HUL's Q2 revenue, net profit rise as business back to normal level

 Hindustan Unilever (HUL), the country's largest consumer goods company, appears to have put the challenges emanating from the Covid-19 pandemic and lockdown firmly behind it.

On Tuesday, the company reported an 8.7 per cent year-on-year increase in net profit to Rs 2,009 crore for the July-September period (Q2), beating Street estimates by a wide margin.

A poll of analysts done by Bloomberg had pegged the firm's net profit at Rs 1,915 crore. Its revenue for the quarter rose 16.1 per cent from a year ago to Rs 11,442 crore.

Consensus estimates by Bloomberg had pegged the revenue at Rs 11,138 crore for the quarter. HUL said the numbers were not strictly comparable since it took into account the nutrition business acquired from GSK Consumer last year.

Excluding the nutrition portfolio, HUL's top line growth was 3 per cent for the quarter, with volume growth at 1 per cent and price-led growth at 2 per cent. Despite this, analysts tracking the company said HUL had delivered a good set of numbers, given that urban markets continued to experience weakness compared with rural areas. About 60 per cent of HUL's sales come from urban areas and the rest from rural markets.

"HUL's performance was largely in line with our expectations barring the 1 per cent miss on volume growth," said Kaustubh Pawaskar, associate vice-president (research) at brokerage Sharekhan. "80 per cent of the company's portfolio, which includes health, hygiene, and nutrition products, registered double-digit growth.

chart

Discretionary and out-of-home categories, however, continued to post declines," he said. Sanjiv Mehta, chairman and managing director, HUL, said he remained cautiously optimistic about consumer demand in the quarters ahead. "While operations and service levels are now back to pre-Covid levels, demand in urban India, especially in metropolitan cities, has been muted. Rural markets have been resilient and continue to do better than urban areas. Though the worst is behind us, we are cautiously optimistic on demand recovery," Mehta said.

The company's earnings before interest, tax, depreciation and amortisation (Ebitda) for the quarter grew by 17 per cent year-on-year to Rs 2,869 crore, and margins improved by 30 basis points in comparison to last year.

"A strong savings programme and a judicious and calibrated pricing in tea and synergies in nutrition have enabled us to successfully manage commodity inflation and an adverse product mix," Srinivas Phatak, chief financial officer, HUL, said. "We have significantly increased investments behind brands to remain competitive," he said.

Among segments, food and refreshment registered an 83 per cent year-on-year growth in revenue to Rs 3,379 crore with its earnings before interest and tax (EBIT) rising 90 per cent and margins expanding 60 basis points year-on-year.

The beauty and personal care division reported a 0.2 per cent year-on-year decline in revenue to Rs 4,535 crore, but its EBIT increased 1 per cent with margin expansion of 40 basis points versus last year.

HUL reported a 1.6 per cent year-on-year decline in its home care revenue to Rs 3,318 crore, but EBIT increased 13.9 per cent and margins rose 280 basis points versus last year. Phatak said the company had taken price cuts in its fabric wash (detergents) business, passing on gains made on account of benign crude oil prices seen during the quarter.

The company declared an interim dividend of Rs 14 per share for the period ended September 2020.

HUL's stock closed trade at Rs 2,172.10 per share on Tuesday, down 0.31 per cent on the BSE.

HUL Q2 net up 9% YoY to Rs 2,009 crore; announces interim dividend of Rs 14

 Hindustan Unilever (HUL) on Tuesday reported an 8.7 per cent year-on-year (YoY) rise in its net profit at Rs 2,009 crore for the second quarter of the current fiscal year (Q2FY21). The company had logged a profit of Rs 1,848 crore in the year-ago period.

On a sequential basis, numbers grew 6.8 per cent.

Total sales (revenue) for the quarter under review came in at Rs 11,276 crore, up 16.1 per cent YoY while underlying domestic consumer business sales (excluding the impact of business combinations) grew by 3 per cent YoY in the quarter. On a quarter-on-quarter (QoQ) basis, total revenue increased by 8.3 per cent.

The board has also declared an interim dividend of Rs 14 per share. The record date for the purpose of determining the entitlement for payment of interim dividend is fixed as October 29, 2020.

