Unilever to update on turnaround under new boss amid mounting trade pressure
Unilever is expected to outline fresh details of its attempted turnaround this week, after replacing its chief executive in March.
The consumer giant, which makes goods from Marmite to Dove soap, reports its first quarter results on the 24th April.
Experts said the company could give more insight into its plans under new boss Fernando Fernandez, who took the post on in March.
Fernandez will likely hope to last longer in the job than Hein Schumacher, who left the role “by mutual agreement” after less than two years at the helm.
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 group is trying to offload its Ben & Jerry’s and Wall’s ice cream division, announcing plans earlier this year to spin it off with a stock market listing in Amsterdam, alongside additional listings in London and New York.
But Unilever has faced increasing pressure from shareholders, such an activist investor Nelson Peltz, over a flagging performance.
Fernandez, who previously led Unilever’s beauty business, became chief financial officer in 2024 and is now in the top job. He has worked for the company for nearly 40 years.
The Argentine has already suggested hiring more social media influencers to market its products to make consumer less “suspicious” of its corporate messaging.
His challenges will include steering the company through Donald Trump’s trade war, which is likely to have an impact on supply chains of big firms like Unilever.
The group has already flagged an expected soft start to the year amid subdued pricing and weaker consumer confidence.
But it has also said it expects to see performance improve later this year.
Matt Britzman, an analyst at Hargreaves Lansdown, said that projection makes Thursday’s results “a crucial indicator” of how well the firm is doing.
“Markets are also expecting further updates on the progression and restructuring efforts of the ice cream spin-off”.
“With global trade tensions persisting, Unilever’s approach to addressing tariff risks and their impact on the supply chain will be closely watched”, he said.
Meanwhile, Unilever is also facing controversy after Ben & Jerry’s said its parent firm sacked the ice cream brand’s boss, David Stever, in March amid rows over the brand’s political activism.
Ben & Jerry’s alleged in a March filing to the US District Court for the Southern District of New York that Unilever wanted to stop the boss making political statements.
By Alex Daniel, PA Business Reporter