Unilever PLC: Reports Q1-2024 Financial Results

London / UK. (ul) British Unilever PLC announced its results for the first quarter of 2024. Highlights:

  • Underlying sales growth of 4.4 percent, with volume growth increasing to 2.2 percent
  • All five Business Groups reporting underlying sales growth, led by Beauty + Wellbeing
  • Turnover increased 1.4 percent to EUR 15.0 billion with -2.0 percent impact from currency and -0.9 percent from net disposals
  • Power Brands (75 percent of turnover) leading growth with 6.1 percent USG, driven by a 3.8 percent increase in volume
  • Announced separation of Ice Cream and launch of major productivity programme to accelerate the Growth Action Plan
  • 2024 outlook unchanged with underlying sales growth of 3 percent to 5 percent and a modest improvement in underlying operating margin

Chief Executive Officer Hein Schumacher: «Unilever delivered improved volume growth in the first quarter. This was driven by our Power Brands which saw underlying sales growth of 6.1 percent, with strong performances from Dove, Knorr, Rexona and Sunsilk.

«We are implementing the Growth Action Plan at speed, focused on three clear priorities: delivering higher-quality growth, creating a simpler and more productive business, and embedding a strong performance focus. This is underpinned by our commitment to do fewer things, better and with greater impact.

«In March, we announced the separation of Ice Cream and the launch of a comprehensive productivity programme. These actions will drive focus, faster growth and reduce costs. Dedicated project teams are progressing the work at pace.

«Unilever's transformation is at an early stage, but we have increasing confidence in our ability to deliver sustained volume growth and positive mix as we accelerate gross margin expansion.»

Outlook: Our 2024 guidance is unchanged. We expect underlying sales growth (USG) for 2024 to be within our multi-year range of 3 percent to 5 percent, with an increasing contribution from volume growth. We are confident of delivering a modest improvement in underlying operating margin for the full year, reflecting higher gross margin and increased investment behind our brands.