Jean-Marc Huët CFO James Allison Head of Investor Relations & … · 2020-07-07 · Safe harbour...
Transcript of Jean-Marc Huët CFO James Allison Head of Investor Relations & … · 2020-07-07 · Safe harbour...
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Unilever Q3 2012 Trading Statement Jean-Marc Huët – CFO
James Allison – Head of Investor Relations & M&A
October 25th 2012
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Safe harbour statement
This announcement 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’, ‘believes’, ‘vision’, or the negative of these terms and other similar expressions of future performance or results, and their negatives, are intended to identify such forward-looking statements. These forward-looking statements are based upon current expectations and assumptions regarding anticipated developments and other factors affecting the Group. They are not historical facts, nor are they guarantees of future performance. Because these forward-looking statements involve risks and uncertainties, there are important factors that could cause actual results to differ materially from those expressed or implied by these forward-looking statements. Among other risks and uncertainties, the material or principal factors which could cause actual results to differ materially are: Unilever’s global brands not meeting consumer preferences; increasing competitive pressures; Unilever’s investment choices in its portfolio management; finding sustainable solutions to support long-term growth; customer relationships; the recruitment and retention of talented employees; disruptions in our supply chain; the cost of raw materials and commodities; secure and reliable IT infrastructure; successful execution of acquisitions, divestitures and business transformation projects; economic and political risks and national disasters; the sovereign debt crisis in Europe; financial risks; failure to meet high product safety and ethical standards; and managing regulatory, tax and legal matters. Further details of potential risks and uncertainties affecting the Group are described in the Group’s filings with the London Stock Exchange, Euronext Amsterdam and the US Securities and Exchange Commission, including the Group’s Annual Report on Form 20-F for the year ended 31 December 2011 and the Annual Report and Accounts 2011. These forward-looking statements speak only as of the date of this announcement. Except as required by any applicable law or regulation, the Group expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the Group’s expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based.
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Competitive intensity remains high
Market environment remains challenging
Continuous volatility GDP growth revised down
GDP growth %
5.1
3.8 3.3
3.0
1.6 1.3
2010 2011 2012 2010 2011 2012
Brent Crude US$ per barrel
May 2012 October 2012
$100
World Developed markets
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Broad based, consistent growth ahead of our markets
4.1
6.5 6.6
2010 2011 YTD 2012
Unilever group Underlying sales growth (%)
2.0% 2.2% 9.5
2.0
10.2
5.5
Personal care
Food Home care
Refresh- ment
Categories Underlying sales growth (%)
YTD 2012
7.9
11.5 11.7
2010 2011 YTD 2012
Emerging markets Underlying sales growth (%)
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Turnover Q3'11 YTD
Vol/Mix Price FX M&A Turnover Q3'12 YTD
Q3 YTD 2012 - Turnover growth 11.1% with positive M&A contribution
2.6%
1.5%
3.0%
3.5%
USG 6.6%
€38.8bn
€34.9bn
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Turnover Q3'11 Vol/Mix Price FX M&A Turnover Q3'12
Q3 2012 - Turnover growth 10.3%, balanced volume / price contribution
4.1%
0.1%
3.4%
2.4%
USG 5.9%
€13.4bn
€12.1bn
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Q3 2012 – Emerging markets: consistent double-digit growth
Underlying sales growth (%)
7.6 8.4
9.9 10.6
13.1 12.3 11.9
11.0 12.1
Q3 10 Q4 10 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q2 12 Q3 12
Broad based growth – no country accounts for more than 8% of group turnover
Emerging markets % turnover
32
43
48
55
2002 2006 2008 2012 YTD
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Q3 2012 - Personal Care: strong momentum continues
8.0
5.6
2.3
USG Volume Price
Volume led growth
Strong momentum in Hair:
Innovation and white spaces
Deodorants value shares up:
Achieving record highs
(%)
Roll out Clear – Australia
Now in 43 markets
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Q3 2012 - Foods: sales impacted by performance in Spreads
Spreads volumes are down:
Impact of relative pricing
Dressings performing well
Volume shares are broadly flat
Brazil - Hellmann’s 50 years
-0.4
-1.4
1.0
USG Volume Price
Stable underlying sales growth +2.0% year-to-date
(%)
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Q3 2012 - Home care: broad based growth across our markets
11.0
7.0
3.8
USG Volume Price
(%)
Strong volume and value share gains
Growth driven by:
Improved product quality
Innovation
Market development
re-launch
Into more than 20 markets
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Q3 2012 - Refreshment: Ice Cream driving growth in the category
6.8
3.3 3.4
USG Volume Price
(%)
Ice Cream strong growth driven by:
Innovation
White space: Magnum Philippines
Beverages grew mid-single digit:
Driven by emerging markets
But still more to do
Launch of Ice Cream Pints – Europe
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James Allison
Head of Investor Relations & M&A
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Q3 2012 – Asia / AMET / RUB: 5th successive quarter of double-digit growth
10.7
6.2
4.3
USG Volume Price
(%) Double-digit growth across the majority of countries
Volume and value share gains across most markets
Strong momentum in Home and Personal care
Employer brand strengthening across the region:
Now #2 in China and Russia
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Q3 2012 - Americas: growth driven by Latin America
4.7
1.2
3.4
USG Volume Price
(%) North America underlying sales growth -3.5%
In line with market growth after adjusting for sales brought forward last year
Share gains in Personal care, Foods down for the quarter
Latin America +13.7% USG, with a good balance between volume and price
Brazil strong, volume led double digit growth
Gaining share across the region despite high competitive intensity
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Q3 2012 - Europe: modest growth driven by volume
0.9
2.1
-1.2
USG Volume Price
(%)
Economic situation remains difficult, particularly in Southern Europe
Growing in line with the market
Continuing to innovate across all categories
Europe underlying sales growth +1.0% year-to-date
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Q3 2012 - Europe: innovation at different points of the price pyramid
Value range: Elais in Greece
Premium range: Dove Men+Care Face in UK
Value range: Cornetto Packs in Southern Europe
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N.A. Frozen Food disposal completed
M&A: improving the growth profile of Unilever
Sara Lee : Radox roll-out across CEE Concern Kalina growing double-digit
90
60
190
Hair Face Oral
Value share change bps (L12w)
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Alberto Culver fully integrated - TRESemmé roll-out continues
Brazil – Q4 2011 India – Q2 2012 Indonesia - Q3 2012
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Jean-Marc Huët
CFO
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A&P : Investing behind our brands
We continue to invest in a challenging environment
Product quality ~€100m p.a. Capital expenditure up 100bps
3.2
3.8
4.2
2009 2010 2011
Turnover %
+€1bn
incremental A&P
Since 2008
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Our priorities remain unchanged
1. Volume growth ahead of the market
2. Steady and sustainable core operating margin improvement
3. Strong cash flow
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Unilever Q3 2012 Trading Statement Jean-Marc Huët – CFO
James Allison – Head of Investor Relations & M&A
October 25th 2012