Unilever Plc · LSE:ULVR
Unilever — Q1 2018 Earnings Presentation
16 slides from Unilever's earnings presentation, Apr 19, 2018
Slide 1: Unilever Trading Statement Q1 2018
Unilever Trading Statement Q1 2018 Graeme Pitkethly / Richard Williams 19th April 2018
Slide 2: Safe Harbour Statement
SAFE HARBOUR STATEMENT This announcement may contain forward-looking statements, including ‘forward-looking statements’ within the meaning of the United States Private Securities Litigation Reform Act of 1995. Words such as ‘will’, ‘aim’, ‘expects’, ‘anticipates’, ‘intends’, ‘looks’, ‘believes’, ‘vi
Slide 3: Improved consumer demand, uncertainties remain
Improved consumer demand, uncertainties remain Global GDP Market Growth Country Dynamics Market value 3.2% India improving 2.9% 2.4% +3% China improving Brazil uncertain +1% South Africa weaker Indonesia weaker 2016 2017 2018 Market volume Source: Oxford Economics Source: Nielsen, adjusted for e-com
Slide 4: Q1: A good start
Q1: A good start Volume-led growth Broad-based growth Emerging markets pick-up Underlying Sales Growth Beauty & Personal Care Underlying Volume Growth exc. spreads in Emerging Markets +3.9% +3.7% Home Care +4.9% +3.6% Foods & Refreshment Underlying Volume Growth +2.7% Q1'17 Q2'17 Q3'17 Q4'17 Q1'18 e
Slide 5: Muted pricing, as expected
Muted pricing, as expected Price contributing less to quarterly growth Saving programmes driving margin USG 2.9% 3.0% 2.6% 4.0% 3.4% Lower commodity inflation 0.7% >€1bn supply 0.1% India: lower input taxes passed on chain savings to consumers p.a. Negative pricing in Latin America >2/3rd’s UPG 3.0%
Slide 6: C4G starting to deliver: Beauty & Personal Care
C4G starting to deliver: Beauty & Personal Care Grow the core Evolve the portfolio USG +3.9% , UVG +4.0% 6
Slide 7: C4G starting to deliver: Home Care
C4G starting to deliver: Home Care Grow the core Evolve the portfolio USG +4.9% , UVG +4.8% 7
Slide 8: C4G starting to deliver: Foods & Refreshment
C4G starting to deliver: Foods & Refreshment Grow the core Evolve the portfolio USG +2.7% , UVG +2.4% All data excludes spreads 8
Slide 9: Richard Williams
Richard Williams New Shower Foams Dove Clean never felt =f 7: so enjoyable. fu 4 a be & Shower & Shave More Sowers ten e regular body wash
Slide 10: Q1 2018 turnover
Q1 2018 turnover Currency drag largely translational Currencies indexed vs. Euro USG +3.4% 0.1% 1.5% (0.3)% 100 3.6% GBP (9.8)% CNY INR €13.3bn USD 85 BRL €12.6bn IDR Q1 2017 UVG exc. UPG exc. Spreads M&A FX Q1 2018 Jan '17 Mar '17 Jun '17 Sep '17 Dec '17 Mar '18 Turnover Spreads Spreads Turnover 10
Slide 11: Emerging Markets: +5.1% Underlying Sales Growth
Emerging Markets: +5.1% Underlying Sales Growth Asia / AMET / RUB Latin America USG 6.9% 4.3% 6.0% 6.5% 5.9% USG 3.5% 6.3% 6.6% 4.6% 2.2% 1.0% 1.0% UPG UPG UVG UVG Q1’17 Q2’17 Q3’17 Q4’17 Q1’18 Q1’17 Q2’17 Q3’17 Q4’17 Q1’18 11
Slide 12: Developed Markets: +1.1% Underlying Sales Growth
Developed Markets: +1.1% Underlying Sales Growth North America Europe USG (0.9)% 1.4% (2.9)% 2.3% 2.9% USG (2.0)% 0.3% (1.6)% (0.3)% 0.0% 1.0% 1.0% UPG UPG UVG UVG Q1’17 Q2’17 Q3’17 Q4’17 Q1’18 Q1’17 Q2’17 Q3’17 Q4’17 Q1’18 12
Slide 13: Graeme Pitkethly
Graeme Pitkethly New Shower Foams Dove Clean never felt =f 7: so enjoyable. CLEAN to Woon cm fu fi —_ SHV : a & Snap Sap More showers than e regular body wash
Slide 14: 2018 priorities
2018 priorities Integration of Foods & Refreshment Exit spreads and restructure stranded fixed costs Stepped up innovation and execution enabled by C4G Continued focus on non-value added costs Share Buy Back of up to €6 billion from May 14
Slide 15: 2018 outlook unchanged
2018 outlook unchanged Underlying sales growth in the 3-5% range Underlying Operating Margin: continued progress to 20% Strong cash flow 15
Slide 16: Unilever Trading Statement Q1 2018
Unilever Trading Statement Q1 2018 Graeme Pitkethly / Richard Williams 19th April 2018