Hindustan Unilever

By Richa Naidu and Aditya Kalra

LONDON/NEW DELHI, Sept 11 (Reuters) - India's proposal to put health warning labels on some food products has sparked a nationwide debate over how the country came to rely on cheap packaged food while companies sold more nutritious versions of the same brands in other markets.

With an income per household well below the global average, Indians are keen consumers of cheap food products such as Nestle-owned Maggi instant noodles and Coca-Cola Co's Thums Up - giving big food manufacturers a huge market with little pressure to apply the food standards they adopt in many other countries.

Until now.

In a setback to the industry, the Food Safety and Standards Authority of India (FSSAI) said on Thursday it could introduce tougher red warning labels on ​food that exceeds government-set limits on added sugar, salt or saturated fat in one go, after Supreme Court judges raised questions about FSSAI's initial plan for a phased introduction.

High sugar content is a particular risk in India, which accounts for about a quarter of all global cases of diabetes, which health experts have blamed partly on processed food. More than 101 million people in India are living with diabetes, while another 136 million have prediabetes, Danish drugmaker Novo Nordisk said in July.

FAST-GROWING MARKET

India's packaged food market grew to $137.25 billion in 2026, from $129.18 billion in 2025, and is projected to reach $238.83 billion by 2034, according to research firm IMARC Group.

Around 6 billion meals eaten in Indian households and on street corners every year are Maggi two-minute masala noodles, made by Swiss food giant Nestle NESN.S.

Maggi launched India's first brand of instant noodles in 1983, targeting newly working mothers and children as a fast evening snack with print ads featuring kids slurping bowls of Maggi noodles "after school, after play" and saying "Mummy, I'm hungry."

The product's success strengthened Nestle's foothold in what is today the company's fastest-growing region, where all variants of Maggi are made with palm ​oil, whereas many versions sold in Britain use pricier sunflower oil. Similarly, Nestle's KitKat bars in India have less cocoa in them than Australian versions.

“It plays on national pride - why is it that India is getting short-changed? Why do companies make the call on my behalf that I can't afford better ingredients?" said Shashank Mehta, a former marketing manager at Unilever's India unit.

Higher quality ingredients are also more expensive and could prompt price hikes in a cost-conscious market, a former senior Nestle executive, who declined to be named, said.

Nestle said in a statement that its recipes are developed taking into account consumer expectations, local taste preferences depending on the food culture, availability of ingredients and climatic conditions.

Recipe variations do not affect product quality, Nestle said, adding that it has more than 10 regional KitKat recipes globally. The company said it complies with all Indian food safety laws and that ingredients are clearly declared on packs.

PUBLIC ANGER

India has debated front-of-pack warning labels for years to flag high content of sugar, salt and fat, like those implemented in Chile and Mexico, but faced industry opposition, with businesses specifically worried as many traditional Indian products are high in sugar or fat.

Chile's 2016 food labelling law, which puts separate black octagons on a pack for each high nutrient, was followed by a 23.7% decline in purchases of sugary drinks, researchers have said.

The All India Food Processors' Association says 80% of packaged food could be flagged in India as having high fat, sugar or salt content under the proposed labelling rule.

Pressure in India for stricter labelling has intensified recently from health advocates and social media influencers among others.

The food safety regulator's proposal came amid public anger after Reuters reported that India's government had yielded to industry lobbying in March when Coca-Cola KO.N and groups backing Nestle and PepsiCo PEP.O opposed having warning labels on the front of food and drinks packaging.

BRANDS NEVER QUESTIONED

Western packaged food giants have been in India for about a century. Nestle started to sell sugary condensed milk in 1912 to what was then a British colony with an extremely poor local population. Unilever ULVR.L began selling "dalda" - a hydrogenated vegetable oil formulation - in India in 1937. It provided a very affordable alternative to expensive traditional ghee and quickly became a staple in lower-class kitchens, restaurants, and sweet shops. Foreign corporations quickly began producing locally to keep prices low.

"Many recipes in India were designed decades ago for a very cost-conscious consumer, and those recipes have simply been carried forward,” said Parul Sharma, a former executive at Mondelez's MDLZ.O India unit who oversaw supermarket sales. "For the longest time, Indian consumers never really questioned brands."

Coca-Cola Co's Thums Up - a cola moulded over decades to suit local tastes - has grown into a more than $1 billion brand that is sold in India and exported to the Indian diaspora.

Thums Up looks similar to Pepsi and Coca Cola but tastes different. Coca-Cola Co bought the brand for about $60 million in 1993 to slowly phase it out and replace it with its own flagship drink. But Indian shoppers were so loyal to the taste that Coke decided to keep it. Coca-Cola's traditional cola is also a cultural mainstay, sold on street corners with a healthy dose of spices as 'masala coke.'

Coca-Cola did not respond to a request for comment.

A Unilever spokesperson said that in the last five years the company has "made significant progress in reducing both sugar and salt across the portfolio, reflecting our support towards healthier diets."

"We have a long-standing commitment to improving nutrition, guided by rigorous science-based standards."

Former Mondelez executive Sharma said taste entrenchment is one of the biggest deterrents for large companies to modify recipes.

"You can’t change a recipe overnight without risking the loss of a very loyal consumer base,” Sharma said.

(Reporting by Richa Naidu; Editing by Lisa Jucca and Susan Fenton)

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Sept 10 (Reuters) - Hindustan Unilever Ltd HLL.NS:

• HINDUSTAN UNILEVER - DELHI HC RESTRAINS BECO'S AD CAMPAIGN AGAINST SURF EXCEL AND VIM

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By Aditya Kalra

NEW DELHI, Sept 9 (Reuters) - Food producers in India have filed a court submission seeking to force New Delhi to review planned health labels on packaging, saying many staples risk being covered in warnings that will tarnish the image of Indian food globally.

The filing made on Wednesday in the Supreme Court is the first legal objection from the more than $100 billion packaged-food industry to the government's labelling plan, announced on August 28. The filing, seen and first reported by Reuters, is not public.

India is in the midst of an unprecedented food safety crackdown, including nationwide raids against eateries, amid concern over poor hygiene and standards. The government's plan for front-of-pack red warning labels came after heated public debate on the lack of such measures. The Supreme Court, which is hearing pleas from health activists, will review the plan on Thursday.

The Food Safety and Standards Authority of India last month proposed a red-coloured hexagonal label for products that exceed limits in at least two of three categories - added sugar, salt or saturated fat.

Reuters has reported that industry executives are concerned the proposal for a prominent label if added sugar is in excess of 3% of solid products by weight, and fat in excess of 4.2%, is stricter than many foreign markets.

The thresholds require "further scientific examination ... so that the framework is placed on the most robust and internationally consistent footing available," the All India Food Processors' Association said in its court filing on Wednesday.

They should take "account of the Indian dietary context and consumer-consumption patterns," AIFPA said, referring to its previous submissions to the regulator that nearly 80% of packaged-food products may fall into the high fat, sugar or salt category under India's approach.

