HUL Share Price: FMCG sector giant Hindustan Unilever Limited (HUL) has received a tax notice of Rs 1,986.25 crore from the Income Tax Department. The company said in a statement issued on Friday, October 31 that it has received this notice for the financial year 2020-21. This demand notice was issued by the Assistant Income Tax Commissioner of Central Circle 5(2), Mumbai under Section 156 of the Income Tax Act on 30 October 2025.
To which case is this order related?
This assessment order primarily relates to transfer pricing adjustments. In this, some payments made by the company to related parties have been rejected, and claims related to corporate tax depreciation have also been raised.
Second quarter financial results
HUL had reported a net profit of Rs 2,694 crore in the recent September quarter. The company also made a one-time profit of ₹273 crore in the quarter, which came after the tax dispute between the UK and Indian tax authorities was resolved. There was no such one-time benefit in the corresponding quarter last year.
The company’s total revenue increased by 0.5 percent year-on-year to Rs 15,850 crore in the September quarter. Whereas operating profit (EBITDA) stood at Rs 3,563 crore, which is 2.3% less than the same quarter last year. EBITDA margin stood at 22.9%, down 60 basis points from last year.
Management says that the margin will be between 23% to 24% in the coming time. The company expects additional margin gains of 50–60 basis points post demerger of the ice cream business.
slight decline in stock market
Shares of Hindustan Unilever closed at ₹2,466.65 on the BSE on Friday, down ₹2.95 or 0.12% from the previous session.
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