From Morningstar:

Unilever stocks rose 2.7% as the consumer goods company reported its full-year and Q4 2023 results, revealing a further €1.5 billion share buyback in 2024. However, pretax profits fell by 9.7% to €9.34 billion, as turnover dropped 0.8% to €59.60 billion.

The company declared an unchanged fourth-quarter dividend of €0.4268 and plans to begin a new share buyback program totaling €1.5 billion in Q2 2024.

Despite margin improvements, Unilever saw a decline in profits. Yet, Morningstar equity analyst Ioannis Pontikis remains optimistic, saying that the company’s latest earnings report shows a favorable close to the year, prompting a “buy” recommendation.

Looking ahead, Unilever expects a modest improvement in 2024 sales growth within a multi-year range of 3% to 5%. Chief executive Hein Schumacher highlighted plans to enhance margins and “unlock Unilever’s full potential” through strategic investment and portfolio transformation.

Unilever seeks to consistently improve its performance and aims to transform into “a consistently higher performing business.” It will focus on increasing investment behind 30 power brands, accelerating portfolio transformation, and driving a stronger performance focus.



Read more: Unilever Stock Rises on Fresh €1.5bn Buyback…