Pure Beauty

Unilever price hikes contribute to strong Q1 2023

By Alessandro Carrara | Published: 27-Apr-2023

Hair care sales boosted the the Dove and Dermalogica owner’s Beauty & Wellbeing division during the quarter

Unilever’s price hikes have resulted in a 10.5% rise in sales to €14.8bn for Q1 2023.

The higher product costs contributed to a 9.3% sales boost for the Dove and Dermalogica owner’s Beauty & Wellbeing division.

An uplift in hair care sales and the launch of Unilever’s new Sunsilk shampoo and conditioner range also supported the category's growth. 

TRESemmé and the new Clear Anti Hair Fall reported increased demand in China.

Unilever's core skin care portfolio saw a weaker performance, however, which was offset by elevated sales in South Asia and South East Asia.

“We are continuing to execute well on our strategic priorities,” said Unilever CEO Alan Jope.

“Growth was broad-based across the five Business Groups, underpinned by strong performances from our €1bn brands.”

The consumer goods giant's Prestige Beauty and Health & Wellbeing arms also delivered double-digit turnover in the first quarter.

Paula’s Choice, Hourglass and Liquid IV were highlighted as the top performing brands for two business divisions.

Personal Care recorded a sales rise of 12.7%, driven by the price increase and sales of deodorants refills.

“Our new operating model is driving focused resource allocation, and is unlocking a culture of bolder, faster decision-making and disciplined execution,” added Jope.

“We remain focused on navigating through continued macroeconomic uncertainty and are confident in our ability to deliver another year of strong growth, which remains our first priority.”

Unilever has been streamlining its portfolio of brands and inventory over the past six months.

In Q4 it removed over 50,000 skus from the group’s Personal Care business, as well as delisted around 60 local brands.

Graeme Pitkethly, Chief Financial Officer, said at the time that the removed business and skus amounted to 1% of Unilever's overall sales.

More recently, Unilever sold its personal care brand Suave to Yellow Wood Partners.

Suave will continue to be owned and operated by Unilever outside of the US and Canada, however.

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