Unilever PLC 6-K, filed Apr 29, 2021
Unilever PLC (UL)
6-K
2021-04-29
For: 2021-04-29
View Original
Added on
April 09, 2026
About this 6-K
Unilever PLC filed this 6-K on April 29, 2021.
FORM 6-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
REPORT OF FOREIGN ISSUER
Pursuant to Rule 13a-16 or 15d-16
of the Securities Exchange Act of 1934
For the
month of April, 2021
UNILEVER
PLC
(Translation
of registrant's name into English)
UNILEVER HOUSE, BLACKFRIARS, LONDON, ENGLAND
(Address
of principal executive offices)
Indicate
by check mark whether the registrant files or will file annual
reports
under
cover Form 20-F or Form 40-F.
Form
20-F..X.. Form 40-F
Indicate
by check mark if the registrant is submitting the Form 6-K in
paper
as
permitted by Regulation S-T Rule 101(b)(1):_____
Indicate
by check mark if the registrant is submitting the Form 6-K in
paper
as
permitted by Regulation S-T Rule 101(b)(7):_____
Indicate
by check mark whether the registrant by furnishing the
information
contained
in this Form is also thereby furnishing the information to
the
Commission
pursuant to Rule 12g3-2(b) under the Securities Exchange Act of
1934.
Yes
No .X..
If
"Yes" is marked, indicate below the file number assigned to the
registrant
in
connection with Rule 12g3-2(b): 82- _______
Exhibit
99 attached hereto is incorporated herein by reference.
Signatures
Pursuant
to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf
by the undersigned, thereunto duly authorized.
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UNILEVER
PLC
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/S/ R SOTAMAA
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BY R SOTAMAA
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CHIEF LEGAL OFFICER AND GROUP SECRETARY
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Date:
29 April, 2021
EXHIBIT INDEX
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EXHIBIT
NUMBER
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EXHIBIT
DESCRIPTION
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99
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Notice
to London Stock Exchange dated 29
April 2021
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1st Quarter 2021 Trading Statement
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Exhibit
99
UNILEVER TRADING STATEMENT FIRST QUARTER 2021
Performance highlights
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Underlying performance
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GAAP measures
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vs 2020
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vs 2020
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Underlying
sales growth (USG)
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5.7%
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Turnover
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€12.3bn
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(0.9)%
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Quarterly
dividend payable in June 2021
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€0.4268
per share
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●
Underlying
sales growth of 5.7%, with 4.7% volume and 1.0% price
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Turnover
decreased by 0.9%, driven by a negative currency related impact of
8.0%
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Quarterly
shareholder dividend of €0.4268 per share and share
buyback programme of up to €3 billion to commence in
May
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Alan Jope Chief Executive Officer statement
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"Unilever has made a good start to the year. Our focus on
operational excellence, innovation, and purposeful brands is
continuing to strengthen competitiveness and has delivered
underlying sales growth of 5.7% for the quarter.
We are driving the evolution of our portfolio, with strong growth
in Prestige Beauty and Functional Nutrition. The operational
separation of our Tea business is on track. We are also making good
progress in creating a new unit, Elida Beauty, comprising a number
of our smaller beauty and personal care brands.
We are confident that we will deliver underlying sales growth in
2021 within our multi-year framework of 3-5%, with the first half
around the top of this range. We expect to increase underlying
operating margin slightly for the full year, though with a decline
in the first half driven by Covid-19 impacts, higher cost inflation
and increased marketing spend over the prior year. Following
another year of strong cash flow delivery, Unilever's Board has
approved a share buyback programme of up to €3
billion.
We are committed to delivering superior long-term financial
performance through our sustainable business model, which we
believe has never been more relevant than it is
today."
29 April 2021
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FIRST QUARTER OPERATIONAL REVIEW
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First Quarter 2021
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(unaudited)
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Turnover
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USG
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UVG
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UPG
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€bn
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%
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%
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%
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Unilever
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12.3
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5.7
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4.7
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1.0
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Beauty
& Personal Care
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5.0
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2.3
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1.5
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0.8
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Home
Care
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2.6
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5.9
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6.5
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(0.6)
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Foods
& Refreshment
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4.7
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9.8
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7.3
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2.3
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Our markets: The operating
environment remains volatile across our broad geographic footprint.
