Unilever (LON:ULVR) announced its full-year 2018 financial results on Thursday. The company has said it has seen continued profitable growth despite the “volatile” market conditions.
Underlying full-year sales excluding spreads grew 3.1%, in line with expectations, with 2.1% from volume. Full year revenue was €51 billion.
Underlying operating margin increased 90bps. Meanwhile, underlying earnings per share increased 5.2%.
Full year turnover was impacted by an adverse currency impact of 6.7% and the disposal of its spreads business. As a result, turnover decreased 5.1%.
In December, Unilever acquired GSK’s Indian health food and drinks portfolio, including the Horlicks brand, in a €3.3 billion ($3.8 billion) deal.
CEO of Unilever, Alan Jope, commented on the results:
“2018 was a solid year for Unilever, with good volume growth and high-quality margin progression.”
“Looking forward, accelerating growth will be our number one priority. With so many of our brands enjoying leadership positions, we have significant opportunities to develop our markets, as well as to benefit from our deep global reach and purpose-led brands.”
“We will capitalise on our strengthened organisation and portfolio, and our digital transformation programme, to bring higher levels of speed and agility. Strong delivery from our savings programmes will improve productivity and fund our growth ambitions.”
“In 2019 we expect market conditions to remain challenging. We anticipate underlying sales growth will be in the lower half of our multi-year 3–5% range, with continued improvement in underlying operating margin and another year of strong free cash flow. We remain on track for our 2020 goals.”
Unilever announced the departure of its CEO Paul Polman in November, replaced by Alan Jope. Additionally, it scrapped plans for a Rotterdam HQ, following criticism from its investors. Top Unilever jobs were put at risk as influential investors planned to revolt at the company’s next AGM due to its handling of plans to scrap its UK headquarters.
At 09:43 GMT today, shares in Unilever plc (LON:ULVR) were trading at -2.77%.
