Unilever Consumer Care sees lower profit as demand falls

FE REPORT

Unilever Consumer Care endured a 49 per cent year-on-year decline in profit to Tk 159 million in the third quarter through September this year as its sales plummeted.

The quarterly income was the lowest in four years.

In the nine months through September, the multinational company's profit fell 15.6 per cent year-on-year to Tk 572.45 million.

The company said the earnings had declined due to lower revenue, lower one-off benefit from reassessment of past liabilities & obligations and re-imposition of technology & trademark royalty charge by the parent company from the third quarter onwards.

Spokesperson from Unilever Consumer Care Limited told FE,

"Our products have witnessed lower demand as inflation hit the economy. People normally consume our products as supplements; they omit our products from their list when inflation increases," said Shamima Akhter, director, corporate affairs of the company.

"The magnitude of the fall in EPS was mitigated to some extent through efficiency in operating expenses and an increase in net finance income," she added.

The company's cash flow has decreased to Tk 7.52 per share in January-September this year from Tk. 20.65 per share in the same period last year.

The cash flow shrank due to the decrease in operating profit.

Meanwhile, the stock rose 1.36 per cent to Tk 2602.90 per share on Tuesday.

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