Unilever announces profit slump on Russia exit

LONDON, Feb 13 (AFP): British consumer goods giant Unilever on Thursday announced falling net profits for 2024, hit by exiting Russia and other restructuring costs.
Profit after tax dropped 11 per cent to 5.7 billion euros ($5.9 billion) compared with 2023, said the group whose products include Magnum ice cream, Cif surface cleaner and Dove soap.
Sales increased nearly two per cent to 60.8 billion euros.
"Today's results reflect a year of significant activity as we focused on transforming Unilever into a consistently higher performing business," said chief executive Hein Schumacher.
The fall in profits reflected the sale of assets and "higher restructuring costs as a result of accelerating the productivity programme", the company said in its earnings statement.
Unilever at the end of last year sold its subsidiary in Russia to local peer Arnest Group, finally joining other multinationals in exiting the country following its invasion of Ukraine in February 2022.
As part of an overhaul, Unilever is also axing thousands of jobs and separating out its ice cream business in a bid to revive growth, as the group comes under pressure from activist investors including American billionaire Nelson Peltz.
Following Thursday's update, shares in the company slumped nearly seven per cent on London's top-tier FTSE 100 index, which was down 0.7 per cent overall in late morning deals.