Breaking News

Unilever’s 3Q Sales Flat

November 14, 2005

l Consumer goods group Unilever posted an 11% rise in third quarter earnings as margins improved. Unilever repeated its forecast of double-digit per-share earnings growth for the year. Third quarter net profit before exceptional items and goodwill amortization rose to $1.68 billion. Sales were virtually unchanged at $14.15 billion.
Unilever reduced its 2003 sales growth target for its 400 top brands for the second time this year, to below 3%. Describing market conditions as “street-fighterish,” Howard Green, head of the company’s investor relations department, said a weak performance from frozen foods, Slimfast slimmers’ aids and fragrances bore most of the blame.
The three product areas would cut sales growth by more than two percentage points for the full year, he said. Slimfast fell by almost 30% in the third quarter as alternative diets such as Atkins took their toll.
The company recently implemented the “path to growth” program, which has slashed costs and ditched hundreds of underperforming brands, executives said. It will leave a core of just 400 profitable product lines by next year.
Operating margin increased one percentage point in the quarter to 17%. Also on the upside, net borrowing costs fell 20% for the quarter and net debt dropped to 14.4 billion euros at the quarter’s end from 16.1 billion euros at the end of the first half, helped by strong cash flow and asset disposals.

blog comments powered by Disqus
  • Buy the Sea, Buy the Sea, Buy the Beautiful Sea

    Buy the Sea, Buy the Sea, Buy the Beautiful Sea

    Tom Branna, Editorial Director||February 8, 2016
    Nova Scotia Fisherman manufactures a boatload of products that incorporate sea kelp and a raft of other natural ingredients.

  • Witch

    Witch's Brew: Dickinson's celebrates milestone in 2016

    Christine Esposito, Associate Editor||February 1, 2016
    Dickinson’s celebrates 150 years of witch hazel skin care with the biggest line expansion in the company’s history.

  • From Research to Retail

    Tom Branna, Editorial Director||February 1, 2016
    What began as research on skin disorders led a dermatologist and his father to create their own skin care formulas.

  • Electric Slide

    Electric Slide

    Melissa Meisel, Associate Editor||February 3, 2016
    Skin care devices bring anti-aging to the next level

  • Crowning Glory

    Crowning Glory

    Christine Esposito , Associate Editor||February 3, 2016
    Celebrity stylists and experts from leading hair care brands talk about the ingredients and formats driving the styling sector.

  • Innovation On Display

    Melissa Meisel, Associate Editor||February 3, 2016
    P&G Beauty Digital Studio showcases new products for 2016