Unilever Plc · LSE:ULVR
Unilever — Q2 2006 Earnings Presentation
7 slides from Unilever's earnings presentation, Aug 3, 2006
Slide 1: Q2 and First Half 2006 Results
Q2 and First Half 2006 Results Patrick Cescau Rudy Markham Group Chief Executive Chief Financial Officer John Rothenberg SVP Investor Relations 3rd August 2006 Safe harbour statement This presentation may contain forward-looking statements, including ‘forward-looking statements’ within the meaning o
Slide 2: Underlying sales growth
Underlying sales growth 5 4 Typical growth rate for markets and categories USG (%) 3 in which Unilever operates: 2-4% 2 1 0 2003 2004 2005 H1 2006 • Growth is broad-based – all categories and regions • Increased price growth with continued volume momentum Personal Care - High quality innovation Dove
Slide 3: Personal Care – Strengthening the portfolio
Personal Care – Strengthening the portfolio US Hair $200m launch of Sunsilk Strengthened Suave and Dove ranges D&E Markets Focus on innovation and distribution in high growth spaces generating growth ahead of the market Lux Super Rich new range, China Omo activation, Vietnam Growth c. +8% in H1 Vita
Slide 4: Vitality and restoring growth in Europe
Vitality – Lifebuoy The Lifebuoy “Health Awakening” programme, educating millions of children in Asia Vitality – Breyers Double Churned Light Breyers Double Churned Light – extra creamy but with half the fat of regular ice cream Restoring growth in Europe 1 0 2003 2004 2005 H1 2006 USG (%) -1 -2 -3
Slide 5: Restoring growth in Europe – Our change programme
Restoring growth in Europe – Our change programme CONSUMERS CUSTOMERS Rejuvenate and support the core Build Rebalance our excellence in price-value equation customer development Focus behind fewer, bigger innovations Simplify our European organization ONE UNILEVER Operating margin Q2 and H1 Q2 H1 Op
Slide 6: H1 earnings and cash
H1 earnings and cash • Higher net profit from joint ventures – notably Pepsi-Lipton partnership • Lower financing costs – lower net debt – reduced pension financing costs • Tax rate 25% • Net cash flow from operating activities €1.5bn • Net debt €10.3bn, €1.2bn lower than a year ago Restored competi
Slide 7: Moving to the next phase / Questions
Moving to the next phase Building a winning portfolio Drive Build strength leadership in high growth positions in spaces key markets Focusing resources behind business priorities Vitality Personal Care D&E Unilever 2010 Overarching ambition remains top one-third TSR Long term targets: FCF €25-30bn d