New Delhi, May 1 -- Hindustan Unilever Ltd (HUL) ended FY26 on a good note, clocking an underlying volume growth of 6% for the three months through March (Q4FY26), a multi-quarter high, supported by steady demand across both rural and urban markets. The improvement is notable, with volume growth rising from 4% in Q3 after a muted Q2, when volumes were broadly flat. The company expects FY27 to be stronger than FY26, driven by portfolio shifts and channel transformation.

The durability of this recovery, however, will be tested in the coming quarters. The forecast of a weak monsoon amid an emerging El Niño is a risk, and the company's decision to raise prices by 2-5% to offset cost pressures may weigh on volume growth. The operating en...