HUL spends Rs 1,632 crore on advertising in December quarter, up 9.83% year-on-year

New Delhi: Hindustan Unilever spent Rs 1,632 crore on advertising and promotion in the quarter ended December 31, 2025, reflecting an increase in brand investments during the period.

According to the company’s consolidated financial results, advertising and promotion expenses stood at Rs 1,632 crore in the December quarter of financial year 2025-26. This marks an increase of 9.83% compared to Rs 1,486 crore in the corresponding quarter of the previous year. On a sequential basis, the company had spent Rs 1,522 crores in the September 2025 quarter. This means advertising spends rose 7.23% over the previous quarter.

The rise in advertising was higher than revenue growth for the quarter. HUL’s revenue from the sale of products came in at Rs 16,197 crores in the December quarter, up 5.71% from Rs 15,322 crores a year ago. Compared to Rs 15,715 crore in the September quarter, revenue increased 3.07%.

As a percentage of revenue from operations, advertising and promotion expenses stood at 10.08% in the December quarter, compared to 9.70% in the year-ago period. In the September 2025 quarter, this ratio was 9.68%. This shows that HUL allocated a higher share of revenue towards brand-building during the quarter.

For the nine months ended 31 December 2025, advertising and promotion spends stood at Rs 4,752 crores, up 4.07% from Rs 4,566 crores in the corresponding period last year. The increase reflects continued investments across categories and channels.

At the standalone level, advertising and promotion expenses for the December quarter were Rs 1,498 crores. This represents a 3.67% increase compared to Rs 1,445 crore in the same quarter last year. Compared to Rs 1,384 crore in the September quarter, advertising spends rose 8.24%.

For the nine-month period on a standalone basis, advertising expenses were Rs 4,380 crore, lower by 1.60% compared to Rs 4,451 crore in the year-ago period. This indicates that cumulative spends for the year so far remain largely stable, despite the higher outlay in the latest quarter.

The increase in advertising comes as HUL reported total consolidated expenses of Rs 13,078 crore in the December quarter, up 6.37% from Rs 12,294 crore in the corresponding quarter last year. Advertising and promotion formed a part of other expenses, which, along with input and operating costs, contributed to overall expenditure.

HUL delivered 4% underlying volume growth during the quarter and reported 6% revenue growth.

Priya Nair, CEO and Managing Director, commented: “During the quarter, demand trends reflected early signs of recovery, underpinned by supportive policy measures. Against this backdrop, we delivered a competitive performance, with 6% revenue growth and 4% underlying volume growth. 

We continued to build desirability at scale with our brands, accelerate market development in high-growth demand spaces and strengthen our capabilities to scale Channels of the Future with a dedicated organisation for quick commerce. As market leaders in FMCG, our commitment to build modern brands, lead category creation and invest disproportionately to build future moats places us in good stead to deliver sustained volume-led growth and create long-term shareholder value.”

Alongside its advertising push, HUL also announced strategic moves in its Health & Wellbeing business. The company’s board has approved the acquisition of the remaining 49% stake in Zywie Ventures Private Limited, the parent company of OZiva, for Rs 824 crore. With this, OZiva will become a wholly owned subsidiary of HUL.

HUL had earlier acquired a 51% stake in Zywie Ventures. The company said OZiva has delivered strong performance since the majority investment, scaling to around Rs 480 crore in 2025 and registering about 130% compounded annual growth over the last two years. The growth has been supported by portfolio development and synergies within HUL’s distribution and brand ecosystem.

At the same time, HUL’s board has approved the sale of its 19.8% stake in Nutritionalab Private Limited to USV for Rs 307 crores. The company said the move is part of its portfolio transformation strategy of focusing on fewer, bigger bets.

HUL entered the Health & Wellbeing category in 2023 and has been building its presence in what it described as a fast-growing space driven by rising consumer interest in everyday wellness. 

The company said full ownership of OZiva reflects its intent to strengthen its position in the segment and scale purpose-led brands using its capabilities in science, distribution and market development. Both transactions are expected to close by March 2026, subject to customary conditions.