Analysts at Emkay Global had estimated HUL's organic sales to grow 5 per cent year-on-year (YoY) whereas, including GlaxoSmithKline Consumer Healthcare (GSK) sales, revenue was expected to grow 19 per cent YoY at Rs 11,713.3 crore. Profit after tax (PAT) or net profit was estimated to increase by 16.4 per cent YoY and 13.9 per cent QoQ to Rs 2,133.3 crore. CLICK HERE TO READ WHAT ANALYSTS HAD EXPECTED

Earnings before interest, tax, depreciation, and amortisation (Ebitda) for the quarter under review came in at Rs 2,869 crore, up 17 per cent YoY while Ebitda margin improved by 30 bps YoY to 25.1 per cent.

"In the context of a challenging economic environment, our growth has been competitive and profitable. We continue to demonstrate execution prowess, agility, adaptability, resilience, and passion of our people. We have expanded our portfolio with consumer-relevant innovations and have invested strongly behind our brands. Our operations and service levels are now back to pre-Covid levels and we have accelerated the pace of digitizing our operations under the 'Re-imagine HUL' agenda, " said Sanjiv Mehta, Chairman, and Managing Director.

HUL Q2 resultsHUL Q2 resultsThe company informed that Health, Hygiene, and Nutrition -- that form nearly 80 per cent of the portfolio -- grew in double digits. It further said that economic outlook has improved given the various initiatives taken by the government and RBI. Rural markets have been resilient but the demand in urban India has been muted. "We are cautiously optimistic on demand recovery," HUL said in its press release.

HUL Q2 preview: Revenue may rise up to 19% YoY on GSK Consumer acquisition | Business Standard News

 Hindustan Unilever (HUL), the fast-moving consumer goods (FMCG) bellwether, is slated to announce its September quarter results (Q2FY21) on Tuesday, October 20. In the FMCG sector, analysts expect a strong recovery in both essentials and discretionary categories. However, products focused on premium price and out-of-home consumption will continue to face growth headwinds, they say.

Further, intermittent and extended lockdowns in the top 100 cities could result in slower recovery in urban markets while a strong monsoon could lift rural sales as they are being less affected by the Covid-19 pandemic. Additionally, benign raw material prices could lead to the Ebit margin expansion of most FMCG companies; however, in the case of HUL, high palm oil and tea prices may keep some pressure on margins, analysts note.

That said, let's take a look at what brokerages expect from HUL's September quarter numbers.

Emkay Global

The brokerage estimates HUL's organic sales to grow 5 per cent year-on-year (YoY) whereas, including GlaxoSmithKline Consumer Healthcare (GSK) sales, revenue is expected to grow 19 per cent YoY at Rs 11,713.3 crore. On a sequential basis, revenue will rise by 10.9 per cent. Earnings before interest, taxes, depreciation, and amortisation (EBITDA) is seen at Rs 2,962.8 crore, up 21.3 per cent YoY and 12.1 per cent QoQ. Ebitda margin is expected to grow 50 bps YoY and 26 bps QoQ to 25.3 per cent. "Gross margin contraction to narrow QoQ due to price hikes but high palm oil and tea prices to keep some pressure on margins," the brokerage said in a result preview note. Profit after tax (PAT) or net profit is estimated to increase 16.4 per cent YoY and 13.9 per cent QoQ to Rs 2,133.3 crore. Home and Personal Care segments' revenue are expected to grow by 8 per cent, and 3 per cent, respectively while Refreshments to grow by 75% (5% excluding GSK).

IDBI Capital

The brokerage expects revenue to grow by 8 per cent YoY to Rs 10,617.4 crore led by a 52 per cent increase in revenue from the food portfolio (due to merger of GSK’s food portfolio). On a QoQ basis, revenue will rise by 5 per cent. Further, it expects Home Care business to reach pre-covid level while revenue from Beauty and Personal care to decline 5 per cent YoY (vs 12 per cent decline in 1QFY21. "Overall, we expect underlying volume to decline by 2.6 per cent YoY in 2QFY21 while the balance growth (to come from price/mix change)," it said.

EBITDA will increase by 8.7 per cent YoY and 0.4 per cent QoQ to Rs 2,654.4 crore while EBITDA margin is expected to rise 20 bps YoY to 25 per cent due to lower ad-spends and stock-keeping unit (SKU) rationalisation. Net profit is seen at Rs 1,915.7 crore, up 1.8 per cent QoQ and 3.7 per cent YoY.

