Unilever sales top estimates, but inflation casts shadow – MENAFN.COM

SourceMENAFN
SectorEconomy
CountryGulf

The logo of Unilever is seen at the headquarters in Rotterdam, Netherlands August 21, 2018. REUTERS/Piroschka van de Wouw/File Photo Unilever Plc on Thursday topped expectations with second-quarter sales growth, helped by higher prices and strong sales of ice-cream and teas, but warned surging commodity costs would squeeze its full-year operating margin. The warning dragged shares of the FTSE-listed company down 4.

2% making it the biggest loser on the index in morning trading. Underlying sales for the maker of Dove soap and Hellmann’s mayonnaise rose 5% in the three months that ended June 30, beating the 4. 8% analysts had expected, according to a company supplied consensus. Half-year sales came in 5. 4% higher, above the 5. 3% forecast, propelled by 8. 1% growth in its Foods and Refreshment division, as living restrictions began to ease in many markets. In Europe, ice-cream eaten out of home grew double-digits while it also saw strong consumption in markets like Turkey, China and India. Sales of teas, including Lipton and PG Tips, also generated strong volume growth in North America, Turkey, Europe and India. “We believe full-year outlook will land well within the 3-5% growth range with our biggest focus on competitive

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