Unilever Plc - A Valuation on 14th July 2021

Unilever is a large, mature, stable consumer goods business, etching out marginal improvements and managing capital effectively. Can they find a way to reignite growth or margins?

Unilever is a multinational consumer goods company whose products include food, condiments, ice cream, wellbeing supplements, tea, coffee, cereal, cleaning agents, water and air purifiers, toothpaste, shampoo, and beauty and personal care products.

The company operates three main segments:

1. Beauty and Personal Care — 41.6% of Revenue — Skin cleaning (soap, shampoo), hair care (shampoo, conditioner, styling), skincare (face, hand and body moisturisers) and deodorants categories.

2. Foods and Refreshment — 37.7% of Revenue — Ice cream, savoury (soups, bouillons, seasoning), dressings (mayonnaise, ketchup) and teas.

3. Home Care — 20.6% of Revenue — Fabric care (washing powders and liquids, rinse conditioners) and a wide range of cleaning products.

The company is the largest producer of soap globally, and its products are available in over 190 countries. Unilever has over 400 brands - 13 of which have annual sales of more than €1B. These are Axe/Lynx, Dove, Omo/Persil, Heart (Wall's) ice creams, Hel…