Unilever Shares Soar 3.3% on Earnings, Sales Growth

Unilever's stock surged 3.3% in pre-market trading on August 1, 2025, reflecting strong investor sentiment following the company's recent earnings report.

Unilever reported a 3.4% underlying sales growth for the first half of 2025, with notable performance in the Ice Cream and Personal Care segments. The company's volume growth stood at 1.5% for the first half, with a sequential improvement to 1.8% in the second quarter. This growth was driven by a 5.4% increase in North America and a 3.5% rise in the Asia Pacific and Africa regions.

Despite the sales growth, Unilever's profits saw a decline. The company's underlying operating profit fell by 4.8% to €5.8 billion, while reported operating profit dropped by 10.6% to €5.3 billion. This decline was attributed to adverse currency movements and net disposals, which impacted overall turnover by 3.2% to €30.1 billion. However, the company expects an improvement in underlying operating margin for the full year, with underlying sales growth projected to be between 3% and 5%.

Unilever's strategic shifts, including the planned spin-off of its Ice Cream business, are expected to drive future growth. The company has also completed a €1.50 billion share buyback and increased its quarterly dividend by 3%. CEO Fernando Fernandez highlighted the company's strong performance in developed markets and its interventions in emerging markets, which have accelerated growth in the second quarter.