Unilever experienced notable growth in the third quarter of 2024, driven by its power brands.
- The company’s underlying sales grew by 4.5%, with a notable increase in volume by 3.6%.
- Ice cream division saw a significant rise in sales by 9.8%, emphasizing consumer demand.
- CEO Hein Schumacher aims to enhance competitiveness in the Nutrition division.
- Unilever is on track to achieve its full-year growth targets despite flat overall turnover.
Unilever has reported a significant boost in its third-quarter performance for 2024, fueled by its power brands. Despite an overall steady turnover, the company’s underlying sales surged by an impressive 4.5% over the previous year, complemented by a volume increase of 3.6%. This growth underscores the effectiveness of Unilever’s strategic emphasis on its leading brands.
The most remarkable performance was seen in Unilever’s ice cream division, where underlying sales soared by 9.8%, accompanied by a volume growth of 6.7%. This strong increase highlights a robust consumer demand for Unilever’s ice cream products, reflecting positively on the company’s diversified product strategy.
In an update, CEO Hein Schumacher highlighted the company’s focus on its Nutrition division, which includes noted brands like Hellmann’s and Knorr’s. He expressed a commitment to restoring and enhancing competitiveness within this segment, particularly in condiments, acknowledging their pivotal role in Unilever’s product portfolio.
Looking forward, Unilever maintains its confidence in meeting the full-year growth target of 3% to 5% underlying sales growth despite challenges in the wider economic environment. Schumacher indicated an expectation of subdued pricing over the upcoming quarters, with a likely return to moderate pricing levels thereafter.
Additionally, Unilever is moving ahead with the separation of its Ice Cream division, a process expected to be completed by the end of 2025. This strategic maneuver involves establishing a standalone operating model and financial carve-out, overseen by an independently established committee.
Unilever’s strategic initiatives and robust brand performances position it well to achieve its growth targets amidst economic challenges.
