HUL Q3 Results 2026: Net Profit Jumps 121% to ₹6,603 Cr, OZiva Buyout & Demerger Boost

Mumbai, Hindustan Unilever Limited (HUL) reported consolidated net profit of ₹6,603 crore for the December quarter, surging 121% from ₹2,989 crore in the year-ago period, driven primarily by a massive exceptional gain of ₹4,611 crore from the demerger of its ice cream business. The Board also cleared two high-stakes portfolio moves—acquiring full control of clean-label brand OZiva and exiting underperforming JV Nutritionalab (Wellbeing Nutrition).

Financial Highlights (Consolidated, Q3 FY26):

Standalone Performance:

• Net Profit: ₹7,075 crore (▲136% YoY)

• Revenue: ₹15,614 crore (▲4% YoY)

• Core PAT (ex-exceptionals): ₹2,590 crore (▼15% YoY)

Ice Cream Demerger: The ₹4,611 Cr Exception

The sharp spike in reported profit is entirely attributable to the ice cream business demerger to Kwality Wall's (India) Limited, effective December 1, 2025.

Key Accounting Impact:

• Exceptional gain recognized: ₹4,611 crore (fair valuation of undertaking distributed as dividend)

• Discontinued operations: Ice cream business results from April 1 to November 30, 2025, reported separately

• Net profit from discontinued ops: ₹4,485 crore included in Q3 numbers

*Without this one-time gain, core profit from continuing operations actually declined 30%.*

Segment Performance (Continuing Operations)

Key Strategic Moves Announced

1. Full Acquisition of Zywie Ventures (OZiva)

• Stake acquired: Balance 49% (existing holding: 51% since Jan 2023)

• Transaction value: Not disclosed

• Rationale: Consolidate leadership in plant-based nutrition and clean-label wellness segment

2. Complete Exit from Nutritionalab Private Limited

• Stake divested: 100% (Wellbeing Nutrition JV)

• JV performance: Reported net loss of ₹7 crore in Q3

• Rationale: Portfolio rationalization; focus on core synergistic bets

Asset Quality & Cost Pressures

Labour Code Impact:

• Government notified four Labour Codes on November 21, 2025

• Incremental liability created: ₹113 crore towards gratuity and compensated absences

• Company monitoring further developments

Auditor Observations:

• Unmodified (clean) report issued by Walker Chandiok & Co LLP

• Unilever Nepal Limited financials reviewed by separate auditor (Revenue: ₹124 Cr, PAT: ₹29 Cr)

• Nutritionalab JV numbers based on unreviewed management-certified financials (not material)

Nine-Month Performance (April-December 2025)

Earnings Per Share (EPS)

Face value: ₹1 per share

Management Commentary

Priya Nair, Managing Director & CEO:
*"said: “Health & Wellbeing is an important growth vector for us, driven by rising consumer interest in everyday wellness. By taking full ownership of OZiva, we are doubling down on this exciting space to unlock the next phase of growth. Our decisions today reflect our intent of fewer, bigger bets where we can leverage HUL’s strengths in science, distribution and market development to scale purpose-led brands.”"*

Board Meeting Details

• Meeting commenced: 08:30 AM IST

• Results discussion concluded: 09:42 AM IST

• Audit Committee review: February 11, 2026

• Statutory auditors: Walker Chandiok & Co LLP (unmodified opinion)

Corporate Structure Updates

Subsidiaries added in FY26:

• Minimalist PTE. Limited (Singapore) and its 7 step-down entities across Indonesia, Malaysia, Vietnam, UAE, USA, Australia, and Brazil

• Uprising Science Private Limited (India)

Subsidiary ceasing w.e.f November 30, 2025:

• Kwality Wall's (India) Limited (post-demerger)

Joint Venture:

• Nutritionalab Private Limited (exit approved)

Outlook

While the headline 121% profit growth grabs attention, markets are expected to focus on:

1. 30% decline in core operating PAT – indicating margin compression

2. Sustainability of volume growth amidst persistent input inflation

3. Integration execution for OZiva full acquisition

4. Deleveraging benefits from ice cream demerger

HUL remains India's largest FMCG company with market leadership across home care, beauty, personal care, and foods categories.

Results presentation and detailed disclosures available at:

• www.hul.co.in (Investor Relations)

• www.nseindia.com

• www.bseindia.com

Corporate Identity Number: L15140MH1933PLC002030

Registered Office: Unilever House, B.D. Sawant Marg, Chakala, Andheri East, Mumbai – 400 099