AIFPA's members include Nestle NESN.S, Coca-Cola KO.N, PepsiCo PEP.O, Hindustan Unilever HLL.NS and dozens of other foreign and Indian companies. None of the companies responded to Reuters requests for comment.

WARNING LABELS DEBATE

The labelling proposal follows widespread public anger and debate following a Reuters report that India's government had yielded to lobbying in March from Coca-Cola and groups backing Nestle and PepsiCo, which opposed having warnings on the front of food and drinks packaging.

AIFPA in its submission also said it has previously told the Indian regulator about the relatively limited share of packaged foods in overall food consumption in India, and how the sector creates massive employment.

Dr. Arun Gupta, the convenor of Nutrition Advocacy in Public Interest, criticised AIFPA's submissions in court, saying it was a "desperate attempt to delay warning labels".

Last week, seven executives from Indian and foreign firms told Reuters a key issue with the Indian proposal was a 100-gram (3.5 ounces) benchmark to judge whether a product needs to be flagged, instead of going by a single serve. "Nobody consumes 100 grams of a pickle or ketchup," one executive had said.

In the court filing, AIFPA cited the example of a U.S. proposal to use a calculation based on a per-serve basis, calling for a similar approach in India.

(Reporting by Aditya Kalra; Editing by Sharon Singleton)

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Hindustan Unilever presented its 2026 Capital Markets Day strategy under the theme “Winning in New India”, focusing on consumption, premiumisation, market making and selected new categories. The presentation set out a 500-basis-point framework for generating growth fuel, including a 100-basis-point savings programme, a 10% improvement target for AI-led media effectiveness and revenue growth ahead of fixed-cost growth. It also described a capital-allocation framework that would take capex from 2% to 3% of turnover and assign 20% of incremental turnover contribution to new spaces. HUL reported FY26 turnover of ₹63,763 crore, EBITDA margin of 23.6% and operating cash flow of about ₹11,000 crore. Underlying sales growth had risen from 3% in the first half of FY26 to 10% in the June 2026 quarter, led by Home Care and Beauty & Wellbeing.

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By Francis Mascarenhas and Aditya Kalra

MUMBAI, Sept 1 (Reuters) - Indian authorities have raided an illegal operation in Mumbai that faked expiry dates and nutritional information on original food products manufactured by PepsiCo PEP.O, Nestle NESN.S, Coca-Cola KO.N and Unilever ULVR.L so they could be exported to other countries.

Reuters got exclusive access to the warehouse last week as food officers conducted a six-day investigation and seized goods worth nearly $80,000. A photographer saw chemicals used to remove manufacturers' original expiry dates and ingredient labels, machines to print and apply replacements and scores of label packs for products including Lay's potato chips and Maggi noodles.

India's Maharashtra state, where Mumbai is the capital, has intensified a food safety drive under the new head of the state's Food and Drug Administration, Tukaram Mundhe, whose surprise inspections at elite clubs and restaurants have made him an online and TV celebrity.

"I am absolutely shocked by the scale. It is like organised activity. It's been done systematically," Mundhe told Reuters on Tuesday about the investigation into the illicit warehouse operation.

The warehouse, located in the industrial area of Navi Mumbai around 25 km (16 miles) from Mumbai's international airport, was run by privately owned Sadhana Enterprises. Its owner said they carried out the activities on behalf of 19 little-known exporters, according to a media release from the state and a police case document.

Officials said most products were expired or near expired. By changing dates, "harmful food products are being exported for sale, thereby defrauding customers," the case document said.

It was not clear which countries the products were destined for but all the stock was for export, Mundhe said. At least one reprinted label on a PepsiCo packet was in English and French, Reuters found.

PepsiCo, Nestle, Unilever India unit Hindustan Unilever HLL.NS, and Coca-Cola did not respond to Reuters requests for comment.

Reuters calls to warehouse co-owners Jayprakash Sanchatiram Singh and Jaya Navrang Bahadur Singh were not answered. It was not clear whether any arrests had been made.

CHEMICALS AND PRINTING MACHINES

The gated warehouse had four large rooms beneath a tin roof.

Officials found nearly 5,000 cartons of consumer products, including PepsiCo's Lay's and Kurkure chips, Nestle's Maggi Masala Noodles, Unilever's Knorr Mushroom Soup and Hellmann's Mayonnaise, and Coca-Cola's Thums Up and Limca cans. Many of the Kurkure and Maggi packets, as well as the Thums Up cans, had their dates removed.

Inside the dirty warehouse, Reuters photographer Francis Mascarenhas saw a can of a chemical solvent that officials said was used to erase dates from the packets.

They said an operator would enter the fake expiry and manufacturing dates using a stylus on a computer screen. Workers would then use a machine fitted to a metal table, decorated with a tiny "I love my India" sticker, to allegedly print the new label on packaging and cans.

"The original date of manufacture and expiry date on the packaging of the food articles had been scratched out, erased ... (and) new information printed over them," the police document said.

The police case did not accuse any global companies of wrongdoing, but Mundhe called for supply chain accountability.

"Everybody needs to take this seriously. Companies have to abide with compliances and ensure that branding, packaging and sale is done as per regulations," he said.

CARTONS OF MAGGI, FAKE INGREDIENT LABELS

Enforcement of food safety laws is weak in India. Food safety checks have long focused on adulteration, particularly of dairy products, when cases rise during festive seasons as demand for traditional Indian sweets surges.

Mundhe told Reuters his team found some packs were being reprinted with a future manufacturing date of October 2, 2026 inside the Mumbai warehouse.

Given foreign countries may have different labelling requirements and health guidelines, Reuters found dozens of Maggi cartons in the warehouse, with one sample showing a fake nutrition label pasted on top of a pack, making it export ready by describing it as a "Product of India".

One PepsiCo Kurkure pack had a nutrition label in English and French in a bilingual format.

The fake label reduced the quantity of cereal products in its ingredients by 10%, and tweaked the number of calories and serving size in an apparent move to align the labels with foreign regulations.

(Reporting by Francis Mascarhanes, Aditya Kalra; Additional reporting by Dhwani Pandya; Editing by Kate Mayberry)

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By Aditya Kalra and Richa Naidu

NEW DELHI/LONDON, Aug 25 (Reuters) - A can of Fanta sold in London has 63 calories. Buy the same brand in India, and it contains three times as much sugar. It also includes artificial dye, whose presence in food products in Europe requires a prominent health warning.

In India, the colorant’s presence is noted merely in small print on the back of the can. That suits some of the world’s biggest companies, which have long resisted Indian efforts to mandate nutritional warnings on the front of packaged products.

Consumer giants like Coca-Cola, which makes Fanta, appear to have the advantage. India’s food-safety regulator said in August that it had abandoned a push for colorful warnings on the front of food packaging. It said such warning labels don't account for how Indian cuisine has more intense flavors than Western food and instead proposed that companies display a black-and-white table of sugar, fat and salt content.

India's Supreme Court is scrutinizing that decision after a petition by public health activists. At stake are the waistlines of the 450 million Indians who could be obese or overweight by 2050, according to a recent study published in the journal Lancet. Experts say more transparency in labeling can forge healthier eating habits. At their urging, roughly 20 nations have adopted interpretive labels — which may include highlighting high sugar levels in red and low fat content in green — on the front of packaged foods.