Fluctuating Covid-19 case levels and markets entering and exiting
lock-downs continue to impact consumer behaviour and channel
dynamics. In North America and Europe strong demand for in home
food has continued, while demand for most beauty and personal care
categories has remained subdued. Conditions in China are
normalising. Economic activity in India increased in the first
quarter, although parts of the country have recently returned to
lock-down as a result of sharply rising Covid-19 cases. Markets
grew in Latin America in the first quarter, despite macroeconomic
conditions remaining volatile, and market conditions in South East
Asia remain challenging.
Unilever overall performance and outlook: We continued to focus on operational
excellence, which is delivering improved
competitiveness. Underlying sales growth was 5.7% with 4.7%
from volume and 1.0% from price. Emerging markets grew 9.4% driven
by strong double-digit growth in China and India, following strict
lock-downs in the prior year. Latin America grew high-single digit
while South East Asia declined, driven by Indonesia. Developed
markets grew 0.8%, with mid-single digit growth in North America
offset by a decline in Europe, where volumes were impacted by
lock-downs and we began to lap higher demand for food and hygiene
products. E-commerce continued to perform strongly, with underlying
sales growth of 66%, and represented 11% of
turnover.
Turnover decreased 0.9%. There was a negative impact of 8.0% from
currency related items. Acquisitions net of disposals, including
acquired functional nutrition brands Horlicks, Liquid I.V. and
SmartyPants Vitamins, had a positive impact of 1.9%.
In 2021 we expect to deliver underlying sales growth within our
multi-year framework of 3-5%, with the first half at around the top
of this range. We expect underlying operating margin to increase
slightly in the full year, following a decline in the first half
which is driven by a number of factors. Covid-19 continues to cause
additional supply chain costs and a negative margin mix. Commodity
and freight costs have increased further and we will be lapping
lower marketing spend in the first half of last year.
We will commence a share buyback programme of up to €3
billion in May, in one or more tranches, to be completed by the end
of the year. This reflects our strong cash flow delivery and
balance sheet position, and is in line with our capital allocation
framework. A further announcement will be provided before trading
begins.
The operational separation of Unilever's Tea business,
excluding India and Indonesia and the partnership interests in the
ready-to-drink tea joint ventures, is progressing well and is
expected to complete this year. We continue to evaluate the most
value creating model, including an IPO, a demerger, a joint
venture, or a disposal, and we have also appointed an external CEO
to lead this business into its next phase. The business that will
be separated generated revenues of around €2 billion in
2020.
The separation of a number of smaller beauty and personal care
brands is also underway. These brands, which are predominantly sold
in Europe and North America, will operate under the name Elida
Beauty and will benefit from dedicated management focus. The
brands include Q-Tips,
Caress, Tigi, Timotei, Impulse and MonSavon,
and together generated revenues of around €0.6 billion in
2020.
Beauty & Personal Care
Beauty & Personal Care underlying sales grew 2.3%, with 1.5%
from volume and 0.8% from pricing.
Skin cleansing grew mid-single digit, with growth in the first two
months followed by a decline in March as we started lapping a sharp
increase in demand for hygiene products. We rolled
out Dove's Care & Protect innovation across the
Americas, Europe and India, with new technology bringing together
hygiene and long lasting moisturisation across formats. Skin care
and hair care both grew mid-single digit. In hair, wash & care
growth was driven by strong performance in China and India, which
was partly offset by a decline in styling, as restricted living
continued to weigh on usage occasions. Deodorants declined
high-single digit as the deodorants market was also impacted by
lower consumer usage. Our Prestige business grew strong double
digit, helped by the gradual restocking and reopening of brick and
mortar stores in the US. Our Hourglass brand launched a 100% vegan red lipstick
formulated with a patent-pending pigment replacing the industry
standard, which is produced from crushed
beetles.
Home Care
Home Care underlying sales grew 5.9%, with 6.5% from volume and
negative price of 0.6%.
Fabric cleaning and fabric enhancing grew mid-single digit, led by
recovery in India as consumers returned to offices and
schools. We continued the rollout of our new "tougher on
stains, kinder to the planet" plant-based innovation under
the Omo brand. Home & hygiene grew
mid-single digit as demand for surface cleaners remained elevated,
albeit declining in March as we started lapping high growth at the
start of the pandemic in 2020. We expanded the rollout of
our Domestos multi-surface germ kill innovation,
launching new formats into India, Turkey and the UK. Price
declined after we passed on the benefits of lower commodity costs
in the second half of 2020, and due to promotional activity in
Europe.
