Weekly FMCG Update: HUL’s growth; alco-bev disruptions; Q4 results

HUL prioritises growth over margins
Hindustan Unilever (HUL) is shifting gears to prioritise growth, trimming EBITDA margins to 22–23% to fuel higher sales. Increased spending on advertising, retail, and brand upgrades — especially in beauty and wellbeing — underscores the strategy. Simultaneously, its INR 15,294-crore foods division is being revamped, with Horlicks, Bru, and Kissan in focus. Though analysts have lowered earnings forecasts and volume gains remain modest, HUL is banking on rural demand and cooling inflation to fire up future growth.

Where’s the Kingfisher? Delhi’s beer shelves go off-brand
Delhi drinkers are raising eyebrows (and not glasses) as big beer brands vanish from shelves. Since the 2022 policy U-turn, state-run stores have filled up with obscure names from Bhutan and Nepal, leaving classics like Kingfisher and Budweiser in the dust. Fewer shops, better margins on imports, and a murky excise regime have shaken up the market. According to business insiders, it's a brew of confusion, margin games, and policy limbo.

Nestle India’s profit dips, but sales reach record High
Nestlé India reported a 6.5% decline in its Q4 net profit, which fell to ₹873.46 crore. However, domestic sales reached an all-time high of ₹5,235 crore, driven primarily by strong performances in the beverages and confectionery segments. Three out of four product categories posted solid growth. Analysts note that the results indicate sustained business momentum despite ongoing cost challenges.

Tata Consumer brews steady growth despite bitter costs
Tata Consumer is heading into FY26 with strong tailwinds. Price hikes and lower input costs are expected to boost margins. Still, rising tea and coffee expenses trimmed profits in India and abroad. The company’s sharp focus on product innovation and wider reach has analysts, as per leading portals, predicting a solid run. The only buzzkill? The stock’s high valuation might keep upside in check for now.

Amul hits a cool INR 90,000-crore mark
Dairy giant Amul’s FY25 revenue surged 11% to INR 65,911-crore, and the brand’s total turnover crossed INR 90,000-crore. Powered by strong demand and steady pricing, the Gujarat-based co-operative saw double-digit growth across product categories. With 36-lakh farmers on board and 300-lakh litres of milk collected daily, Amul continues to churn out success at scale.