Wednesday, 21 August, 2019


Unilever's fourth quarter sales miss expectations

Ben and Jerry's Ben and Jerry's brand ice cream sits in a supermarket freezer in Princeton Illinois U.S. on Wednesday
Conrad Doyle | 02 February, 2019, 18:26

Then-chief executive Paul Polman stepped down in the wake of the row and was replaced by Alan Jope.

Mr Polman stood down at the end of December after a decade at the group where he oversaw the failed plan to move Unilever's headquarters from London to Rotterdam and fended off a takeover bid from rival Kraft Heinz.

"With growth weak but H2 margins strong, we expect this to fuel the ongoing debate on Unilever's top line versus bottom line", Jefferies analysts said.

"In 2019 we expect market conditions to remain challenging", he said, adding that sales growth will likely be in the lower half of its multiyear target of between three and five percent. Noting problems in Argentina and Brazil, he called Latin America the most troubled part of the world.

"Looking forward, accelerating growth will be our number one priority".

Nonetheless, he expected to see continued improvement in the company's underlying operating margin and another year of strong free cash flow and said Unilever was "on track" to meet its 2020 goals.

Unilever's underlying operating margin increased 90 basis points to 18.4% thanks to product innovations and cost savings, while underlying earnings per share (EPS) still rose 5.2% to €2.36 albeit with a boost from buybacks.

Its full-year earnings were 3.48 euros per share.

In the fourth quarter, Unilever blamed Argentina, which makes up 2.5 percent of its overall business, for hyperinflation that led prices to spike more than 50 percent and therefore volume to fall more than 20 percent in the quarter.

Underlying sales grew by 2.9% in 2018 from the year earlier and, excluding the spreads business, by 3.1%. The stock is underperforming the broader United Kingdom market, with the benchmark FTSE 100 index now standing 0.52 percent higher at 6,977.51 points.

The company blamed declines in France and competitive pressures in North America, particular in ice cream and mayonnaise. Meanwhile, the company reported turnover of €49.6 billion ($57.05bn) - down 5.1 per cent year-on-year due to an adverse currency impact of 6.7 per cent and the disposal of its spreads business to KKR in a deal completed in July last year.

Recommended

loading...
...

Train Fight Highlighted In First Extended Captain Marvel Clip Train Fight Highlighted In First Extended Captain Marvel Clip The clip in question involves the train fight sequence that we first caught a glimpse of in the initial Captain Marvel trailer. Captain Marvel is battling an enemy in a race against time, as Samuel L Jackson's Nick Fury trails her in a auto .

Anunoby to play on All-Star weekend Anunoby to play on All-Star weekend TNT will televise the All-Star Game for the 17 consecutive year, marking Turner Sports' 34 year of NBA All-Star coverage. The official Rising Stars head coaches will be an assistant coach from each 2019 NBA All-Star Game coaching staff.

Fragile France suffer from fear of winning Fragile France suffer from fear of winning This is the second game of the Six Nations after the tournament got underway with Wales beating France 24-19 last night. Scrum-half Parra plays his first Six Nations match since 2015 and partners Camille Lopez at half-back.

Dimuth Karunaratne cleared of injury after being felled by bouncer Dimuth Karunaratne cleared of injury after being felled by bouncer Karunaratne was batting well, unbeaten on 46 as the visitors made their way to 0/82 after Australia declared at 5/534. The home side had struggled with the bat recently but have three centurions in Canberra already.

Mauricio Pochettino laments Spurs' lack of signings Mauricio Pochettino laments Spurs' lack of signings Janssen signed for Spurs in 2016 in a £17 million move off the back of a 27-goal season in his native Holland, but he struggled to replicate that form and scored just six goals in 38 appearances.

British Foreign Secretary, Jeremy Hunt Warns Brexit Could Be Delayed - World News British Foreign Secretary, Jeremy Hunt Warns Brexit Could Be Delayed - World News The border issue has been one of the thorniest in Brexit talks, as a solution that would be acceptable for all sides is still to be reached.

EPL: How Sarri blasted Hazard after 4-0 defeat to Bournemouth EPL: How Sarri blasted Hazard after 4-0 defeat to Bournemouth I want to try again tomorrow because we want to solve the problem. "I think very well that it's not easy". I needed to understand, it was so different in the first and second half. "I don't understand why".

Punxsutawney Phil Makes His Prediction: Here's What the Groundhog Saw Thousands of people congregated near Phil's burrow - and even more watched live online - to see what the groundhog decided. Pennsylvania's most famous groundhog did not see his shadow on Saturday, predicting spring this year will arrive early.

A sinkhole turned out to be an underground tunnel to a bank A sinkhole turned out to be an underground tunnel to a bank Investigators found an entrance hole in nearby woodland that contained a small electric generator and some electrical cords. A cadaver-sniffing dog and a remote controlled camera were used to verify that there was no one inside the tunnel.

Chang'e-4 Records Unexpectedly Low Temperatures on Far Side of the Moon Chang'e-4 Records Unexpectedly Low Temperatures on Far Side of the Moon It takes the moon 27 days to rotate; it also takes the same amount of time for the moon to orbit around the Earth once. At the end of 2013, China launched Chang'e-3, the country's first spacecraft to soft-land on the moon.

Moved to tears, Rudy Gobert feels disrespect in NBA All-Star snub Moved to tears, Rudy Gobert feels disrespect in NBA All-Star snub Gobert is averaging 15 points, 13 rebounds, two assists and two blocks per game this season. Green, who was also not named an All-Star, said he supposes he should cry now, too.

Taliban say they are not looking to rule Afghanistan alone Taliban say they are not looking to rule Afghanistan alone The death toll of US service members in Afghanistan has surpassed 2,400 since the United States invaded the country in 2001. It said the USA military continued to prevent it from publishing Afghan forces' casualty data, at Kabul's request.

Iowa Student Among 8 Deaths Linked to Polar Vortex Iowa Student Among 8 Deaths Linked to Polar Vortex The National Weather Service says the wind chill around 3 a.m. was negative 51 degrees (negative 46 Celsius). According to Belz's father, his son had chose to remain on campus to wait out the cold.

Vaping 2x better for quitting smoking than patches, gum Vaping 2x better for quitting smoking than patches, gum More e-cigarette users, however, reported increased throat and mouth irritation (65.3%,) than nicotine replacement users (51.2%). These devices now often have more nicotine and come in a more convenient form than the first-generation vaping devices.

PlayStation Plus games for February include Hitman, For Honor PlayStation Plus games for February include Hitman, For Honor Of course, that doesn't mean you can go back and download the whole catalogue of Vita games and PS3 games if you missed them. Though at first it seems kind of odd to make the entire season available for free, it does make some degree of sense.