Unilever's new CEO, Hein Schumacher, has outlined a comprehensive plan to address the company's recent underperformance. Despite a decrease in third-quarter sales, Unilever remains optimistic and has reaffirmed its full-year guidance.
Focusing on Core Brands and Improving Productivity
As part of the strategy, the multinational Anglo-Dutch retailer, known for its popular consumer brands like Ben & Jerry's ice cream and Dove soap, will prioritize its 30 key brands. Unilever aims to shift its approach from gross savings to net productivity, streamlining operations for improved efficiency. Additionally, the company intends to introduce changes within its leadership team.
Leveraging Unilever's Strengths
Unilever believes that its action plan will leverage the company's many capabilities and expedite progress in various areas. By prioritizing fewer initiatives but executing them with excellence, Unilever aims to create a greater impact across its operations.
Introducing a New CFO
In further news, Unilever has appointed Fernando Fernandez, the president of the beauty and wellbeing business, as the new Chief Financial Officer, effective January 1st. Fernandez will replace Graeme Pitkethly, who will retire from the company later this year.
Encouraging Sales Growth
Despite the decline in third-quarter sales, Unilever achieved a quarterly underlying sales growth of 5.2%, which aligns with market expectations. The company maintains a positive outlook for the future and expects underlying sales growth to surpass 5% by 2023.
Stable Dividend Declaration
Unilever's board has approved a quarterly dividend of 42.68 European cents, mirroring the dividend declared during the same period last year.
