cent.
Replying to shareholders' concerns about the slow growth of the company, Pranjpe said: "2 per cent is not what we would like to get going forward, but the fact that we have strengthened our competitiveness, the fact that we have taken other interventions to strengthen our portfolio and build capabilities augurs well as we look ahead into FY26 and beyond."
In the long term, HUL is confident of the growth of the FMCG sector led by factors such as rising average income as India continues to grow.
"Urbanisation will take place. There will be more family units coming up. And you add to all of this growing aspiration and the very low levels of consumption that exist in many of our categories, we will see years of continued strong growth in the FMCG sector," he said.
HUL is also strengthening its portfolio both in core as well as future, and new segments, which are going to be developed.
The company, which has popular brands such as Rin, Lux, Surf Excel, Pond's, Dove, Horlicks, Bru, and Lipton under its portfolio, is working on 'Aspire framework', which is designed to meet the growing aspirations of Indian consumers through taking interventions enabling this company to succeed going forward.
Replying to another set of questions, Paranjpe said HUL is using AI and technology more broadly in all parts of the business.
"It's in our R&D setup,...in our marketing setup,...in our supply chain,...in our forecasting engine, everywhere we are using this," he said.
The company is ensuring that its innovation engine runs faster, in a world where consumer needs are changing very rapidly.
(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)