Unilever Plc reported an underlying sales increase of 3.8% in the first quarter of 2026, exceeding analyst estimates of 3.7%. This growth was primarily driven by robust demand in emerging markets, particularly India, where consumers purchased cleaning products and Dove soap. This positive performance in emerging economies helped to offset weaker demand experienced in the United States.
The volume growth also surpassed expectations, indicating an increase in the quantity of products sold. The Anglo-Dutch consumer goods company highlighted the importance of these international markets for its overall financial health.
This strong first-quarter showing came after a period where Unilever had provided cautious sales guidance. In February 2026, the company warned of a "slower" market in the US, expecting underlying sales for the full fiscal year to be at the lower end of its 4% to 6% multi-year target range. Despite this, they had still projected an increase from the 3.5% posted in 2025.
Looking back at fiscal year 2025, Unilever's pre-tax profit from continuing operations rose by 3.9% to $8.69 billion ($8.37 billion a year prior), despite a 3.8% decrease in turnover to $50.50 billion ($52.48 billion a year prior). Net profit attributable to shareholders' equity from continuing operations was $5.68 billion ($2.59 per share), up from $5.43 billion ($2.44 per share) in the previous year. The company also announced a new share buyback program of up to $1.5 billion, commencing in Q2 2026.