The Food Safety and Standards Authority of India buckled after a tense March meeting with industry executives, who argued that such warning labels were confusing and ineffective, according to recordings reviewed by Reuters. Executives also urged regulators to focus on encouraging portion control.

Details of the meeting are reported by Reuters for the first time.

It is “very simplistic” to believe that a consumer who doesn’t already read ingredient lists “will be so informed by seeing a symbol or an icon on the label” that their diet significantly improves, senior Coca-Cola India executive Mili Bhattacharya said at the March 19 meeting.

She added that warning labels were pointless because they would not prevent consumers from otherwise having sugary and salty foods. And they were unnecessary because Indian doctors had done a good job teaching their patients what food should be avoided.

Coca-Cola and its bottling partners, however, have voluntarily added traffic-light-style labels to their drinks in some two dozen European markets. Such labels provide “clear and transparent” information, Coca-Cola HBC, a Switzerland-based affiliate, says on its website.

Nestle is a member of Indian lobbies that fought the regulator’s erstwhile proposals. But the company has voluntarily used interpretive labels in Britain since 2013.

Coca-Cola and Nestle declined to comment for this article.

For this report, Reuters reviewed the audio recordings, hundreds of pages of government and corporate documents, and interviewed 11 industry executives and health experts.

Several food companies have filed legal complaints against social-media influencers who have criticized how they market their products in India.

The threat that warning labels pose to profits means the industry is incentivized “to hold out for as long as possible, not informing the Indian public about the healthiness of the foods that they're selling," said Simone Pettigrew, head of food policy at the George Institute for Global Health in Australia.

Lobbying by interest groups has “almost paralyzed” regulators from enacting tougher standards, said Pettigrew, who has researched front-of-pack labels in more than two dozen countries.

The FSSAI declined to comment, citing ongoing court proceedings involving labeling policy.

MAKE INDIA HEALTHY (AGAIN)?

Nearly 80% of products made by India’s over $100 billion packaged food and beverages market could be regarded as high in fat, sugar and salt, according to industry estimates.

That means packaging would be awash in red if the industry adopted color-coded warning labels, Deepak Jolly of the Ind Food & Beverage Association said at the March meeting with regulators.

IFBA, which represents companies including PepsiCo, said in response to Reuters questions that it wants more clarity from regulators. Current proposals, it said, might lead to "high sugar" warning labels on coconut water packs that contain only natural sugar.

Indian regulators since 2017 have floated proposals such as prominent color-coded warnings and star ratings that indicate a product’s nutritional value. But producers are required only to list ingredients and basic nutritional information on the back of packaging.

Health activists seeking greater transparency have petitioned the Supreme Court, which in February directed regulators to consider warning labels. It suggested that the agency examine Israel’s system of red-and-green messaging.

After the March meeting with industry, however, the FSSAI backed off on interpretive labeling. It told the court in August that it was “difficult” to match international standards on packaging, echoing the industry position.

That earned it a rebuke from judges, who said “the world should know that India is very much concerned about the overall health of its citizens.”

As India grows more affluent, middle-class consumers have also become more conscious of their health. Monthly sales of weight-loss drugs that reduce appetites have grown 400% since early 2025, according to market-research firm Pharmarack.

On social media, activists and influencers are campaigning against processed and packaged food.

Among them is Revant Himatsingka. The former McKinsey management consultant has built an audience of more than 5 million across YouTube and Instagram, where the 34-year-old goes by the name Food Pharmer.

The videos have occasionally landed him in hot water. In 2023, Himatsingka made a clip that criticized the amount of sugar and artificial sweetener used in PepsiCo's Sting caffeine drink. The beverage, marketed as an energy drink, is popular with young people in India.

PepsiCo successfully sought a take-down order from a Delhi court. It argued that the claims made in the video were false and intended to instigate a campaign against the beverage.

Indian regulators in July ordered PepsiCo and other companies to drop the “energy drink” label in 90 days.

PepsiCo did not respond to questions.

TALE OF TWO RECIPES

Multinational food producers often make different versions of the same products to comply with local regulations, tastes and spending capacity. Mexican Coke, for instance, has achieved cult status due to its less-syrupy taste.

“Pricing and affordability are one of the biggest reasons recipes differ so much across countries," said former Mondelez executive Parul Sharma.

But in India, many consumers feel that they are being sold inferior products, said Himatsingka, who has made videos that unfavorably compare the ingredients in the Indian version of Fanta and Nestle’s KitKat against those sold in Europe and Australia.

Indian standard KitKats have 4.5% cocoa solids, while the milk chocolate in the Australian version contains at least 22% cocoa. All variants of Nestle’s Maggi instant noodles sold in India are made with palm oil, whereas many versions sold in Britain use pricier sunflower oil. Many of the Maggi packets sold in Britain are made in India, but they carry red front-of-pack labels warning of their high salt content.

“It is the frustration of feeling cheated," Himatsingka said.

There are some signs that changing consumer tastes are forcing companies to evolve.

Nestle in 2024, for instance, announced it would start selling sugar-free Cerelac baby food in India. Activists, including Himatsingka, had complained that for 50 years, only the version that contained sugar was sold in the country.

The company has long sold sugar-free Cerelac elsewhere.

(Reporting by Aditya Kalra in New Delhi and Richa Naidu in London; Editing by Lisa Jucca and Katerina Ang)

By Bharath Rajeswaran

Aug 19 (Reuters) - Robust profit growth for India's Nifty 50 companies has brightened the outlook for domestic markets, but global risk aversion and a strong IPO pipeline could temper a broader rally in the near term, according to Abakkus Investment Managers.

The benchmark Nifty 50 .NSEI and Sensex .BSESN are down 7.9% and 9.8% year-to-date amid crude-driven inflation and a record $25 billion in foreign outflows. In comparison, regional peers, such as South Korea and Taiwan, are up about 50% each.

Abakkus, which manages assets worth $5.2 billion, sees elevated crude prices, rising global yields and volatility in the AI trade as key external risks for Indian equities.

"Domestically, consumer demand and corporate profitability is strong as seen in the better-than-expected Q1 results, but globally, they are not," Aman Chowhan, head of equities of Alternates at Abakkus AMC, told Reuters on Wednesday.

However, Chowhan said that "after a weak first half, India should outperform EM and Asian peers relatively, but its direction will still be dictated by global risk sentiment, with crude and the AI trade likely setting the market's tempo."

Expanding equity supply is another hurdle, with IPOs, qualified institutional placements, and block deals competing for limited capital, Chowhan said.

"Every other day there's an IPO… some promoter selling, some QIP," Chowhan said, adding "fresh issues and institutional placements are siphoning liquidity from secondary markets as investors chase listing gains and growth stories."

After 27 mainboard IPOs raised 225.72 billion rupees ($2.36 billion) in the first half of 2026, a packed August pipeline signals sustained primary market supply in the near term.

