Shares in Unilever (LON:ULVR) have advanced in London in today’s session as the consumer goods giant updated investors on its full-year performance, posting a rise in revenue and profits. The group, whose 2017 was marked by a failed takeover attempt by Kraft Heinz, further said that it will complete a review of its dual structure ‘shortly’.
As of 14:26 GMT, Unilever’s share price had added 1.04 percent to 4,041.50p, outperforming the broader UK market, with the benchmark FTSE 100 index currently standing 0.53 percent lower at 7,493.73 points. The group’s shares have added more than 28 percent to their value over the past year, as compared with a little over five-percent rise in the Footsie.
Unilever posts FY results
Unilever updated investors on its full-year results today, revealing underlying sales growth of 3.1 percent. The group’s underlying earnings per share rose 10.7 percent to €2.24, while the consumer goods giant’s free cash flow rose by €600 million to €5.4 billion.
“We have delivered a good all-round performance with competitive growth, including an innovation-led improvement in volumes in the fourth quarter, and substantially increased margin, earnings and cash flow,” Unilever’s chief executive officer Paul Polman commented in the statement.
Structure review update
The results come as the FTSE 100 undergoes a restructuring prompted by Kraft Heinz’s failed takeover bid this year, with Unilever looking to unlock value for shareholders. The company noted in today’s statement that the review of its dual-headed legal structure had ‘progressed well’ and the company expected ‘to conclude it shortly’.
“Unilever is taking the biggest steps in the industry to increase the agility of its business model, reduce costs, embrace digital and e-commerce and future-proof its portfolio,” Berenberg analysts led by James Targett said in a note, as quoted by Bloomberg.