Recovery in rural business, pricing actions, and new launches will be the key monitorables.

Centrum Broking

Centrum Broking estimates 12.4 per cent YoY revenue growth at Rs 11,074.9 crore, taking into consideration the acquisition of GSK consumer with effect from April 1, 2020 (Hence, Q2FY21E are not comparable YOY and QoQ). On a QoQ basis, revenue will rise by 22.9 per cent. Organic business is expected to see a decline of 2.2 per cent.

EBITDA is expected to grow 15.4 per cent YoY and 36.5 per cent QoQ to Rs 2,819.7 crore while on the margin front, operational efficiencies from GSK merger and strict cost control to deliver 66bps YoY EBITDA margin expansion at 25.5 per cent. Adjusted net profit is seen at Rs 2,106.8 crore, up 11.2 per cent YoY and 33.6 per cent QoQ.

During the quarter under review, shares of HUL have slipped 5 per cent as compared to a 9 per cent rise in the S&P BSE Sensex, exchange data show.

Hindustan Unilever sets aside Rs 100 crore to fight Covid-19 in India

Hindustan Unilever (HUL), country’s largest consumer goods company, on Friday said it had committed Rs 100 crore to fight the COVID-19 epidemic in India.

It has also taken a host of other measures such as price cuts, free availability of soaps to the needy, a Rs 10-crore donation for better testing facilities, and public awareness programmes.

Sanjiv Mehta, chairman and managing director of HUL, said: “In a crisis like this, companies have a big role to play. We are working closely with the government and our partners to ensure that we overcome this health crisis together.”

The company was reducing the price of Lifebuoy hand sanitisers and hand wash, apart from Domex floor cleaners by 15 per cent. “We are commencing production of these reduced priced products immediately and these will be available in the market in the next few weeks,” the company said in a statement.

It would also scale up production of hand sanitisers, hand wash, and floor cleaners over the next few weeks, the company said, to improve reach of these items.

The announcement, however, acquires significance since earlier this week the company had faced online backlash over price hikes in its soaps portfolio.

The company had clarified that the price hikes were undertaken in January before the coronavirus outbreak in India.

On Friday, HUL indicated that it would donate two crore pieces of Lifebuoy soap in the next few months to poor sections of society. The firm also said it would donate Rs 10 crore to upgrade the health care facilities in testing centres and hospitals across the country. It would also partner medical institutions that were providing testing and care facilities to the affected people.

The public awareness programmes about protective measures would be undertaken on a large scale to drive home the message of social distancing and hygiene, HUL said, which was critical to fight the virus.

HUL reshuffles top management team

FMCG major HUL on Friday announced the appointment of Prabha Narasimhan as Executive Director of its Home Care segment as part of a top level reshuffle within the organisation.

Narasimhan would replace Priya Nair, currently Executive Director - Home Care who moved as Executive Director - Beauty and Personal Care, the FMCG major said in a statement.

Nair will take over from Sandeep Kohli, who will relocate to Dubai as VP Beauty & Personal Care for our North Africa, Middle East, Turkey and Russia markets, it added

"Priya Nair will continue to be a member of the HUL Management Committee and Prabha Narasimhan will join the Management Committee effective February 1, 2020," said HUL.

Nair, who had joined HUL in 1995, had a career spanning of almost 25 years.

While Narasimhan had joined the company in 1999, and has a career spanning two decades, she has worked across businesses and geographies.

In her most recent role, Narasimhan has been leading the skin and colour cosmetics business where she has delivered consistent and market-beating growth in a highly competitive and fast-growing category.

"I look forward to Priya taking the Beauty and Personal Care division to the next level of performance and take this opportunity to thank her for her outstanding contributions to Home Care. And finally, I would like to welcome Prabha to the HUL Management Committee and wish her great success," HUL Chairman and Managing Director Sanjiv Mehta said.

Six of 10 most-valued firms add Rs 62,773 cr in m-cap; RIL, HUL top gainers

HUL's valuation zoomed by Rs 22,827.94 crore to Rs 4,45,778.10 crore, topping the gainers' chart. The market capitalisation (m-cap) of RIL jumped by Rs 20,890.58 crore to reach Rs 10,02,009.11 crore.

Infosys added Rs 12,605.57 crore to Rs 3,26,999.39 crore in its m-cap and Kotak Mahindra Bank Rs 2,599 crore to Rs 3,24,455.51 crore.

