 "Hindustan Unilever")
FMCG major HUL's revenue from Lakme Lever Pvt Ltd, a wholly-owned subsidiary engaged in the salon business, increased 19.3 per cent to Rs 328 crore in FY23, led by a recovery in the business after the COVID-19 pandemic, as per the company's latest annual report.
The subsidiary reported a Rs 275 crore revenue from the sale of products and services in FY22.
"The company (Lakme Lever) delivered robust top line and bottom line growth led by a recovery in the salon business," the report said.
With a focus on safety, quality of operations, expert treatments and prudent cost optimisation, the salon business continues to perform well in the beauty services category, it said.
"Job work business continued to do well," said HUL.
Lakme Lever has over 450 owned/managed and franchisee salons. In the last year's annual report, the number of saloons was 400.
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"The company has emerged stronger post the pandemic by strengthening safety, quality and expertise across all touch points in our customer journey," it said.
Lakme Lever also operates a manufacturing unit at Gandhidham, which carries out job work operations of HUL by manufacturing toilet soaps, bathing bars and detergent bars.
According to HUL, thematic campaigns such as Good Hair Day, Happy New You and Skin Investment Plan helped gain new clients and sustain existing ones.
"Lakme Salon continues to be a highly preferred option for franchisees in the beauty and wellness category, attracting several professionals and entrepreneurs to own their Lakme Salon," it added.
Lakme Lever Private Limited was formed in 1996 after the merger of Tata Oil Mills Ltd.
The revenue from HUL's other wholly-owned subsidiary Unilever India Exports Ltd was Rs 1,268 crore in FY23. This was Rs 1,255 crore a year ago.
Unilever India Exports is engaged in the FMCG exports business of brands, such as Vaseline, Dove, Pears, Bru, Red Label, Lakme, Horlicks and Boost, and to effectively provide cross-border sourcing of FMCG products to other Unilever companies across the world.
"The top-line growth of the company was driven by growth in Skin Care, Health Food Drinks, Instant Tea and Personal Wash Brands like Dove, Horlicks, Vaseline, Pears, Sunsilk, Glow and Lovely, Ponds, Lipton Hot Instant Tea, Lakme and Lifebuoy," it said.
These brands have registered healthy growth in the focused markets, according to the annual report.
For the financial year ended March 31, HUL turnover was up 16 per cent at Rs 58,154 crore.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
