HUL Faces Rising Ad Complaints In FY24

Hindustan Unilever Limited (HUL) declared in its annual report that consumer complaints regarding advertisements increased in FY24 compared to the previous year. In FY2022-23, the company received ten complaints while in FY24, the number rose to 18. Additionally, one complaint from FY23 remains unresolved at the close of the fiscal year.

HUL’s annual report states, “We have reported above complaints in relation to ‘data privacy’, ‘advertising’, ‘cyber-security’, ‘delivery of essential services’, ‘restrictive trade practices’ and ‘unfair trade practices’".

In its FY 2020-21 annual report, HUL revealed that 28 complaints were filed against its advertisements with the Advertising Standards Council of India (ASCI). The following year, FY 2021-22 saw 14 complaints filed with ASCI.

In its results for the quarter and year ended 31 March 2024, HUL reported an increase in advertising and promotion spending which reached Rs 1,616 crore in Q4, up from Rs 1,311 crore in the corresponding quarter of 2023. For the full year ended 31 March  2024, HUL recorded Rs 6,489 crore in advertising and promotions expenses.

On April 24, Hindustan Unilever reported a 6 per cent decline in standalone net profit for the fiscal fourth quarter, posting Rs 2,406 crore compared to Rs 2,552 crore in the same period the previous year. The company's turnover for the financial year ended 31 March 2024 stood at Rs 59,579 crore, up from Rs 58,154 crore for the financial year ended 31 March 2023.