Unilever H1 Profit Rises, Turnover Down; Says Focus On Volume Led Competitive Growth

(RTTNews) - Consumer goods giant Unilever plc. (UN, ULVR.L, UL) Thursday that its first-half profit before taxation grew 4.1 percent to 4.53 billion euros from last year's 4.35 billion euros.

Net profit attributable to shareholders' equity grew 9.3 percent to 3.28 billion euros from 3.01 billion euros last year. Earnings per share were 1.25 euros, up from 1.14 euros a year ago.

Underlying earnings per share went up 6.4 percent.

Turnover dropped 1.6 percent to 25.71 billion euros from 26.13 billion euros last year. On a constant currency basis, turnover grew 1.2 percent. Underlying sales declined 0.1 percent with volume declining 0.3 percent and price growth of 0.2 percent.

In the second quarter, turnover decreased 3.1 percent from last year to 13.3 billion euros, and underlying turnover decreased 0.3 percent. Volume declined 0.8 percent, while price grew 0.5 percent.

In the quarter, Beauty & Personal Care sales dropped 0.9 percent, and Foods & Refreshment sales fell 1.8 percent. However, Home Care sales grew 3.2 percent to 2.6 billion euros.

The company noted that the spread of Covid-19, combined with the lock-downs and restrictions that have been implemented in many countries, led to significant changes in the operating environment in its markets. Consumer demand patterns have been impacted by channel closures, more time spent in the home and the critical importance of hygiene.

Further, the company maintained quarterly shareholder dividend at 0.4104 euro per share.

Looking ahead, Alan Jope, Chief Executive Officer, said, "Our focus for the rest of 2020 will continue to be volume led competitive growth, absolute profit and cash delivery as this is the best way to maximise shareholder value."