Unilever(UK)(US:UL)2025-02-13 12:59Financial Data and Key Metrics Changes - Underlying sales growth for the full year was 4.2%, driven by volume growth of 2.9% and price contribution of 1.3% [19][51] - Gross margin increased by 280 basis points to 45%, exceeding pre-COVID levels in all Business Groups except Ice Cream [16][53] - Underlying operating profit grew by 12.6% to €11.2 billion, with underlying operating margin improving by 170 basis points to 18.4% [17][57] - Underlying earnings per share were €2.98, up 14.7% [57] Business Line Data and Key Metrics Changes - Beauty & Wellbeing achieved underlying sales growth of 6.5%, with volume at 5.1% and price at 1.3% [21][116] - Personal Care had underlying sales growth of 5.2%, with volume at 3.1% and price at 2.1% [27][121] - Home Care delivered underlying sales growth of 2.9%, driven by a 4.0% increase in volume [31] - Foods grew by 2.6%, with 2.4% from price and 0.2% from volume [35] - Ice Cream saw underlying sales growth of 3.7%, with volume growth at 1.6% and price at 2.1% [39] Market Data and Key Metrics Changes - Developed markets grew underlying sales by 4.4%, with volumes up 3.3% [43] - Latin America grew by 6.0%, with positive volume growth across Brazil, Mexico, and Argentina [44] - Asia Pacific Africa had underlying sales growth of 3.1%, with India growing at 1.8% [45][46] - China experienced a mid-single digit decline, while Indonesia saw an 8.7% decline [46] Company Strategy and Development Direction - The company is focused on the Growth Action Plan (GAP) 2030, aiming for superior brand performance and market-making [79][80] - A significant portfolio shift is underway with the separation of the Ice Cream business expected by the end of 2025 [10][91] - The company is committed to sustainability, focusing on climate, nature, plastics, and livelihoods [83][84] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the need for consistent performance and highlighted the importance of the GAP in achieving this [18][95] - The company expects underlying sales growth for 2025 to be within the range of 3% to 5% [72] - Anticipated market growth is expected to improve during the year as prices increase due to higher commodity costs [73] Other Important Information - The company returned €5.8 billion in capital to shareholders through dividends and buybacks [10][68] - A new share buyback program of up to €1.5 billion was announced, set to commence immediately [76] Q&A Session Summary Question: What are the expectations for underlying sales growth in 2025? - The company expects underlying sales growth for full year 2025 to be within the multi-year range of 3% to 5% [72] Question: How is the company addressing challenges in key markets like China and Indonesia? - The company is taking decisive actions to strengthen its business in China and correcting misaligned investments in Indonesia [46][50]