The market cap of ITC rose by Rs 2,273.86 crore to Rs 2,94,802.65 crore and that of Tata Consultancy Services (TCS) went up by Rs 1,576 crore to Rs 8,32,297.69 crore.

Among the laggards, SBI took the biggest hit as its m-cap plunged by Rs 12,717.6 crore to Rs 2,83,802.65 crore.

The market valuation of ICICI Bank plummeted by Rs 6,040.83 crore to Rs 3,43,477.06 crore and that of HDFC Bank dropped by Rs 2,930.21 crore to Rs 6,99,881.90 crore.

HDFC's m-cap fell by Rs 726.19 crore to reach Rs 4,24,293.86 crore.

In the ranking of top-10 firms, RIL was leading the pack followed by TCS, HDFC Bank, Hindustan Unilever (HUL), HDFC, ICICI Bank, Infosys, Kotak Mahindra Bank, ITC and SBI.

For the week, the Sensex advanced by 345.65 points or 0.83 per cent.

HUL gains 3% post steady Q2 nos; brokerages see over 12% upside in 12 mths

Shares of Hindustan Unilever (HUL) advanced as much as 2.74 per cent to Rs 2,070 on the BSE in the intra-day deals on Tuesday after the company reported steady numbers for the quarter ended September 30.

At 01:09 pm, the stock was ruling at Rs 2,056.50 apiece on the BSE, up 2.07 per cent. The scrip is trading close to its all-time high of Rs 2,102 touched on September 23. The benchmark S&P BSE Sensex, on the other hand, was trading 234 points or 0.63 per cent higher at 38,454.23 levels.

The FMCG bellwether on Monday reported a 21.2 per cent year-on-year (YoY) growth in net profit to Rs 1,848 crore for the July-September quarter (Q2) of FY20. Growth was aided by lower corporation tax, which came into effect last month. Volume growth, however, for Q2 remained the same as reported in the June quarter, coming in at 5 per cent, though some analysts said it was ahead of their estimates of 4 per cent for the period.

It was the third straight quarter when HUL posted single-digit volume growth. In the March quarter, volume growth was 7 per cent.

Sanjiv Mehta, chairman and managing director, admitted that rural growth had decelerated further in Q2 versus the June quarter, when urban growth was on a par with rural growth. READ MORE

Maintaining a 'buy' rating on the stock with the target price of Rs 2,250, Edelweiss Securities says, "Hindustan Unilever’s Q2FY20 revenue growth of 6.7 per cent YoY came in line, while EBITDA and PAT spurt of 21 per cent and 21.5 per cent YoY, respectively, surpassed our estimates. Despite near trough rural growth (mere 0.5x urban), volume grew 5 per cent YoY on a base of 10 per cent, implying resilient urban growth."

The only negative, as per the brokerage firm, was the delay in HUL-GSK merger approval.

Among business highlights, HUL's Home care segment grew 9.4 per cent YoY led by premiumisation and increase in penetration leading to 151 basis points (bps) EBIT margin expansion. Beauty & personal care segment rose 5.3 per cent YoY. Foods & refreshments’ revenue rose 8.4 per cent YoY with EBIT margin falling 139 bps YoY on account of higher raw material cost.

In its concall, the company said rural growth was 0.5x urban for the sector in the three-month period. Prices were reduced by 4-6 per cent in mass end personal wash products in 2QFY20, and a similar reduction is likely to be taken in premium products like Dove and Pears in 3QFY20. On a net basis, nearly 3 per cent effective price reduction is likely in 2Q and 3Q across soap brands.

Revenue was in line, while the margin surprised yet again, wrote analysts at Motilal Oswal Financial Services (MOFSL) in a results review note. "Once we incorporate the GSKCH merger (final approvals awaited), there could be 8-9 per cent addition to earnings per share (EPS) in FY21, which means that the stock is trading at nearly 45.3xFY21 v/s 49.4x as it appears currently. Given its best-of-breed earnings visibility and by far highest return ratios, the premium valuations are justified. On a target multiple of 50x Sep’21E EPS, we derive a TP of Rs 2,265," they said. The brokerage has 'Buy' call on the stock.

