Unilever Plc · LSE:ULVR
Unilever — Q3 2022 Earnings Presentation
29 slides from Unilever's earnings presentation, Oct 27, 2022
Slide 1: Unilever Q3 2022 Trading Statement
Unilever Q3 2022 Trading Statement ALAN JOPE & GRAEME PITKETHLY 27 OCT 2022
Slide 2: Safe harbour statement
Safe harbour statement This presentation 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: Unilever Q3 2022 Trading Statement - Alan Jope
Unilever Q3 2022 Trading Statement ALAN JOPE
Slide 4: Q3 Highlights
Q3 Highlights Double-digit growth in Q3, full-year guidance raised Price-led with limited volume impact Big brands outperformed, driven by investment and innovation New organisation bringing speed and agility 4
Slide 5: Another strong quarter of growth
Another strong quarter of growth Competitive Q3 growth YTD growth Price growth growth 12.5% UPG 11.2% 10.6% 8.9% 8.3% Underlying sales growth Underlying sales growth 4.9% 50% % Business Winning MAT1 0.0% 12.5% (1.6)% 10.7% (1.6)% -1.0% -2.1% -1.6% UPG UVG UPG UVG UVG Q3'21 Q4'21 Q1'22 Q2'22 Q3'22 1M
Slide 6: Continued progress in line with strategic priorities
Continued progress in line with strategic priorities Win with brands Move portfolio into Accelerate USA, India, Lead in channels of and innovation high growth spaces China and EMs the future Q3’22 USG 12 €1bn+ brands Prestige and Health & Wellbeing grew 8.6% 14% double-digit eCom % TO 51% Acquired N
Slide 7: Future-fit organisation already enabling better execution
Future-fit organisation already enabling better execution Unilever Corporate Centre Speed Product rationalisation rapidly executed in Beauty & Personal Personal Care Home Care Nutrition Ice Cream Wellbeing Care Simplification Cross-border supply chain consolidation in North America Nutrition Busines
Slide 8: Beauty & Wellbeing
Beauty & Wellbeing
Slide 9: Beauty & Wellbeing
Beauty & Wellbeing 6.7% (0.6)% 7.3% USG UVG UPG 9.5% USG 7.7% 7.4% 6.7% • Double-digit growth in Prestige and 7.2% Health & Wellbeing UPG • Sunsilk and Clear driving strong 7.3% performance in Hair UVG • Small decline in China, impacted by continued lockdowns (0.6)% Q3'21 Q4'21 Q1'22 Q2'22 Q3'22 9
Slide 10: Brand and innovation highlights
Brand and innovation highlights Gorgeous hair through new 4x larger than at Enters bond-building nanoplex technology acquisition premium hair care category 10
Slide 11: Personal Care
Dove shower foam | deeplynourishing
Slide 12: Personal Care
Personal Care 8.9% (4.1)% 13.5% 8.9% USG UVG UPG 6.7% 6.8% USG • Deodorants performed strongly driven by double-digit growth 4.9% 13.5% from Dove, Rexona and Axe (0.8)% UPG • Skin Cleansing volumes declined as a result of pricing and supply constraints UVG (4.1)% • Pepsodent drove growth in Oral Car
Slide 13: Brand and innovation highlights
Brand and innovation highlights Microbiome nutrient serum Superior technology driving Clinically proven skin care moisturises dry skin in just accelerated growth across benefits offering a spot- one shower many markets less glow 13
Slide 14: Home Care
ultimate 3 care © se =
Slide 15: Home Care
Home Care 13.6% (3.6)% 17.8% USG UVG UPG 13.6% 12.2% USG 9.2% • Fabric Cleaning grew double- digit, driven by Dirt is Good, Surf 5.0% and Radiant 17.8% UPG 1.4% • Continued growth momentum in Fabric Enhancers, supported by Comfort UVG (3.6)% • Home & Hygiene growth slowed as Covid effects fade Q3'21
Slide 16: Brand and innovation highlights
Brand and innovation highlights Bio-enzymes tougher on Surf Excel driving high Patented Pro-Fibre grease and encrusted growth in India Fabric technology prevents food Cleaning clothes damage 16
Slide 17: Nutrition
Nutrition
Slide 18: Nutrition
Nutrition 11.8% 0.1% 11.7% USG UVG UPG 11.8% 7.0% USG • 20%+ growth in Dressings, with 6.2% strong pricing and positive volume from Hellmann’s UPG 4.7% 11.7% 3.4% • Growth broad-based with most geographies delivering high- single digits or better UVG 0.1% • Unilever Food Solutions continues to be ab
Slide 19: Brand and innovation highlights
Brand and innovation highlights Hellmann’s campaign driving Zero salt bouillon drives Strong quarter with return double-digit growth category growth to pre-Covid volumes 19
Slide 20: Ice Cream
Ice Cream
Slide 21: Ice Cream
Ice Cream 13.2% 1.0% 12.0% 13.2% USG UVG UPG USG 9.5% • Double-digit growth in key markets driven by Magnum, 7.1% Wall’s and Cornetto 12.0% UPG 2.3% • Out-of-Home channel recovering, but volume remains below pre- pandemic levels UVG (1.3)% 1.0% • Strong supply chain responded well to weather-driven
Slide 22: Brand and innovation highlights
Brand and innovation highlights Gen Z–targeted Classic remix supporting Strong growth from innovation in China double-digit growth Ice Cream Now 22
Slide 23: Unilever Q3 2022 Trading Statement - Graeme Pitkethly
Unilever Q3 2022 Trading Statement GRAEME PITKETHLY
Slide 24: Underlying Sales Growth
Underlying Sales Growth 10.6% (1.6)% 12.5% USG UVG UPG 10.6% 8.8% USG • Another quarter of price-led 7.3% growth in challenging conditions UPG 12.5% 4.9% 2.5% • Pricing sequentially stepped up UVG • Volumes resilient (1.6)% Q3'21 Q4'21 Q1'22 Q2'22 Q3'22 24
Slide 25: Regional growth by quarter
Regional growth by quarter Asia Pacific Africa Latin America €7bn TO €2bn TO 12.5% 17.6% 9.0% 16.8% USG 9.1% 9.8% 8.5% 5.7% 2.3% 12.1% 8.7% 23.2% UPG UVG 0.3% (4.6)% Q3'21 Q4'21 Q1'22 Q2'22 Q3'22 Q3'21 Q4'21 Q1'22 Q2'22 Q3'22 North America Europe €3.5bn TO €3bn TO 8.3% 5.4% 8.9% 4.6% 8.5% 0.7% USG 6
Slide 26: Q3 2022: Turnover growth
Q3 2022: Turnover growth +17.8% USG 10.6% A&D (2.1)% 8.8% 12.5% 1.0% (3.1)% (1.6)% €15.8bn €13.5bn 26
Slide 27: Net material inflation expected to continue into H1 2023
Net material inflation (NMI) expected to continue into H1 2023 Commodity costs Supplier conversion costs Currency Higher year-on-year Labour and energy raw material costs, USD strength raises inflation affecting raw partly a result of the local cost of material processing favourable covers in raw ma
Slide 28: Outlook: 2022 Priorities and 2022 Guidance
Outlook 2022 Priorities 2022 Guidance Expect growth above 8%, with more negative Continuing growth momentum volume growth than in the first nine months Invest for growth while managing inflationary Managing inflationary pressure while investing for Increased Maintain levels oflevels competitive spen
Slide 29: Unilever Q3 2022 Trading Statement
Unilever Q3 2022 Trading Statement ALAN JOPE & GRAEME PITKETHLY 27 OCT 2022