Unilever’s Mixed Results Send Shares Down 5%

PUBLISHED: Feb 13 2025 @ 03:28 | Comments (0) | More info about Fiona Craig

Consumer goods giant Unilever’s (LSE:ULVR) results, announced on Thursday, were mixed, with overall performance meeting expectations but not offering anything exciting for investors.

The company reported 2024 sales of €60.8 billion, which slightly exceeded analyst forecasts.

Organic sales growth was 4.3%, a little below the consensus of 4.3%, moderated by price increases. Volume growth remained steady.

The company’s operating margin improved by 15 basis points which was largely in line with expectations, while its operating profit of €11.2 billion was a modest increase over projections.

Earnings per share reached €2.98, up 2.1% year-over-year, reflecting stable profitability despite macroeconomic pressures.

The outlook remains cautious, with a slow start to 2025, and organic sales growth within the 3-5% mid-term range projected, but early quarters could see weaker momentum.

Investor sentiment since the results has been negative, with Unilever’s shares falling over 5% on concerns over the lack of a stronger growth catalyst and uncertainty about the impact of restructuring efforts.

The company is also preparing for the planned demerger of its ice cream business, which will list in Amsterdam, London, and New York under the leadership of Jean-Francois van Boxmeer, the former CEO of Heineken .

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