Foods & Refreshment
Foods
& Refreshment underlying sales grew 9.8%, with 7.3% from volume
and 2.3% from pricing.
Out of home ice cream returned to growth, with strong performance
in emerging markets offsetting declines in Europe due to ongoing
lock-down restrictions which have impacted the buy-in for the
summer season. In-home ice cream grew double digit as demand for
food consumed at home remained high. The Magnum brand launched its new Double Gold Caramel
Billionaire innovation in stick and pint formats. Tea saw volume
and price growth.
Despite in-home foods seeing a decline in March, as we lapped a
spike in demand in the prior year, sales in the quarter were up
mid-single digit as consumers continued to eat more at home due to
restricted living conditions. The food solutions business grew low
single digit, with growth in China offsetting declines in markets
impacted by channel closures. Our Hellmann's brand grew double digit and communicated its
purpose to fight food waste with the brand's first ever advert
during the US Super Bowl.
Price growth of 2.3% was led by tea, as we increased prices in
India in response to significant commodity inflation. In addition,
we took strong pricing action in foods and ice cream in Latin
America, following high inflation and currency devaluation.
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FIRST QUARTER OPERATIONAL REVIEW: GEOGRAPHICAL AREA
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(unaudited)
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First Quarter 2021
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Turnover
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USG
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UVG
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UPG
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€bn
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%
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%
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%
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Unilever
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12.3
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5.7
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4.7
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1.0
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Asia/AMET/RUB
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5.9
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9.9
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8.6
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1.2
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The Americas
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3.8
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5.3
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2.8
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2.5
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Europe
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2.6
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(2.3)
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(0.7)
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(1.6)
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(unaudited)
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First Quarter 2021
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Turnover
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USG
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UVG
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UPG
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€bn
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%
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%
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%
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Developed
markets
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5.0
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0.8
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1.1
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(0.4)
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Emerging
markets
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7.3
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9.4
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7.3
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2.0
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North
America
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2.4
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4.3
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3.3
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0.9
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Latin
America
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1.4
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7.2
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1.9
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5.1
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Asia/AMET/RUB
Underlying sales grew 9.9%, with 8.6% from volume and 1.2% from
price. India and China each grew strong double digit, against a
backdrop of strict lock-down measures which impacted the prior
year. Growth in China was broad based. Sales in our food solutions
business returned to pre-Covid-19 levels for the quarter and the
rapid launch of new innovations, such as Cornetto's premium rose range, helped ice cream grow
double digit. In South Asia, we saw good performance from our
winter skin care portfolio, while Horlicks, which is not yet
included in underlying sales growth, grew well. In response to
commodity inflation we increased prices in several categories in
South Asia, including tea and skin cleansing. In South East Asia,
Indonesia declined high single digit, driven by home and personal
care categories, and Thailand declined slightly as tourism remained
restricted. The Philippines grew high single digit, led by foods,
as we lapped a period of strict lock-down in the prior year. Turkey
grew both volume and price.
The Americas
Underlying sales growth in North America was 4.3%, with 3.3% from
volume and 0.9% from price. Growth was driven by continued demand
for foods consumed at home. Functional nutrition
brand Olly, acquired in 2019, grew strong double digit. Our
Prestige brands grew double digit, helped by the gradual reopening
of the health and beauty channel, whilst demand for beauty and
personal care products remained weak overall and we began to lap a
spike in demand for food and hygiene products.
Latin America saw a competitive performance, growing 7.2% with 1.9%
from volume and 5.1% from price. We took strong pricing actions as
we responded to commodity inflation and currency devaluation.
Price-led growth was high-single digit in Brazil and low-single
digit in Mexico, both with marginally negative volumes. In
Argentina, which remained hyperinflationary, high-single digit
volume growth was driven by food and hygiene products. Consumer
value-orientated innovations, such as six-times concentrated
dilutable laundry liquids and Savital's anti-dandruff shampoo, performed well across
the region.
Europe
Underlying sales declined 2.3% with volume declining 0.7% and price
down 1.6%. Negative volumes were driven by a decline in our food
solutions business and lower demand for personal care products due
to ongoing lock-downs in markets such as the UK and Germany.
Volumes were also impacted by lapping higher demand for in-home
food and hygiene products in some markets. This was partially
offset by double digit volume growth for ice cream, driven by
in-home ice cream consumption. Price declined in
a deflationary retail environment.
