Unilever announces excellent results

Unilever has announced excellent growth figures for this year's second quarter: the British-Dutch concern saw its underlying sales grow 7.1% (for the first half year 5.7%). In the first six months of this year, Unilever's profits grew even 9%.

Excellent results for all divisions

Savoury, Dressings & Spreads was the fastest growing category (+7.9%), before Ice cream & Beverages (7.6%), Home care (7.4%) and Personal care (5.8%). Due to  a more modest first quarter, the results for the first six months of 2011 were a little lower, with +5.0% for Savoury, Dressings and Spreads as slowest grower and +6.7% for Home Care as fastest grower. For the former, the slower growth can be explained by a zero-growth in volume. 

 

In total, 2.2 of the 5.7% underlying sales growth was caused by volume growth, 3.5 by price growth. China and India saw a double digit growth and also Egypt, South Africa and Russia performed well. The combined area of Asia, Africa and Central and Eastern Europe grew 9%, well balanced between volume and price growth. The latter was not the case for the Americas, where volume growth was almost zero – while price growth was 5%. In Western Europe, both growths were slower, with 0.2% and 1.1% respectively.

Virtually no influence of higher costs

Unilever's total turnover over the first six months of 2011 grew 4.1% to 22.8 billion euro, while net profits grew 9% to 2.4 billion. Operating margins went down 0.2%, far lower than what analysts had expected: the influence of expensive raw materials was almost completely compensated by higher prices and lower costs – especially in advertising. 

 

“We are making encouraging progress in the transformation of Unilever to a sustainable growth company”, said CEO Paul Polman. “In a tough and volatile environment we have again delivered strong growth. Volumes were robust and in line with the market, despite having taken price increases. This shows the strength of our brands and innovations.”

 

Unilever has announced excellent growth figures for this year's second quarter: the British-Dutch concern saw its underlying sales grow 7.1% (for the first half year 5.7%). In the first six months of this year, Unilever's profits grew even 9%.

Excellent results for all divisions

Savoury, Dressings & Spreads was the fastest growing category (+7.9%), before Ice cream & Beverages (7.6%), Home care (7.4%) and Personal care (5.8%). Due to  a more modest first quarter, the results for the first six months of 2011 were a little lower, with +5.0% for Savoury, Dressings and Spreads as slowest grower and +6.7% for Home Care as fastest grower. For the former, the slower growth can be explained by a zero-growth in volume. 

 

In total, 2.2 of the 5.7% underlying sales growth was caused by volume growth, 3.5 by price growth. China and India saw a double digit growth and also Egypt, South Africa and Russia performed well. The combined area of Asia, Africa and Central and Eastern Europe grew 9%, well balanced between volume and price growth. The latter was not the case for the Americas, where volume growth was almost zero – while price growth was 5%. In Western Europe, both growths were slower, with 0.2% and 1.1% respectively.

Virtually no influence of higher costs

Unilever's total turnover over the first six months of 2011 grew 4.1% to 22.8 billion euro, while net profits grew 9% to 2.4 billion. Operating margins went down 0.2%, far lower than what analysts had expected: the influence of expensive raw materials was almost completely compensated by higher prices and lower costs – especially in advertising. 

 

“We are making encouraging progress in the transformation of Unilever to a sustainable growth company”, said CEO Paul Polman. “In a tough and volatile environment we have again delivered strong growth. Volumes were robust and in line with the market, despite having taken price increases. This shows the strength of our brands and innovations.”

 

Questions or comments? Please feel free to contact the editors


Action opens 1,000th store

20/10/2017

Tomorrow is a special day for Dutch discounter Action, as it will open its 1,000th store in Gorinchem (in the Netherlands). The number of Action stores has almost doubled in the last two years.

Richemont forecast huge profit increase for first six months

17/10/2017

Luxury firm Richemont, which owns watch brand Cartier for instance, has forecast an 80 % profit increase for the first half of its fiscal year. Turnover will also grow more than 10 %.

Safe.Shop is new global eCommerce trust mark

16/10/2017

Safe.Shop is the world’s first global eCommerce trust mark. Currently, only twelve countries signed up, but that number should increase in the future.

Retailers the wrong target for action on the supply chain

13/10/2017

(content provided by EuroCommerce) EuroCommerce Director-General Christian Verschueren has expressed his concern towards Agriculture Commissioner Phil Hogan that some of the statements in his speech on 5 October in Dublin could polarise the debate.

Zeeman doubles profit

12/10/2017

Store chain Zeeman’s profit more than doubled in the past fiscal year compared to 2015. Turnover also grew several percent, mainly thanks to strong performances outside of the Netherlands.

British company acquires Intertoys and Bart Smit

12/10/2017

Dutch retail holding Blokker has sold its toy division Intertoys to British investor Alteri. The store chain sale is part of Blokker Holding’s new strategy to focus only on its namesake chain.

Back to top