Unilever sales dip as turnaround fails to gain pace

Unilever has reported a dip in revenue despite a year-long turnaround plan aimed at revitalising the business.

Overall sales at the consumer goods giant fell 0.9 per cent year year to €14.8bn (£12.65bn) in the first quarter of 2025.

This was driven by slumps in personal and home care products, which fell by 4.4 per cent and 4.2 per cent respectively.

Unilever, which makes well-known household brands such as Hellman’s and Magnum, is mid-way through a major turnaround plan.

The process involves 7,500 previously announced job cuts, as well as moves to trim down the number of brands in its food division and focus more attention on its biggest sellers.

The scheme, which Unilever said was “ahead of plan”, aims to deliver €800m of savings.

Chief executive Fernando Fernandez, who took the post on in March, called the company’s performance “resilient”.

Fernandez said he had “confidence [Unilever] will deliver on its full-year plans” and that the company was “moving at pace”.

Unilever reconfirmed its full-year 2025 outlook of three to five per cent sales growth, but said it was “conscious that the macroeconomic environment, currency stability and consumer sentiment remain uncertain and we will be agile in adjusting our plans as necessary”.

The Magnum Ice Cream Company

Unilever confirmed that it would spin off its ice-cream arm in the fourth quarter of the year.

The new business, which will have a primary listing in Amsterdam and secondary listings in London and New York, will operate on a standalone basis from July 1.

The business will include five of the world’s top-ten selling ice-cream brands including Wall’s and Ben & Jerry’s.

The decision to spin off the ice cream arm is part of Unilever’s wider strategy to slim down and focus on core strengths as part of its turnaround plan.