Unilever PLC (LSE:ULVR) reported accelerated growth for the first quarter as underlying sales increased 10.5% to €14.8bn, with growth broad-based including a strong showing from its billion+ Euro brands.
The strongest sales growth came in Personal Care, up 12.7%, while Home Care and Nutrition rose 10.2% and 11.9% respectively. More modest advances were seen in Beauty & Wellbeing and Ice Cream, up 9.3% and 6%.
The owner of Ben & Jerrys ice cream and Dove soaps said price growth remained elevated at 10.7%, with an improved quarter-on-quarter volume performance at negative 0.2%.
The group’s billion+ Euro brands, accounting for 54% of turnover, delivered underlying sales growth of 12.1%, led by strong performances from OMO, Hellmann's, Rexona and Lux.
Looking ahead, the firm expects inflation of around €1.5bn in the first half and significantly lower inflation in the second half, with a wide range of possible outcomes although it does not expect cost deflation.
“We now expect underlying sales growth for the full year 2023 to be at least at the upper end of our multi-year range of 3-5%,” Unilever said.
Underlying price growth will remain high in the first half and soften through the year while underlying operating margin in the first half will be at least 16% with a modest improvement in underlying operating margin in the full year.
Chief executive Alan Jope said: “We remain focused on navigating through continued macroeconomic uncertainty and are confident in our ability to deliver another year of strong growth, which remains our first priority."
Unilever held its quarterly interim dividend at €0.4268.