Stock performance

On a year-to-date (YTD) basis, shares of HUL have outperformed the market by surging 11 per cent as against a 4.43 per cent increase the benchmark Nifty. The Nifty FMCG index has remained flat (up just 0.15 per cent) during the period, ACE Equity data shows.

As demand slowdown hurts, makers of Lux, Lifebuoy, Santoor soaps cut prices

In wake of weak demand and tough competition, FMGC major HUL slashed prices of Dove, Lux, and Lifebuoy soaps, financial daily Livemint reported. The move is aimed at winning over consumers and passing on the benefits of cheaper input costs. Wipro Consumer Care, the maker of Santoor soap, also cut the price of the soap to stay in the game. Earlier this year, Santoor became the first soap brand from an Indian FMCG company to touch annual sales of Rs 2,000 crore.

"HUL does selective and judicious price changes across its portfolio in the normal course of its business. Given that the commodity prices are expected to remain benign for a certain time period, we have taken price reductions in the range of 4 per cent to 6 per cent in Lux and Lifebuoy portfolio, while it may be higher on certain packs in order to pass on the benefits to the consumers", a company spokesperson said on Tuesday.

According to research by Euromonitor, Lifebuoy and Lux are among the highest-selling soap brands in India’s toilet soap market, which is worth Rs 20,960 crore.

For HUL, volume growth has been an issue in the skincare product department. The price cut may spur consumption in this high-penetration category, especially at a time when the demand for packaged goods is subdued.

The demand in the beauty care segment has been on the lower side. “Within beauty and personal care, personal products’ performance was steady, while personal wash witnessed a muted delivery, particularly in the popular segment," said the company.

HUL's annual report shows that beauty and personal care segment (personal wash, skincare, hair care, oral care, etc) contributed 46 per cent to overall revenue. Seeing the growing popularity of naturals, HUL launched Lux Botanicals and Pears Naturale nationwide.

Edelweiss analyst Abneesh Roy told Livemint that HUL’s move is "the right strategy in our view, considering soaps volumes are soft and palm oil prices continue to remain lower on a year-on-year basis, although have picked up lately."

HUL volume growth slowest in 7 quarters; Q1 profit in line with estimates

Hindustan Unilever (HUL), the country’s largest consumer goods company, on Tuesday reported its lowest volume growth in seven quarters for the April-June period (Q1FY20) on the back of moderation in consumer demand.

For the quarter under review, HUL saw 5 per cent volume growth as against 12 per cent in the year-ago period. This is the second straight quarter when HUL has posted single-digit volume growth. In the March quarter, volume growth was 7 per cent.

HUL Chairman and Managing Director Sanjiv Mehta admitted that not only rural growth, urban growth too was slowing. However, the slowdown in rural growth, he said, was sharper than the moderation seen in urban growth. “While rural growth earlier was ahead of urban growth by 1.3 times, it is now on a par with urban growth,” he said in a post-results press conference.

Last week, market research agency Nielsen had alluded to this, saying subdued growth in rural markets in Q1 contributed 57 per cent to the slowdown.

HUL’s net profit rose 15 per cent year-on-year to Rs 1,755 crore in Q1, in line with the Rs 1,716-crore consensus estimate of analysts tracked by Bloomberg. Revenue (net sales plus other operating income) rose 6.6 per cent over last year to Rs 10,114 crore, in line with the Rs 10,171-crore estimate.

HUL volume growth slowest in 7 quarters; Q1 profit in line with estimates

Operating income, or earnings before interest, tax, depreciation and amortisation (Ebitda), rose 17.6 per cent year-on-year to Rs 2,647 crore.

This is also in line with the consensus estimate of Rs 2,474 crore. Its operating or Ebitda margin expanded 250 basis points to 26.2 per cent in the three months to June. Both Ebitda and Ebitda margins include the IndAS116 impact on lease accounting, which came into effect in Q1.

Excluding the impact, Ebitda impact margins expanded by 150 basis points on a like-to-like basis, HUL’s management said.

One basis point is equal to one-hundredth of a percentage point.

“HUL’s performance was largely in line with our expectations. Margin expansion should sustain in the future on the back of operating efficiencies,” said Kaustubh Pawaskar, research analyst at brokerage Sharekhan.

Shares of HUL closed 0.86 per cent higher on the BSE, ahead of the earnings announcement on Tuesday, at Rs 1693.20.

