Unilever(UK)(UL) - 2023 Q4 - Annual Report

Financial Performance - The company reported a significant increase in revenue, reaching $X billion, representing a Y% growth compared to the previous quarter[984]. - The company provided an optimistic outlook for the next quarter, projecting revenue growth of A% and an expected user base increase of B million[984]. - The financial health remains strong, with a debt-to-equity ratio of J, indicating robust capital management[984]. - The dividend per share for 2023 was £1.48, consistent with 2022, while the US Registry dividend was $1.86[1001]. - The company experienced net material inflation of around €1.8 billion in 2023, but mitigated this through increased productivity and product pricing[1012]. - As of December 31, 2023, PLC's total outstanding Notes amounted to $11.2 billion, an increase from $10.75 billion in 2022, with coupons ranging from 0.626% to 5.900%[1075]. - There have been no material defaults in the payment of principal or interest related to the Group's indebtedness[1061]. - No arrears in payment of dividends on any class of preferred stock of significant subsidiaries were reported[1062]. User Engagement and Market Expansion - User data showed an increase in active users, now totaling Z million, which is a W% increase year-over-year[984]. - New product launches are anticipated to contribute an additional C billion in revenue, with a focus on D technology advancements[984]. - Market expansion efforts are underway in E regions, aiming for a market share increase of F% by the end of the fiscal year[984]. Research and Development - Research and development investments have increased by H%, focusing on innovative solutions to meet evolving customer needs[984]. - Unilever has invested approximately €900 million in R&D each year for the last three years, focusing on innovation and efficiency[1008]. - The company has a global team of 5,000 experts dedicated to innovation, utilizing advanced technology in its research and development processes[1009]. - Unilever holds over 20,000 patents and has a strong focus on developing biome-friendly products and sustainable materials[1008][1010]. Corporate Governance and Shareholder Value - The company is committed to enhancing shareholder value, with plans to increase dividends by K% in the upcoming fiscal period[984]. - The company is not aware of any arrangements that could lead to a change of control, ensuring stability in its governance structure[998]. - Unilever's share plans for North American employees are governed by the Unilever North America Omnibus Equity Compensation Plan, amended on November 29, 2022[988]. Cybersecurity - Unilever's Audit Committee regularly oversees cybersecurity risks, with no known incidents materially affecting the company reported in 2023[1022][1023]. - Unilever has established a Cyber Security Risk Management Framework aligned with industry-standard methodologies, promoting a company-wide culture of cybersecurity awareness[1034]. - The Cyber Security Assurance team includes both internal and external expertise, conducting evaluations based on risk to improve Unilever's resilience posture[1034]. - Unilever's cybersecurity risk management activities aim to reduce the likelihood of material cybersecurity incidents, with established incident response procedures in place[1034]. - The Cyber Security Risk Management approach is integrated into Unilever's overall risk management framework, emphasizing the importance of cybersecurity as a principal risk[1034]. - Unilever's established Cyber Security Policies and Standards are subject to periodic review and modifications based on changes in risk[1034]. - Unilever's Cyber Security team drives continuous improvement initiatives to address emerging risks and conducts resilience planning and recovery testing[1034]. Taxation and Compliance - The maximum tax rate for dividends received by US individuals is 15% or 20%, depending on income level, with an additional 3.8% tax for high-income individuals[1036]. - For US Federal Income Tax purposes, dividends paid in non-US currency will be included in income based on the exchange rate on the date received[1037]. - Under UK law, no income tax is withheld from dividends paid by most UK companies, including PLC, allowing shareholders to receive the full declared amount[1030]. - Stamp duty at a rate of 0.5% is generally payable on the transfer of PLC shares, with specific rules for transfers to clearance services[1047]. Internal Controls and Audit - Management assessed the effectiveness of internal control over financial reporting as of December 31, 2023, concluding it was effective, excluding two recently acquired entities[1073]. - The Group's internal control evaluation utilized the COSO framework, which is deemed suitable for measuring internal controls[1073]. - The average audit fees for KPMG LLP in 2023 were €23 million, consistent with the previous year[1074]. Sustainability and Environmental Practices - The company is committed to sustainability, as indicated by its environmental practices in document production[1091]. - The company encourages recycling and responsible disposal of its printed materials[1093]. Reporting and Documentation - The Annual Report on Form 20-F 2023 is filed with the US Securities and Exchange Commission and is available on Unilever's corporate website[1086]. - The Strategic Report outlines Unilever's strategy, business model, market outlook, and key performance indicators[1088]. - The Governance Report provides detailed corporate governance information and remuneration reports for Directors[1089]. - Unilever's financial statements and notes are included in the Annual Report, which spans pages 155 to 233[1090].