Mumbai, July 18: Hindustan Unilever Ltd (HUL) today posted a 9.8 per cent growth in net profit for the quarter ended June at Rs 1,173.90 crore against Rs 1,069.16 crore in the same period last year.
However, the underlying volume growth of 4 per cent disappointed the Street, sending the company's shares lower by around 2 per cent to Rs 920.45 on the Bombay Stock Exchange.
Brokerages such as Emkay Research had expected a volume growth of 5 per cent.
Profits were partially lifted by a one-time write-back of the provision for pension benefit.
Net sales grew 3.6 per cent to Rs 7,987.74 crore from Rs 7,712.71 crore a year ago.
HUL today disclosed that it would divest its shareholding in Kimberly-Clark Lever Pvt Ltd to its joint venture partner Kimberly Clark Corporation. The decision is in line with its plan to focus on its core business. The joint venture was formed in 1995.
The company also said it was planning to invest around Rs 1,000 crore to set up a manufacturing unit in the vicinity of its existing factory premises in Doom Dooma in Assam.
The new unit, which is likely to be commissioned in early 2017, will increase the production capacity for personal care products.