HUL shares decline 2%; mcap erodes by Rs 12,417.58 cr after earnings announcement

New Delhi, Shares of Hindustan Unilever Ltd fell 2 per cent on Friday after the company reported a marginal decline in consolidated net profit for the second quarter ended September 30. The stock declined 2.07 per cent to settle at Rs 2,495 apiece on the BSE. During the day, it dropped 2.47 per cent to Rs 2,484.80.

It slipped 1.84 per cent to end at Rs 2,501 per share on the NSE.

The company's market valuation fell by Rs 12,417.58 crore to Rs 5,86,223.02 crore.

In volume terms, 2.63 lakh shares of the company were traded on the BSE and over 36 lakh shares on the NSE during the day.

Hindustan Unilever on Thursday reported a marginal decline in consolidated net profit to Rs 2,657 crore for the second quarter ended September 30 amid subdued rural demand and heightened competitive intensity.

The company had posted a consolidated net profit of Rs 2,670 crore in the same quarter last fiscal, Hindustan Unilever Ltd (HUL) said in a regulatory filing.

Total income stood at Rs 15,806 crore in the quarter under review, compared to Rs 15,253 crore in the year-ago period, it added.

Total expense in the second quarter was higher at Rs 12,211 crore against Rs 11,965 crore a year ago.

"We delivered resilient and competitive growth whilst stepping up our EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) margin in a challenging operating environment, marked by subdued rural demand and heightened competitive intensity," HUL CEO and Managing Director Rohit Jawa said.