Chowhan estimates that 40-50% of capital may, therefore, be absorbed by such offerings, restricting a broader market rally.

Against this backdrop, Abakkus favors leading niche NBFCs and mid-sized banking stocks, citing stronger credit growth.

It also expects foreign investors to return to equities only gradually as years of weak returns in key sectors, such as financials and IT, have made them cautious of increasing their exposure.

($1 = 95.7525 Indian rupees)

(Reporting by Bharath Rajeswaran in Bengaluru; Editing by Sonia Cheema)

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NEW DELHI, Aug 17 (Reuters) - Indian electric wiring manufacturer YY Harness said on Monday it had not employed any underage workers at its New Delhi facility, which has reopened after it submitted evidence to support its case in a child labour investigation.

The Delhi city government on August 10 said it had removed four children from the little-known electrical wiring and component company, all aged between 14-16, Reuters reported last week, citing Delhi city and police documents.

In a statement to Reuters on Monday, YY Harness said "the allegations that under-18 children were employed or working at the factory are not borne out by the documents and records available with the company."

Delhi Police and city officials did not immediately respond to a request for comment.

YY Harness confirmed the inspection by Delhi authorities earlier this month and said it had submitted the available documentary evidence to officials for verification.

"The competent authorities thereafter passed appropriate orders permitting the factory to reopen, pursuant to which the sealing of the premises was formally removed," the statement said.

YY Harness said the authorities had not shared with it any medical or official age-assessment documents that established "the age of the persons allegedly found to be minors."

The company said it complied with India's stringent labour, statutory, contractual and audit requirements.

(Reporting by Arpan Chaturvedi; Editing by Aditya Kalra and Jon Boyle)

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By Arpan Chaturvedi

NEW DELHI, Aug 14 (Reuters) - Indian electronics company Eureka Forbes EURK.NS said it has launched an internal investigation into its supply chain after authorities uncovered child labour at one of its suppliers in New Delhi.

The National Human Rights Commission this week asked Eureka, as well as electrical equipment maker Havells HVEL.NS and Unilever's India unit, to make checks after four children were rescued from a small-scale Indian vendor.

Delhi authorities on Monday rescued the children from a little-known electrical wiring and component company called YY Harness. The company, which had identified the big companies among its clients, did not respond to a Reuters request for comment.

Eureka Forbes - one of the nation's most popular makers of water purifiers - said it had initiated an investigation.

"We take these allegations extremely seriously...we have initiated an immediate review and audit of the practices,” Eureka Forbes Chief Financial Officer Gaurav Khandelwal said in a statement to Reuters.

Hindustan Unilever HLL.NS denied the vendor was a business partner. Havells did not respond to Reuters queries.

The Human Rights Commission is the country's top body tasked with protection of human rights and its orders are binding on government authorities.

Priyank Kanoongo, a senior member of the commission, told Reuters the companies in question must urgently carry out a check of their supply chains.

“Companies making profits from child labour is equal to blood-money,” Kanoongo said.

The four rescued children from YY Harness were aged between 14 and 16, according to case documents seen by Reuters. They told authorities they worked for six days a week at the unit and were paid between $105 and $125 per month. Police are investigating the incident.

The commission has previously intervened over tech giant Amazon's AMZN.O labour practices at a warehouse in New Delhi. Amazon had said the safety and wellbeing of its associates and employees is its top priority.

(Reporting by Arpan Chaturvedi; Editing by Aditya Kalra and Lincoln Feast.)

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By Ira Dugal

Aug 4 (Reuters) - Corporate India's earnings season has not quite turned out to be the horror show that investors had expected and is instead allaying concerns that the Middle East conflict and higher oil prices will punish stocks.

Coupled with the lucky break that its stock market is currently enjoying by being AWOL on AI, does that mean that India's two-year-long equity underperformance is finally ending? That's our focus this week. Write to me at [email protected].

And, Meta faces questions from the Indian government following recent youth protests. Read this Reuters Insight on what sparked the unrest and scroll down for more on the broader fallout.

THIS WEEK IN ASIA

How a US-Japan pact to hit yen bears came together

China draws 'red lines' around its economic model ahead of EU, US trade talks

Chinese military researchers tap US AI models to train defence systems

Big investors think it might be time to buy in South Korea

BETTER-THAN-FEARED EARNINGS BRING RELIEF

Corporate India has weathered the fallout from the U.S. and Israeli war with Iran better than expected, quarterly earnings suggest, strengthening the case for a rebound in the country's long-underperforming equities market.

While companies ranging from Reliance Industries RELI.NS to Hindustan Unilever HLL.NS and IndiGo airline did face pressure from higher input costs and supply-chain disruptions during the April-June period, earnings across much of corporate India have exceeded expectations.

"The strong first-quarter results and better-than-expected performance in several sectors should provide greater comfort to the market's earnings outlook," brokerage Kotak Institutional Equities said in a July 26 note.

A little over halfway through the reporting season, net profit at Nifty 50 companies has risen 11% from a year earlier and is tracking 3.5% above expectations, Kotak said.

The brokerage expects full-year profit growth of 18% for companies in the index.

Tepid single-digit earnings growth has weighed on sentiment towards Indian equities over the past two years, prompting foreign investors to question the market's rich valuations.

The Nifty 50 index is trading at 19.1 times one-year forward earnings, marginally below its 10-year average.

With profit growth now expected to recover into the mid-teens, fund managers are starting to give India a fresh look, Reuters reporters Nimesh Vora, Bharath Rajeswaran and Jaspreet Kalra said in this analysis.

India is also benefiting from a reversal of the crowded AI trade, helping fuel a rally in battered IT services stocks. Is India the ultimate anti-AI trade? Read this Reuters Open Interest column by Manishi Raychaudhuri.

First-quarter results have been ahead of expectations, although subdued on an absolute basis, Citi analysts said in a note on July 30, adding that Indian equities have outperformed in July.

"Further outperformance from here requires broadening of the AI-trade and sustained improvement in the domestic demand environment," Citi said.

AUTOS, FINANCE SURPRISE POSITIVELY

Auto firms are among those that have surprised positively on strong demand for SUVs and electric vehicles, even though higher commodity prices dented margins.

Mahindra and Mahindra MAHM.NS, which plans to double its EV production capacity over the next five years, reported 23% revenue growth while profits grew slower at 6.8%.

Peer Maruti Suzuki MRTI.NS reported a 29% increase in sales volume, and while profits dropped 10% they were ahead of expectations.

Across financials, the country's largest non-bank lender Bajaj Finance BJFN.NS reported a 24% increase in assets on strong loan demand from small businesses and consumption loans, prompting a near double-digit gain in the stock.

Pressure from the consequences of the Iran war was expectedly most visible across oil retailers. State-owned Indian Oil Corporation IOC.NS, Bharat Petroleum BPCL.NS and Hindustan Petroleum HPCL.NS all reported losses for the first time in 15 quarters.

Earnings reported so far indicate steady top-line growth across sectors, albeit accompanied by persistent margin pressures arising from elevated input costs and geopolitical uncertainties, said Bajaj Broking Prive Research in a note on August 1.

