Rating agency, Fitch Ratings has affirmed Hindustan Unilever’s (HUL) national long-term rating at ‘AAA (ind)’ with stable outlook.
The affirmation reflects the company’s low business risk and strong financial risk profile. The ratings continue to factor in the company’s consistent negative net debt position, positive free cash flows, and its status as the largest Indian FMCG (fast moving consumer goods) company with brands straddling various price points in different categories.
The rating agency notes that HUL is 52.6%-owned by Unilever (`A+`/Stable), an Anglo Dutch FMCG major, which is the world’s third-largest FMCG company.
HUL’s net profit for the quarter ended March 31, 2011 has declined marginally by 2.07% at Rs 569.15 crore as compared to Rs 581.20 crore for the quarter ended March 31, 2010. Its total income has increased by 13.93% at Rs 5022.59 crore for the quarter under review from Rs 4408.65 crore in the corresponding previous quarter.
| Company Name | CMP |
|---|---|
| Hindustan Unilever | 2235.50 |
| Godrej Consumer Prod | 1104.25 |
| Dabur India | 442.25 |
| Colgate Palmol. (I) | 2129.80 |
| P&G Hygiene | 9948.35 |
| View more.. | |
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