InvestorQ : How has Hindustan Unilever managed to handle the post COVID scenario?
indhumathi Sayani made post

How has Hindustan Unilever managed to handle the post COVID scenario?

Answer
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shrinidhi Rajan answered.
3 months ago


Interestingly, despite the rich valuations and concerns over the lockdown, the stock of Hindustan Unilever continues to perform extremely well. According to the company management, the impact on food and other essentials have been minimal as stocking has continued aggressively during this period. However, discretionary categories like hair care, skincare and colour cosmetics have taken a larger demand hit. IT could take some more time for sales to fully recover in these segments. On the other hand, demand for health, hygiene and nutritional products reached new highs during the pandemic due to the unique nature of the pandemic. Also, the good thing about HUVR is that it has been able to ramp up its operations in the past few months more effectively than many other players. Above all, the merger with GlaxoSmithKline Consumer Healthcare’s business will also be value accretive as it is in the less cyclicial businesses.