Management commentaries across industries have also pointed to sustained business momentum through July, it said.

MARKET MATTERS

Bloomberg Index Services has, for the second time this year, deferred the inclusion of Indian government securities in its flagship Global Aggregate Index.

Read more on the reason for that here.

In June India had widened the pool of securities eligible for foreign investment without limits and removed taxes on capital gains and interest earned by foreign investors on their bond holdings.

The policy changes had boosted expectations of India's inclusion in the widely tracked index and drawn nearly $7 billion in foreign flows.

INDIAN STUDENT PROTESTS: THE AFTERMATH

• The head of Meta India has been named in a complaint filed over multiple videos posted on the company's Facebook platform that depicted Prime Minister Narendra Modi in an "abusive manner". Meta said it is in touch with authorities to resolve the matter. Read more here.

• A number of cases have been filed against protesters, but the country's top court directed states to release those arrested below 18 years of age.

• Indian Prime Minister Narendra Modi said he wanted to forgive students who hurled expletives at him during protests last month rather than punishing them.

(Reporting by Ira Dugal; Editing by Muralikumar Anantharaman)

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By Praveen Paramasivam

July 28 (Reuters) - Hindustan Unilever HLL.NS on Tuesday signalled more selective price hikes to offset persistent commodity inflation, joining other consumer goods peers as the Middle East conflict keeps input costs elevated.

Shares fell as much as around 7% after the domestic unit of Britain's Unilever ULVR.L, home to brands including Dove and Surf Excel, said its profit fell 4% to 26.31 billion rupees ($274.92 million) in the first quarter ended June 30.

The U.S.-Israel war on Iran has saddled corporations worldwide with higher energy, freight and commodity costs, squeezing margins and prompting price increases for everything from packaged foods to tyres.

On Friday, Tata Consumer TACN.NS, home to brands such as Tetley and Organic India, warned of more price hikes.

Hindustan Unilever, too, said inflationary pressures will continue in the short-term as commodity volatility persists.

"We have only passed half of the inflation in pricing in the June quarter ... we will continue to take some calibrated measured steps on pricing," CFO Niranjan Gupta said on a media call.

Hindustan Unilever raised prices by 5% in the June quarter, while underlying volumes also climbed 5%, helping the Pears soapmaker post a 10% rise in sales from continuing operations to 165.14 billion rupees.

"This growth has come at the cost of stressed margins ... which has led to markets reacting negatively," Akshay D'Souza, an independent consumer goods consultant, said, adding elevated palm oil prices keep margins under pressure.

The Pepsodent toothpaste maker's standalone core earnings margin contracted 40 basis points to 22.8%, although it maintained its medium-term forecast for consolidated core earnings margin of 22.5% to 23.5%.

The stock, the biggest loser on the benchmark Nifty 50 index .NSEI, was last down 6.7% at 2,028.20 rupees.

Even as margins are under stress, CEO Priya Nair said Hindustan Unilever would focus on volume-led growth.

"If it comes to choices, our choices are clear," Nair said.

($1 = 95.7000 Indian rupees)

(Reporting by Praveen Paramasivam in Chennai; Editing by Sonia Cheema)

(([email protected]; +91 867-525-3569;))

The author is a Reuters Breakingviews columnist. The opinions expressed are her own. Updates to add graphic.

By Shritama Bose

MUMBAI, July 23 (Reuters Breakingviews) - Nestlé NESN.S is at a crossroads in one of its most important markets. The $268 billion KitKat maker's India arm posted a 48% jump in its net profit for the three months ending June, fuelled by strong demand across cities and rural areas. But selling to more price-sensitive shoppers could come with future costs.

A 25% increase in sales powered Nestlé India's NEST.NS first quarter earnings. The unit is also increasingly profitable with its EBITDA margin rising to 24%, a more than two percentage point increase from the same period last year. Its Mumbai-listed shares rose as much as 3.5% after it published its results on Wednesday.

CEO Manish Tiwary said the gains came from selling to a wider group of customers. That's a sign that Nestlé's push into India's hinterland, launched in 2019, is paying off as it entices aspirational consumers to its Maggi brand of instant noodles and converts tea drinkers to its Nescafe coffee. During that period, its reach has tripled to 216,000 villages.

That push has also translated into market share gains in areas like chocolate. India's booming instant delivery apps, run by Eternal ETEA.NS and Swiggy SWIG.NS, turned out to be a net positive for Nestlé's packaged goods. This was helped by a 40% increase in promotional spending during the quarter and the ability to tailor the display of its products on these apps' virtual shelves.

Nestlé India's momentum mirrors a broader recovery at its parent. Under new boss Philipp Navratil, Nestlé sales grew 3.5% in the first quarter of 2026 and the Nespresso maker is also expanding its valuation premium over rivals like Unilever ULVR.L and Reckitt Benckiser RKT.L. India contributes roughly 2% to the Swiss behemoth's annual sales.

For now, Nestlé's push into the Indian countryside looks smart. For over a year, demand from India's rural shoppers has outpaced their urban counterparts. That's been fuelled by a combination of cash transfers to households by regional governments, benign inflation and a strong monsoon season that boosted farm incomes last year.

Yet risks for the local unit loom. Its sales have been partly boosted by New Delhi's cuts to indirect taxes in September, a tailwind that could fade later this year, says Abhishek Mathur, lead analyst for India institutional equities at brokerage Systematix. Higher advertising spending and rising costs could eventually squeeze margins too, if growth slows.

Rural shoppers also tend to be more vulnerable to climate crises and price shocks. Nestlé has historically skewed towards wealthy city dwellers shielded it from those vagaries, which is reflected in its valuation: its Indian unit trades at 68 times its future earnings, higher than 43 times for Hindustan Unilever HLL.NS, which reaches nine out of 10 Indian households. That suggests reaching the widest pool of Indian customers comes with its own risks.

Follow Shritama Bose on LinkedIn and X.

CONTEXT NEWS

Nestlé India on July 22 reported a 48% jump in consolidated net profit for the three months ended June 30 to 9.59 billion rupees ($99.35 million). Sales of products increased 25% from the same period last year to 63.6 billion rupees.

(Editing by Aimee Donnellan; Production by Aditya Srivastav)

((For previous columns by the author, Reuters customers can click on BOSE/[email protected]))

By Praveen Paramasivam and Chandini Monnappa

CHENNAI/BENGALURU, June 8 (Reuters) - From smaller packs on shelves to higher prices at checkout, Indian companies are scrambling to protect their margins as surging oil, freight and insurance costs - and strained household budgets - pile on pressure.

The U.S.-Israeli war on Iran has disrupted trade routes and lifted input costs globally, hitting import-reliant economies like India harder, where a weaker rupee is adding to inflation and complicating pricing decisions as demand remains uneven.

"We are among the world's most vulnerable countries," economist Jayati Ghosh said, warning higher oil and fertiliser costs, weaker Gulf demand, softer remittances and potential capital outflows could stoke inflation and slow growth.

