Hindustan Unilever Ltd. (HUL), a major player in the personal care and home care sectors, is set to increase prices of its products by 2-5% due to escalating input costs driven by geopolitical tensions in West Asia. Despite these price hikes, HUL has reported its strongest volume growth in 15 quarters, with a 21.3% rise in net profit to ₹2,994 crore for the fourth quarter of fiscal year 2026, surpassing analyst expectations. The company’s Chief Financial Officer, Niranjan Gupta, remains optimistic about consumer demand, believing that these daily necessities will maintain their sales despite higher prices. Additionally, HUL is subtly reducing product fill levels, meaning consumers may receive less product while paying the same price. This adjustment is worth noting for consumers who may not immediately recognize the change in quantity. As the cost of everyday essentials rises, it raises questions about consumer behavior—whether they will trade down to cheaper alternatives or simply reduce their purchases.