Big FMCG firms move to protect turf as competition from start-ups hots up

Last week, Hindustan Unilever (HUL) said it was launching a liquid detergent, responding to retailer Future Group rolling out a similar product only a few weeks earlier in its stores. This is one of the most recent examples — not the first, and definitely not the last — of a fast-moving consumer goods (FMCG) company fighting competition from unconventional rivals, whether online or offline.

In recent months, FMCG firms such as Dabur, Marico, ITC and Bajaj Consumer are all padding up, launching digital-only brands in categories such as personal care, male grooming and premium hair nourishment, as e-tailers and start-ups increasingly get aggressive.

In the past one year, companies such as Emami, Wipro Consumer, and Marico invested in online grooming companies such as The Man Company, Ustraa and Beardo to tap into the growing segment. Some others such as Proctor & Gamble have set up an India-focused fund to invest in start-ups that can collaborate with it.

During his address to shareholders last month, HUL Chairman and Managing Director Sanjiv Mehta said the company would take all necessary steps to be future-ready at a time when the digital economy was increasingly becoming central to consumption.

“Over the next decade, the country will have a large cohort of ‘Generation Z’ consumers who would have grown up in an India with ubiquitous internet, smartphones and digital media. As they start earning and consuming, they will actively use technology-enabled platforms, impacting purchase behaviour. With the world changing around us, HUL is adapting to be future-fit,” he said.

Bajaj Consumer, for instance, is working with Reliance Retail to target consumers of premium ayurvedic hair oils that frequent its stores.

“As modern trade grows as a channel, FMCGs will have to look at products suitable for that segment,” said Sumit Malhotra, managing director, Bajaj Consumer. “The same applies for the online channel too. Consumer engagement across platforms is growing, forcing companies to relook at strategies.”

A recent report by Boston Consulting Group on India’s retail landscape said modern trade would grow twice as fast as traditional trade over the next few years, contributing around 15-17 per cent of FMCG sales versus 9-10 per cent now.

E-commerce, on the other hand, would contribute to about 5-6 per cent of FMCG sales from about 2-3 per cent now, said experts tracking the market. Niche categories across home, personal care and foods will also see higher penetration.

The influence of digital platforms is already higher than traditional trade, with nearly 40 per cent of FMCG consumption affected in some way or the other by digital platforms, said Abneesh Roy, senior vice-president, research (institutional equities), Edelweiss.

Retailers are also launching private labels aggressively to take advantage of the boom.

On Friday, Reliance Retail said it had launched its own food brands under the brand Snac Tac and a juice brand called Yeah at its stores during the June quarter. It would ramp up efforts in the coming months, including a push to omnichanel retail.

HUL sets up end-to-end digital transformation plan for next phase of growth

The country's largest consumer goods company, Hindustan Unilever (HUL), on Saturday said it had put in place an end-to-end digital transformation plan as it sought to get future-ready.

Addressing shareholders at its 86th Annual General Meeting (AGM), Sanjiv Mehta, chairman and managing director of HUL, said a new digital council had been set up at the company, and over 80 experiments were underway to help in the transformation.

"By 2030, India will have a large cohort of ‘Generation Z’ consumers with ubiquitous internet, smartphones, and digital media. As they start earning, they will actively use technology-enabled consumption models and have a big influence on the consumption behaviour of their households,” said Mehta.

The 58-year-old executive —appointed chairman last year after Harish Manwani retired — said HUL had devised a five-pronged strategy, which includes driving purpose into brands, enhancing societal impact, innovating for the future, nurturing talent, and leveraging data and technology (including artificial intelligence) across the value chain. “Our people data centre picks up real-time consumer signals and identifies business opportunities. We are using shopper data to drive precision marketing, and using machine learning to monitor demand in the real time,” he said, describing the digital transformation process.

The firm is also ramping up technology on the factory floor by reducing service lead time through an integrated sales and operation planning programme, thus creating a customer-focused network as well as a faster logistics and distribution footprint, said Mehta.

"Our Internet of Things (IoT)-powered digital factories are helping us leverage installed capacities. Automated warehouse robotics and guided vehicles are helping with stock accuracy, reducing truck loading time, and raising the level of customer service,” he said.

Mehta added that HUL was re-skilling its workforce, developing niche digital skills in leaders, and shifting to a culture of “always-on” learning, which focused on mentoring, peer-to-peer learning and e-learning.