Consumer goods makers Hindustan Unilever HLL.NS, Godrej Consumer Products GOCP.NS and Dabur India DABU.NS have already rolled out low- to mid-single-digit price hikes across categories, with Britannia BRIT.NS preparing similar moves.

Pricing power remains weak in mass segments, with companies holding the line on 10- to 20-rupee (11- to 21-cent) packs and shrinking product sizes instead of raising prices outright.

"We are reducing grammage because we can't breach those price points," said Mohit Malhotra, global CEO at Dabur.

Automakers Maruti Suzuki MRTI.NS, Mahindra & Mahindra MAHM.NS, Tata Motors Passenger Vehicles TAMO.NS and Hyundai Motor India HYUN.NS have also hiked prices.

"We were left with no choice," said Partho Banerjee, Maruti's senior executive officer for marketing and sales, adding that raising prices was not good for customers, especially first-time buyers.

Airlines IndiGo INGL.NS and Air India are trimming capacity, especially on fuel-heavy international routes, and increasing fares to offset higher aviation fuel costs.

Consumers are feeling the squeeze.

"I have no family to feed, no school fees, and no monthly payments on a car. I'm still watching my spending as prices are up for almost everything, from travel to packaged food," said Aditi Anjana, a Mumbai-based communications professional who is in her 30s.

BELT-TIGHTENING MODE

With limited room to pass on costs, companies are turning inward and cutting costs to cushion margins.

Hindustan Unilever HLL.NS has cut advertising spend, while others are trimming non-essential travel and marketing costs.

"The scope for further cost-cutting is gradually narrowing," Axis Direct analyst Uttam Kumar Srimal said, adding prolonged commodity and fuel inflation could force sharper price hikes or margin hits.

Sectors with high global exposure, including aviation, oil and gas, chemicals, logistics and capital goods, may remain under margin pressure, said Shweta Rajani, associate director at Anand Rathi Wealth.

RESETTING SUPPLY CHAINS

Firms are also reworking supply chains to manage disruptions. Companies with Middle East exposure are rerouting shipments, diversifying sourcing, and shifting production.

Dabur, an Indian rival of Colgate-Palmolive, is using alternative routes via Egypt and Turkey, while packaged goods maker Britannia is bringing some production back home.

Some firms are also front-loading purchases and closely tracking demand to avoid overstocking, underscoring tighter working capital discipline.

Arvind Fashions ARVF.NS has advanced inventory buys to lock in costs and is relying more on local suppliers, while Tata Group retailer Trent TREN.NS is tweaking raw materials, packaging, and product development.

"My priority is not to take prices up," said Umashan Naidoo, head of customer and beauty at Trent, which offers Gen-Z-focused affordable trendwear through its brand ​Zudio.

($1 = 94.9450 Indian rupees)

(Reporting by Praveen Paramasivam in Chennai and Chandini Monnappa in Bengaluru; Additional reporting by Surbhi Misra; Editing by Dhanya Skariachan and Himani Sarkar)

(([email protected];))

Adds Wendy's

May 20 (Reuters) - Fast-food chain Wendy's WEN.O on Wednesday named industry veteran Robert Wright as president and chief executive officer, the latest global consumer goods company to bet on a change at the top amid tariff pressures and choppy consumer spending.

Here are some of the major CEO changes among global retailers and consumer goods companies in 2025 and 2026:

(Reporting by Neil J Kanatt, Sanskriti Shekhar and Koyena Das in Bengaluru, Vera Dvorakova in Gdansk; Editing by Sriraj Kalluvila and Maju Samuel)

(([email protected]))

Rewrites with comments from earnings call

May 7 (Reuters) - India's Dabur DABU.NS signaled a second round of price hikes after implementing a 4% increase across parts of its portfolio, as war in the Middle East drives up manufacturing and transportation costs.

A surge in energy prices caused by the war is rippling through global supply chains for common consumer goods, making materials like chemicals and plastics more expensive.

"We want to increase the margins from last year to the current year and mitigate all the inflation through price increases," Dabur said in a call with analysts after reporting results on Thursday.

Peers including Dove soapmaker Hindustan Unilever HLL.NS and cooking oil manufacturer AWL Agri Business AWLA.NS are also the tightening costs and raising prices to account for rising raw material costs.

Dabur is also shrinking the size of products priced at 10-20 rupees — a key price band for budget-conscious consumers — to manage inflation, after increasing pack sizes when India cut consumption taxes last year.

Along with the raw material inflation due to the regional conflict, the honey-to-toothpaste maker also faces sales pressure as the Middle East contributes 30%-35% of its international business.

Middle East and North Africa revenue climbed 1%, while most other regions posted double-digit growth. Dabur attributed the disparity partly to an exodus of expatriates from the Gulf, which in recent years has become a focus area for Indian consumer goods makers.

Separately, Dabur beat quarterly profit estimates, helped by steady demand after consumption tax cuts in India.

Consolidated profit jumped 15% to 3.69 billion rupees ($39.15 million), while revenue rose 7% to 30.38 billion rupees.

($1 = 94.2500 Indian rupees)

(Reporting by Urvi Dugar in Bengaluru and Praveen Paramasivam in Chennai; Editing by Nivedita Bhattacharjee and Ronojoy Mazumdar)

(([email protected]; +91 9558725583;))

Recasts paragraph 1; adds revenue forecast in paragraph 3, company comment in paragraph 10; updates shares in paragraph 5

By Surbhi Misra and Praveen Paramasivam

May 5 (Reuters) - India's Marico MRCO.NS forecast annual revenue above estimates on Tuesday, betting on steady volume growth and expansion in its premium segments, even as it warned of price hikes and shrinking margins after Middle East tensions drove up input costs.

The consumer goods major, which is known for its Parachute and Saffola brands of oils, has made a strong push into the premium tier in the foods and personal care segments, adding brands such as Plix, True Elements, Beardo and Just Herbs over the last decade. The shift away from oils is a move that peer AWL Agri Business AWLA.NS is also pursuing.

Marico forecast consolidated revenue crossing 150 billion rupees ($1.57 billion) for the ongoing fiscal year ending March 2027, above estimates of 146.94 billion rupees, according to data compiled by LSEG.

The segment accounted for around 23% of its overall revenue in fiscal 2026, the company said, expecting the segment to grow to around 33% by fiscal 2030.

Shares closed 2.9% higher, reversing course from losses of 2.7%, after the firm said it aspired to deliver earnings before interest, taxes, depreciation, and amortization (EBITDA) growth in the high-teen percentage range in fiscal 2027, subject to "stable" macro conditions.

MARGIN PRESSURES

Ongoing geopolitical tensions have pushed Brent crude prices to above $110, eating into the company's EBITDA margin, which shrank 114 basis points to 15.6% for the fourth quarter ended March 31.

Marico, echoing consumer goods peers - including bellwether Hindustan Unilever HLL.NS - said it would cut costs and raise prices to protect its margins.

"Vegetable oils and other crude‑linked inputs continue to exhibit an inflationary bias, following the ongoing geopolitical developments in the Middle East," the company said, adding that a decline in prices of copra, a key ingredient for coconut oil, will help alleviate potential crude-related pressures.