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COMPETITION INVESTIGATIONS
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As previously disclosed, Unilever is involved in a number of
ongoing investigations and cases by national competition
authorities, including those within Italy, Greece, South Africa and
Turkey. These proceedings and investigations are at various stages
and concern a variety of product markets. Where appropriate,
provisions are made and contingent liabilities disclosed in
relation to such matters.
Ongoing compliance with competition laws is of key importance to
Unilever. It is Unilever's policy to co-operate fully with
competition authorities whenever questions or issues arise. In
addition, the Group continues to reinforce and enhance its internal
competition law training and compliance programme on an ongoing
basis.
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DIVIDENDS AND SHARE BUYBACKS
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The Board has declared a quarterly interim dividend of Q1 2021
of £0.3710 per Unilever PLC ordinary share or
€0.4268 per Unilever PLC ordinary share at the
applicable exchange rate issued by WM/Reuters on 27 April
2021.
The following amounts will be paid in respect of this quarterly
interim dividend on the relevant payment date:
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Per Unilever PLC ordinary share (traded on the London Stock
Exchange):
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£ 0.3710
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Per Unilever PLC ordinary share (traded on Euronext in
Amsterdam):
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€ 0.4268
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Per Unilever PLC American Depositary Receipt:
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US$ 0.5159
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The euro and US dollar amounts above have been determined using the
applicable exchange rates issued by WM/Reuters on 27 April
2021.
US dollar cheques for the quarterly interim dividend will be mailed
on 10 June 2021 to holders of record at the close of business on 21
May 2021.
The quarterly dividend calendar for the remainder of 2021 will be
as follows:
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Announcement
Date
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Ex-Dividend
Date
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Record
Date
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Payment
Date
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Q1
2021 Dividend
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29 April 2021
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20 May 2021
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21 May 2021
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10 June 2021
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Q2
2021 Dividend
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22 July 2021
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5 August 2021
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6 August 2021
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8 September 2021
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Q3
2021 Dividend
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21 October 2021
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4 November 2021
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5 November 2021
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1 December 2021
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A share buyback programme of up to €3 billion will commence
in May 2021, in one or more tranches, to be completed by the end of
the year. A further announcement will be provided before trading
begins.
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SEGMENT INFORMATION - DIVISIONS
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(unaudited)
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First Quarter
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Beauty &
Personal
Care
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Home
Care
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Foods & Refreshment
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Total
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Turnover (€
million)
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2020
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5,298
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2,717
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4,425
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12,440
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2021
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5,034
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2,604
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4,690
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12,328
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Change
(%)
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(5.0)
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(4.2)
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6.0
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(0.9)
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Impact of:
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Acquisitions
(%)
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1.8
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-
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3.4
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2.0
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Disposals
(%)
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-
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(0.3)
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(0.3)
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(0.2)
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Currency-related
items (%), of which:
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(8.8)
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(9.2)
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(6.4)
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(8.0)
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Exchange rates changes (%)
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(8.9)
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(9.3)
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(6.5)
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(8.1)
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Extreme price growth in hyperinflationary markets* (%)
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0.1
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0.1
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0.2
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0.1
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Underlying sales
growth (%)
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2.3
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5.9
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9.8
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5.7
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Price*
(%)
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0.8
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(0.6)
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2.3
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1.0
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Volume
(%)
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1.5
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6.5
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7.3
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4.7
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SEGMENT INFORMATION - GEOGRAPHICAL AREA
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(unaudited)
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First Quarter
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Asia /
AMET /
RUB
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The
Americas
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Europe
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Total
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Turnover (€
million)
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2020
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5,744
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4,035
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2,661
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12,440
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2021
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5,958
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3,795
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2,575
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12,328
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Change
(%)
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3.7
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(6.0)
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(3.2)
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(0.9)
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Impact of:
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Acquisitions
(%)
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2.7
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2.3
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-
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2.0
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Disposals
(%)
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-
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(0.3)
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(0.3)
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(0.2)
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Currency-related
items (%), of which:
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(8.0)
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(12.5)
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(0.6)
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(8.0)
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Exchange rates changes (%)
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(8.1)
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(12.8)
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(0.6)
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(8.1)
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Extreme price growth in hyperinflationary markets* (%)
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0.1
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0.3
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-
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0.1
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Underlying sales
growth (%)
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9.9
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5.3
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(2.3)
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5.7
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Price*
(%)
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1.2
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2.5
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(1.6)
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1.0
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Volume
(%)
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8.6
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2.8
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(0.7)
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4.7
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*
Underlying price growth in excess of 26% per year in
hyperinflationary economies has been excluded when calculating the
price growth in the tables above, and an equal and opposite amount
is shown as extreme price growth in hyperinflationary
markets.
