The Indian share market, with Sensex and Nifty, fell sharply as both global and local factors hurt investor confidence. Stronger-than-expected US jobs data reduced hopes of an early interest rate cut, leading to a cautious, risk-off mood in the stock market.
At the time of writing, the BSE Sensex was trading 410 points lower at 83,823. Meanwhile, the NSE Nifty was 109 points lower at 25,844.
Amid the negative market, Hindustan Unilever Ltd (HUL) emerged as one of the biggest losers of the day.
HUL is India's leading fast moving consumer goods (FMCG) company with a diverse product portfolio including soaps and detergents, personal care products, and food and beverages.
Today, the company's share price dropped by up to 3%, catching the attention of market watchers.
So, what led to this sudden decline?
Shares of HUL declined by up to 3% today, and Q3 FY26 results explain why.
Consolidated revenue from operations was Rs 165.8 billion (bn) in Q3 FY26, up 5% from Rs 157.9 bn in the same quarter of the previous year.
EBITDA from continuing operations reached Rs 37.9 bn, a 3% rise from Rs 36.9 bn in the same quarter last year.
However, the EBITDA margin fell by 70 basis points year-on-year to 23.3%.
The company also faced a one-time cost of Rs 1.13 bn due to the new labour codes that took effect last year.
Profit After Tax (PAT) was Rs 21.2 bn, down from Rs 30.3 bn in the same quarter last year, showing a 30% decline.
This could be one of the main reasons why the share price is declining.
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