For the fourth quarter, revenue climbed 22% to 33.33 billion rupees, while profit rose 14% to 3.91 billion rupees, beating estimates of 3.85 billion rupees.

($1 = 95.2800 Indian rupees)

(Reporting by Surbhi Misra in Bengaluru and Praveen Paramasivam in Chennai; Editing by Janane Venkatraman)

(([email protected] | X: https://twitter.com/SurbhiMisra_))

** Shares of India's Hindustan Unilever HLL.NS jump as much as 5.1% to 2,365.80 rupees; last up 3.36%

** Co top gainer on Nifty FMCG .NIFTYFMCG index, which is up ~0.65%

** Shares were trading when co reported results on Thursday and closed 2.7% lower

** Consumer staples major reported 18% y/y rise in Q4 profit, maintained its mid-term forecast for core earnings margin at 22.5%–23.5%

** Nomura lifts PT by 50 rupees to 2,650 rupees; forecasts EPS CAGR of ~9.5% over FY26–FY28

** BOB Capital Markets upgraded HLL to "buy" and raises PT to 2,598 rupees, citing a positive medium-term growth outlook

** Phillip Capital expects near-double-digit FY27 sales growth, driven by price hikes and volume recovery

** YTD, stock up ~0.9% vs Nifty FMCG's decline of ~7.1%

($1 = 94.9450 Indian rupees)

(Reporting by Bipasha Dey in Bengaluru)

(([email protected];))

Adds executive comment from earnings call in paragraph 3, analyst comment in paragraph 5; updates shares in paragraph 6

By Praveen Paramasivam

April 30 (Reuters) - Hindustan Unilever Ltd HLL.NS said on Thursday it is relying on cost cuts and price increases to counter commodity volatility stemming from the Middle East war, after reporting an 18% jump in quarterly profit.

Rising raw material costs, driven by a war-led spike in crude prices, are expected to squeeze margins for consumer goods makers, with India particularly vulnerable as the world's third-largest oil consumer depends heavily on Middle East energy imports.

Material cost inflation is roughly at 8% to 10%, while price hikes that Hindustan Unilever has implemented so far are between 2% and 5%, finance chief Niranjan Gupta said on an earnings call.

The company is reducing pack sizes for certain products and raising prices for some others, while stepping up cost cuts, including in advertising, to offset what it called "short-term impacts from Middle East situation."

"Hindustan Unilever and peers face a margin squeeze: input costs are rising quickly, but consumer resistance, competition, and the need to protect volumes prevent full and immediate pass-through," consumer goods consultant Akshay D'Souza said.

Shares fell 4% post-results, making the stock the third-biggest loser on the benchmark Nifty 50 .NSEI in a broadly weaker market.

The pressures reflect a broader industry trend, with peers such as bottled water maker Bisleri and Fortune cooking oil maker AWL Agri Business AWLA.NS also leaning on ​price hikes to shield margins.

The Dove soapmaker, however, maintained its mid-term forecast for core earnings margin at 22.5%-23.5%.

Also on Thursday, parent Unilever ULVR.L said it would raise prices as the Iran war drives up costs, even as it reported quarterly underlying sales growth ahead of analysts' forecasts.

For the March quarter, Hindustan Unilever's profit rose to 29.30 billion rupees ($307.57 million), helped by consumption tax cuts, while revenue climbed 7% to 155.99 billion rupees.

Margins on earnings before interest, tax, depreciation, and amortisation (EBITDA) improved 10 basis points year-on-year to 23.9%.

Hindustan Unilever expects its fiscal 2027 performance to be better, as it sharpens its focus on premium products and doubles down on "fewer, bigger bets" including its Horlicks protein drink, it said.

($1 = 95.2638 Indian rupees)

(Reporting by Praveen Paramasivam in Chennai; Editing by Sonia Cheema)

(([email protected]; +91 867-525-3569;))

By Praveen Paramasivam

April 29 (Reuters) - Indian consumer goods maker AWL Agri Business AWLA.NS is grappling with a roughly 20% surge in some crude-linked input costs as the Middle East conflict drives up prices for fuel, chemicals and packaging materials, its CEO said.

The pressures reflect a broader industry trend, with peers such as bottled water maker Bisleri and Dove soapmaker Hindustan Unilever HLL.NS raising prices to counter higher conflict-linked input costs.

"Costs have gone up for us in terms of chemicals, packing material and coal, so that is something which remains a cause of concern even today," Shrikant Kanhere, AWL's managing director and CEO, told Reuters in an interview.

AWL, home of brands including Fortune cooking oil and Kohinoor rice, is adjusting prices in line with market movements, absorbing part of the increase while passing the rest on to consumers, Kanhere said, without giving details.

Input costs for some crude-linked materials have risen by about 20% since the conflict began, translating into a cost impact of roughly 25 to 50 basis points, he added.

Global oil prices have surged amid fears of supply disruptions. Brent crude has climbed from the low $70s a barrel before the Middle East conflict to above $110, market data show.

The company, which is cutting packaging and fuel use at its plants to limit the hit to profits, expects per-ton margins to be broadly stable in fiscal 2027.

AWL is also expanding distribution and investing heavily in online channels and large-format grocers, which together posted nearly 50% growth last year, in a push to scale up volumes.

Kanhere forecast sales volume growth of 8% to 9% in fiscal 2027, nearly double last year's pace, with edible oils growing at a mid-single-digit rate and foods posting double-digit growth.

(Reporting by Praveen Paramasivam in Chennai; Editing by Dhanya Skariachan)

(([email protected]; +91 867-525-3569;))

Adds Best Buy in paragraph 1 and table

April 22 (Reuters) - U.S. electronics retailer Best Buy BBY.N named Jason Bonfig as its new CEO, the latest global consumer goods company to bet on a change at the top amid tariff pressures and choppy consumer spending.

Here are some of the major CEO changes among global retailers and consumer goods companies in 2025 and 2026:

(Reporting by Neil J Kanatt, Sanskriti Shekhar and Koyena Das in Bengaluru, Vera Dvorakova in Gdansk; Editing by Sriraj Kalluvila)

(([email protected]))

** ICICI Securities raises PT on Hindustan Unilever HLL.NS to 2,800 rupees from 2,700 rupees, maintains "buy"

** Says consumer goods major is better positioned to navigate rising input cost pressures, aided by strong pricing power and brand strength

** Expects shift from volume-led growth to pricing-led growth; adds near-term margins may soften due to lag in price hikes

** Adds, inflationary cycles could aid market share gains as smaller players face cost pressures

** Expects revenue, PAT to rise 10%, EBITDA to advance 11% in FY25–28

** HLL up 1.72% to 2,269 rupees vs Nifty FMCG .NIFTYFMCG up 0.5%; YTD, stock down nearly 3% vs sub-index's near 7% fall

(Reporting by Devika Nair in Bengaluru)

(([email protected];))

Adds Conagra

April 13 (Reuters) - Conagra CAG.N has named John Brase as its new CEO, becoming the latest consumer goods company to make a change at the top as the sector navigates tariff pressures and choppy consumer spending.