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NON-GAAP MEASURES
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In our financial reporting we use certain measures that are not
defined by generally accepted accounting principles (GAAP) such as
IFRS. We believe this information, along with comparable GAAP
measurements, is useful to investors because it provides a basis
for measuring our operating performance, and our ability to retire
debt and invest in new business opportunities. Our management uses
these financial measures, along with the most directly comparable
GAAP financial measures, in evaluating our operating performance
and value creation. Non-GAAP financial measures should not be
considered in isolation from, or as a substitute for, financial
information presented in compliance with GAAP. Wherever appropriate
and practical, we provide reconciliations to relevant GAAP
measures. The non-GAAP measures used in this announcement are
underlying sales growth, underlying volume growth and underlying
price growth (see below).
Underlying sales growth (USG)
Underlying sales growth (USG) refers to the increase in turnover
for the period, excluding any change in turnover resulting from
acquisitions, disposals, changes in currency and price growth in
excess of 26% in hyperinflationary economies. Inflation of 26% per
year compounded over three years is one of the key indicators
within IAS 29 to assess whether an economy is deemed to be
hyperinflationary. We believe this measure provides valuable
additional information on the underlying sales performance of the
business and is a key measure used internally. The impact of
acquisitions and disposals is excluded from USG for a period of 12
calendar months from the applicable closing date. Turnover from
acquired brands that are launched in countries where they were not
previously sold is included in USG as such turnover is more
attributable to our existing sales and distribution network than
the acquisition itself. The reconciliation of changes in the GAAP
measure turnover to USG is provided on page 6.
Underlying price growth (UPG)
Underlying price growth (UPG) is part of USG and means, for the
applicable period, the increase in turnover attributable to changes
in prices during the period. UPG therefore excludes the impact to
USG due to (i) the volume of products sold; and (ii) the
composition of products sold during the period. In determining
changes in price we exclude the impact of price growth in excess of
26% per year in hyperinflationary economies as explained in USG
above. The measures and the related turnover GAAP measure are set
out on page 6.
Underlying volume growth (UVG)
Underlying volume growth (UVG) is part of USG and means, for the
applicable period, the increase in turnover in such period
calculated as the sum of (i) the increase in turnover attributable
to the volume of products sold; and (ii) the increase in turnover
attributable to the composition of products sold during such
period. UVG therefore excludes any impact on USG due to changes in
prices. The measures and the related turnover GAAP measure are set
out on page 6.
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CAUTIONARY 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', 'looks',
'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 Unilever Group (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; Unilever's ability to innovate
and remain competitive; Unilever's investment choices in its
portfolio management; the effect of climate change on Unilever's
business; Unilever's ability to find sustainable solutions to its
plastic packaging; significant changes or deterioration in customer
relationships; the recruitment and retention of talented employees;
disruptions in our supply chain and distribution; increases or
volatility in the cost of raw materials and commodities; the
production of safe and high quality products; secure and reliable
IT infrastructure; execution of acquisitions, divestitures and
business transformation projects; economic, social and political
risks and natural disasters; financial risks; failure to meet high
and ethical standards; and managing regulatory, tax and legal
matters. A number of these risks have increased as a result of the
current Covid-19 pandemic. These forward-looking statements speak
only as of the date of this document. 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.
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 in the Annual Report on Form 20-F 2020 and
the Unilever Annual Report and Accounts 2020 available on our
corporate website.
|
ENQUIRIES
|
|
|
|
|||
|
Media: Media Relations
Team
|
Investors: Investor
Relations Team
|
|||
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UK
or
NL
or
|
+44 78 2527 3767
+44 77 7999 9683
+31 10 217 4844
+31 62 375 8385
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lucila.zambrano@unilever.com
JSibun@tulchangroup.com
els-de.bruin@unilever.com
marlous-den.bieman@unilever.com
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+44 20 7822 6830
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investor.relations@unilever.com
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There will be a web cast of the results presentation available
at:
www.unilever.com/investor-relations/results-and-presentations/latest-results