Jul 28, 2026 earnings call — Volume-led growth and upgraded full-year outlook
Unilever upgraded full-year underlying sales growth to 4% to 6% with around 3% volume for the year.
Revenue $29.1B (est $29.4B) · EPS $1.66 (est $1.84)
Key quotes
"In the first half, we had an inflation impact of about EUR 100 million, which is landed into the P&L. Also looking ahead, we expect about EUR 550 million impact."
Analyst Q&A 10
Volume resilience and market share
Q (Jemma Spalton · JPM): The analyst asked whether sell-in vs sell-out differed, how resilient the strong volume performance is when prices rise, and which markets/categories drove the upgrade to 3% volume for the year.
A: Management said the result comes from stronger brands and broad-based improvement, highlighting multi-quarter underlying growth and acceleration in emerging markets including India, China and LATAM. They noted some share losses in U.S. condiments but said overall performance is broad-based and resilient.
U.S. destocking and oral care
Q (Jemma Spalton · BofA): The analyst asked if there was retailer destocking in the U.S. and why peers report it but Unilever may not; and asked about Oral Care performance and organizational focus there.
A: Management said there has been a bit more destocking in foods than in HPC but it is not material at company level and they have not seen a big sell-in/sell-out gap. On Oral Care, they said they grew low single digits in H1 and are not happy with that performance, noting past strength in Pepsodent and Close Up in Asia.
U.S. category trends and margins
Q (Jemma Spalton · Barclays): The analyst asked for an update on the McCormick deal, category-level detail in the U.S. (which subcategories are driving growth and how shares are trending), and H2 margin moving parts including gross margin, BMI, overheads and NMI impact.
A: Management said U.S. outperformance reflects portfolio changes and stronger retailer relations, with broad-based growth across hair, skin cleansing and prestige, and noted Foods (condiments) was disappointing due to premium mayo developments and promotions. They said actions are in place for Foods and expect H2 to be better; Srini was introduced to discuss margins.
Premiumization and Brazil tax
Q (Jemma Spalton · Goldman Sachs): The analyst asked how much room there is to premiumize Dove and other baseline brands in the U.S. and globally, and asked about the Brazilian tax reform: which categories it affects, magnitude and timing.
A: Management highlighted they are investing in digital discovery, activating LLM rankings across markets to support big brands and future discovery. Srini was asked to take the Brazil tax question (response by Srini is not in this transcript).
LATAM pricing and H2 volume timing
Q (Jemma Spalton · Jefferies): The analyst asked if LATAM price resets are done and whether pricing will step up in H2, whether competitors followed price moves, and asked how to think about Q3 vs Q4 volume pattern including World Cup effects.
A: Management reiterated the portfolio diversification gives resilience and underpins confidence in the upgraded guidance. They pointed to actions taken like price corrections and promotional management, and said they are cautious on H2 volumes when raising price but expect sequential margin improvement needs due to inflation.
FIFA activation impact
Q (Jemma Spalton · BNP): The analyst asked how much growth the FIFA activation added and how to think about cycling that benefit next year.
A: Management said they executed a large FIFA program with broad creative and store activation and expect residual brand-strength effects; they do not yet have the data to precisely quantify sellout impact because the World Cup finished recently but cited indicators like regained U.S. market leadership as positive signs.
Volume mix and local competition
Q (Jemma Spalton · HSBC): The analyst asked for detail on volume performance by division (units vs mix) and whether local competition was supply-constrained and if that will persist.
A: Management said they have prioritized supply security given Middle East developments, which has helped versus local players who suffered in customer service in Asia; they have no visibility on supply security for the next 4 to 6 months in the most affected categories like laundry power. Srini was invited to comment on volume mix but that specific split detail is not present here.
Price elasticity and skincare drag
Q (Jemma Spalton · UBS): The analyst asked whether price elasticities are rising, whether premiumization will lower elasticities, and why skincare grew only low single digits despite strong baseline and prestige.
A: Management said some legacy Asian skincare brands like Fair & Lovely and Ponds are declining and need rebuilding, while prestige and Vaseline are strong; on pricing they said they were cautious and used formulation, promo optimization and strategic pricing, noting 90% of revenue is now at intended relative pricing and that elasticity has been meaningful in recent corrections.
India investment and competition
Q (Jemma Spalton · Deutsche Bank): The analyst asked if margins in India might be lowered to stimulate growth, whether Chinese producers are competing in emerging markets, and if LLM search gives media cost benefits moving to higher trade spend.
A: Management said they will invest in India to protect their leadership and expect India to be a key growth contributor; they emphasized their privileged position and intention to invest for the long term. Other detailed answers on Chinese competition and LLM search benefits were not fully provided here.
Local structure and channel relevance
Q (Jemma Spalton · Rothschild): The analyst asked how the Unilever markets structure helps navigate volatility and whether improved channel relevance explains performance in Asia and China beauty.
A: The transcript does not record a direct management answer to this last question. Earlier in the call management had said stronger retailer relationships and portfolio moves helped U.S. outperformance and that channel execution and FIFA activation supported sellout, but no specific reply to this question is present here.