Here are some of the major CEO changes among global retailers and consumer goods companies in 2025 and 2026:

(Reporting by Neil J Kanatt, Sanskriti Shekhar and Koyena Das in Bengaluru, Vera Dvorakova in Gdansk; Editing by Anil D'Silva, Alan Barona, Arun Koyyur and Shreya Biswas)

(([email protected]))

The author is a Reuters Breakingviews columnist. The opinions expressed are her own.

By Ujjaini Dutta

BENGALURU, April 10 (Reuters Breakingviews) - As India’s busiest beer season approaches, Carlsberg CARLb.CO is readying its taps. The Tuborg-maker is preparing a $700 million listing of its India arm in a market that offers room for growth at a time when the brewer is grappling with high debt and sluggish beer sales in the West. A premium valuation, possible in a country where wealthy drinkers are trading up, could help the brewer pay down its chunky deal-making tab.

Carlsberg has spent 20 years building its India business. The $18 billion brewer reckons its high-end Tuborg brand is the “most-consumed” in the world’s fourth-largest economy. It has also seen its share of the 639 billion rupees ($6.86 billion) beer market increase to 22% from just about 5% in 2011. But debt has been hanging over the brewer since its $4 billion acquisition of soft drinks maker Britvic in 2024. Since that deal, its net debt-to-EBITDA ratio roughly doubled to 3.25 in the year ended December 2025, well above its 2.5 target.

An India listing gives Carlsberg a shot at a richer valuation that can help bring down this debt. Carlsberg trades at about 13 times its expected earnings this year, trailing rival Anheuser-Busch InBev’s ABI.BR over 17 times. Heineken HEIN.AS-owned United Breweries UBBW.NS in India, by comparison, trades at 80 times. That valuation gap is not unique: Nestlé India NEST.NS at 73, Hindustan Unilever HLL.NS at 47 and LG Electronics India LGEL.NS at 54 trade at multiples higher than their parent companies.

Carlsberg can also use the proceeds from the listing to help fund its expansion plans in India. The growing beer market looks compelling as booze loses pull in ageing, health-conscious populations in Europe and North America. India's beer consumption is still very low - just 2 litres per person annually, according to market research firm IMARC Group. That's far below consumption levels in the U.S. and Europe, suggesting significant room for growth. Meanwhile, the market is expected to grow over 5% annually, compared to Europe’s 2% and North America’s 4%, amid a surge of demand from affluent Indians.

Still, India won’t be an easy win. The sector faces complex state regulations, high levies, and increasing competition from local beer makers and giants like United Breweries and AB InBev. United Breweries, India’s listed beer market leader, is also pushing further into the premium segment in a bid to restore its net profit margin which has halved since 2019. But a local listing will hand Carlsberg's CEO Jacob Aarup-Andersen a currency to strike deals in the country. And with a lighter debt load, he has a shot at growing beyond India too.

Follow Ujjaini Dutta on LinkedIn and X.

CONTEXT NEWS

Carlsberg CEO Jacob Aarup-Andersen on February 4 said that the company was exploring a potential listing of its India business.

Carlsberg has appointed three banks - Kotak Mahindra Capital Co. and the local units of JPMorgan Chase & Co and Citigroup - for the potential listing of its India arm, Bloomberg reported on February 23, citing people familiar with the matter. This offering could raise as much as $700 million.

A draft red herring prospectus could be filed as early as May.

(Editing by Aimee Donnellan; Production by Aditya Srivastav)

((For previous columns by the author, Reuters customers can click on DUTTA/[email protected]))

Adds Dollar General

March 24 (Reuters) - Dollar General DG.N has named Jerry Fleeman Jr. as its CEO, becoming the latest consumer goods company to make a change at the top as the sector navigates tariff pressures and choppy consumer spending.

Here are some of the major CEO changes among global retailers and consumer goods companies in 2025 and 2026:

(Reporting by Neil J Kanatt, Sanskriti Shekhar and Koyena Das in Bengaluru, Vera Dvorakova in Gdansk; Editing by Anil D'Silva, Alan Barona, Arun Koyyur and Shreya Biswas)

(([email protected]))

March 20 (Reuters) - Hindustan Unilever Ltd HLL.NS:

• HINDUSTAN UNILEVER - CLARIFIES NO DISCUSSIONS REGARDING FOODS PORTFOLIO DIVESTMENT

Source text: ID:nBSE2LQyLW

Further company coverage: HLL.NS

(([email protected];))

March 4 (Reuters) - Hindustan Unilever Ltd HLL.NS:

• COMPLETED SALE OF ENTIRE SHAREHOLDING IN NUTRITIONALAB FOR 3.07 BILLION RUPEES

Source text: ID:nnAZN4SJHFJ

Further company coverage: HLL.NS

(([email protected];;))

Feb 18 (Reuters) - India's Hindustan Unilever HLL.NS said on Wednesday it will invest 20 billion rupees ($220.54 million) over two years to expand manufacturing capacity in its fast-growing premium categories across beauty, wellbeing and home care.

($1 = 90.6870 Indian rupees)

(Reporting by Nishit Navin)

(([email protected];))

** Hindustan Unilever HLL.NS posted 15% y/y drop in Q3 earnings on Thursday, pressured by thinner margins

** Shares of consumer goods major fall nearly 2% to 2,358.10 rupees

EARNINGS INFLECTION KEY

** UBS ("buy", TP: 2,950 rupees) says volume growth stood out despite GST disruption, but notes margin pressure; Q4 momentum would be key for potential re-rating trigger

** J.P. Morgan ("overweight", TP: 2,700 rupees) says pivot to volume-led growth and organisational simplification supports FY27 acceleration; near-term stock consolidation likely until sustained volume improvement becomes visible

** HSBC ("hold", TP: 2,650 rupees) cuts FY27 EPS on lower growth assumptions; adds that clearer guidance and stronger earnings acceleration are needed for re-rating

** Morgan Stanley ("equal-weight", TP: 2,330 rupees) points to stable margins and gradual consumption recovery, but notes management stopped short of committing to double-digit earnings growth timelines

(Reporting by Surbhi Misra in Bengaluru)

(([email protected] | X: https://twitter.com/SurbhiMisra_ |;))

** Shares of India's Hindustan Unilever HLL.NS drop 2.6% to 2,399.50 rupees

** The local unit of UK's Unilever ULVR.L reports 15% year-on-year fall in third-quarter profit to 25.90 billion rupees ($285.91 million)

** Co's quarterly profit dropped as it took a one-time charge of more than 1 billion rupees tied to India's new labour codes

** Trading vols at 1.72 million shares, close to the 30-day-avg of 1.33 million shares

** HLL rated "buy" on average by 37 analysts, median PT at 2780 rupees, according to data compiled by LSEG

** HLL gained 1.2% in 2025, stock up 6.35% so far in 2026

($1 = 90.5880 Indian rupees)

(Reporting by Surbhi Misra in Bengaluru)

(([email protected] | X: https://twitter.com/SurbhiMisra_ |;))