Shares in Unilever tumbled by more than 7% this morning (31 July) despite the company maintaining its full-year guidance, as a strong euro and restructuring charges hit profits.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more


The Anglo-Dutch consumer goods giant posted a 5% fall in second-quarter operating profit to EUR1.37bn (US$2.14bn) and a 1% dip in sales to EUR10.37bn as the euro ate into earnings.


At constant exchange rates, operating profit was up 3% during the three months to the end of June, while turnover rose 6%.


During the first half of the year, operating profit reached EUR3.18bn, a rise of 16%, helped by disposals in the first quarter. Turnover was down 1% to EUR19.94bn.


Nevertheless, Unilever chief executive Patrick Cescau said the company had put in a “good performance” during the first half, posting underlying sales growth of 7% in a “challenging environment”.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

He said: “The changes already implemented in our business have made us nimbler and better able to respond to market conditions. We confirm our outlook for delivering ahead of our 3-5% target range, with an underlying improvement in operating margin.”


The market, however, was unconvinced and Unilever’s shares had fallen 7.02% to GBP14.04 at 10:22 BST this morning.


Underlying sales in Europe rose 2.3% during the first half thanks to higher prices. Sales volumes dipped 2.9% during the second quarter due to weaker ice cream sales, Unilever said. Margins in Europe rose on the back of profits on disposals.


In the Americas, underlying sales rose 5.7% with price increases in the US offsetting lower volumes. Brazil and Mexico boosted sales in Latin America, which rose 11%. Margins dipped 0.6% due to higher commodity costs.


Unilever saw underlying sales from its businesses in Asia and Africa rise 14.7%. The jump came in part through higher prices but volumes also grew, albeit at a slower pace than last year. Margins were up 0.8%.