New Delhi: Shares of Hindustan Unilever Ltd (HUL) surged by 4.61% in early trade on Friday after the company announced the appointment of Priya Nair as its new Managing Director and Chief Executive Officer (CEO). This leadership change marks a historic moment, as Nair becomes the first woman CEO of HUL, one of India’s largest FMCG companies.
Takes Over From 1 August
Priya Nair will officially assume her role from 1 August 2025 for a term of five years, replacing Rohit Jawa, who steps down on 31 July. She is currently the Global President of Beauty & Wellbeing at HUL’s parent company Unilever. Her appointment comes at a critical time when HUL is facing slow demand, margin pressure, and rising competition from digital-first and regional brands.
Positive Response from Brokerages
Analysts and brokerage firms responded positively to the news. According to Nomura, the leadership change indicates Unilever’s strong intent to revive growth in India. The firm maintained its ‘Buy’ rating on HUL and a target price of ₹2,600. Nair has a strong track record, having led HUL’s Home Care and Beauty & Personal Care businesses in India. Under her leadership, HUL saw a 570-basis-point margin improvement in the Home Care segment between FY14 and FY20.
Growth Challenges Ahead
HUL has been struggling to maintain momentum. In FY25, the company reported only 2% volume growth—identical to the previous year. While the laundry segment held steady, categories like beauty, personal care, and packaged foods remained under pressure due to inflation and tough competition.
Jefferies’ Outlook on HUL
Global brokerage Jefferies called HUL’s recent performance “lacklustre” and issued a wishlist for the new CEO. Key expectations include:
- Defending market share in soaps, beauty, and tea
- Boosting premiumization and brand investments
- Turning around lagging brands like Horlicks
- Modernizing distribution and improving go-to-market strategies
Unilever’s Global Reset and Focus on India
Nair’s appointment aligns with Unilever’s global restructuring under new CEO Fernando Fernandez. He identified India as one of two “anchor markets” for Unilever globally and announced plans to double down on investments here. HUL contributes about 11% to Unilever’s global revenue, making it the company’s second-largest market after the US.
Focus Shifts from Margin to Growth
While HUL previously focused on margin expansion (from 16.9% in FY15 to 24.8% in FY20), Jefferies believes that the current focus should be on growth over profitability. The company has revised its EBITDA margin guidance to 22–23%, allowing more investment in core brands.
Rohit Jawa’s Tenure Comes to an End
Outgoing CEO Rohit Jawa, who led the ₹2,995 crore acquisition of skincare brand Minimalist and launched the Aspire strategy, stepped down citing personal and professional reasons. He took over in June 2023, succeeding Sanjiv Mehta.
About Priya Nair
- Over 30 years with Unilever
- Held leadership roles in Home Care and Beauty & Personal Care in India
- Oversaw a €13 billion global portfolio across 20+ countries
- Known for championing influencer marketing, social-first strategies, and premium brand positioning
Clarification on CFO Ritesh Tiwari
Following reports about CFO Ritesh Tiwari moving to a global role, HUL issued a clarification stating that Tiwari continues as Executive Director, Finance, IT & CFO. Tiwari began his career as a management trainee in 1999 and has held multiple leadership roles across India, UK, and Singapore. He became CFO in May 2021, succeeding Srinivas Phatak, who later moved to Unilever’s headquarters.
What Lies Ahead for HUL?
- Reigniting growth momentum
- Enhancing digital capabilities
- Competing with new-age brands and e-commerce players
- Addressing inflation and evolving consumer behavior
Conclusion
Priya Nair’s appointment is a landmark moment for HUL and could mark a new era for the company. With her proven leadership and deep knowledge of the Indian consumer market, the Street is optimistic about her ability to revitalize growth and innovation in HUL.