Hindustan Unilever Limited (HUL), one of India's leading FMCG companies, has announced a significant change in its top management. Niranjan Gupta is set to take over as the new Chief Financial Officer (CFO) of the company, succeeding Ritesh Tiwari, who is moving to a global role within Unilever PLC.

Key Management Changes

• New CFO Appointment: Niranjan Gupta will assume the role of Executive Director, Finance & Chief Financial Officer at HUL, effective November 1, 2025.
• Transition Period: Gupta will join as Chief Financial Officer - Designate on September 1, 2025, allowing for a smooth transition.
• Board Position: Subject to necessary approvals, Gupta will also join the HUL Board from November 1, 2025.
• Outgoing CFO: Ritesh Tiwari will transition to the role of Global Head of M&A and Treasury at Unilever PLC, based in London, from November 1, 2025.

Niranjan Gupta's Background

Niranjan Gupta brings a wealth of experience to his new role at HUL:

• HUL Veteran: Began his career with HUL, spending 20 years across various leadership roles.
• Diverse Industry Experience: Held positions at Vedanta Limited and Hero MotoCorp.
• Recent Roles: Served as CFO at Hero MotoCorp from 2017, later elevated to CEO in 2023.
• Strategic Contributions: Known for strengthening financial health, long-term strategy creation, and establishing strategic partnerships, including a collaboration with Harley Davidson.

Ritesh Tiwari's Tenure and Achievements

Ritesh Tiwari, who has been with HUL since 2021, leaves behind a strong legacy:

• Pandemic Leadership: Steered the company through the COVID-19 pandemic, ensuring sustained growth.
• Strategic Capital Allocation: Focused on driving competitive volume-led growth in volatile market conditions.
• Portfolio Management: Led key acquisitions, disposals, and partnerships to sharpen HUL's portfolio.
• Recent Initiative: Spearheaded the Ice Cream business demerger into Kwality Walls (India) Limited, paving the way for its independent listing (subject to regulatory approvals).

Management Commentary

Priya Nair, CEO & MD of HUL, expressed confidence in the transition:

"I would like to thank Ritesh for his future-focused leadership and invaluable contribution to HUL. He led our portfolio transformation efforts, aligning resources to high-growth areas resulting in strong market share gains. His elevation to the global role is yet another testament to HUL's strong leadership pipeline. I am pleased to welcome Niranjan back to Hindustan Unilever and I am confident that he will play a pivotal role in steering the company towards its next phase of growth."

The appointment of Niranjan Gupta as CFO marks a new chapter for Hindustan Unilever, bringing fresh perspectives and extensive experience to the company's financial leadership. As HUL continues to navigate the dynamic FMCG landscape, this strategic move is expected to contribute to the company's ongoing growth and market position.

Hindustan Unilever Limited (HUL), India's leading FMCG company, is intensifying its focus on the Foods business while also planning to demerge its ice cream business, Kwality Walls India. These strategic moves aim to unlock significant value for shareholders and accelerate growth across multiple segments.

Foods Business Strategy

CFO Ritesh Tiwari outlined HUL's approach to the Foods business, which now receives the same strategic attention as its Beauty & Personal Care and Home Care segments. The company has identified six priority demand spaces:

1. Tea and coffee
2. Lifestyle nutrition
3. Out-of-home food solutions
4. Condiments
5. Mini-meals
6. Accompaniments

HUL plans to leverage its brands strategically, using Kissan for Indian cuisine, Knorr for international cuisine, and Hellmann's for condiments, while avoiding the staples category.

Beverages and Nutrition Performance

The company's beverages portfolio showed strong performance, with double-digit growth in coffee and high single-digit growth in tea. HUL is also planning a Horlicks relaunch with product changes to boost category consumption, acknowledging that more work is needed despite gaining market share.

Ice Cream Business Demerger

HUL is set to demerge its ice cream business, Kwality Walls India, with plans to list it as a separate entity by the end of FY25. The demerged entity will include popular brands such as Kwality Wall's, Cornetto, Magnum, and The Dairy Factory, along with five ice cream factories and cold storage logistics infrastructure.

Growth Projections and Market Opportunity

Tiwari expressed confidence in the future of the demerged ice cream business, projecting it to double in size over the next 2-3 years. The Indian ice cream market, currently valued at ₹30,000.00 crore, is projected to reach ₹50,000.00 crore by 2028, highlighting significant growth potential.

Current Performance and Future Potential

The ice cream business currently contributes ₹1,800.00 crore to HUL's revenue, accounting for approximately 3% of the company's total turnover. While current EBITDA margins are in the low single digits, substantial improvement is anticipated post-demerger.

Strategic Considerations

Unlike its global parent Unilever, which sold tea businesses worldwide, HUL retained its tea and coffee operations due to growth potential and ownership advantages. Tiwari ruled out separating the Foods business, citing synergies across supply chain, distribution, and go-to-market structures.

Future Outlook

HUL expects sequential improvement in growth over the next few quarters, with the first half of FY25 expected to outperform the latter half of FY24. The company is on track to complete the ice cream business demerger process by Q4 of Financial Year'26, subject to necessary approvals.

These strategic moves position HUL to capitalize on growth opportunities in both the Foods and Ice Cream segments, potentially delivering enhanced value to shareholders while addressing the evolving needs of the Indian market.