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Unilever continues drive to innovate packaging despite fall in sales

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Unilever, the multinational consumer products group, said it is continuing its drive to innovate packaging and use fewer materials despite a 4% fall in pre-tax profit to EUR1.35bn (1.1bn) for the second quarter to 30 June.

The company also recorded a 1% fall in sales to €10.4bn for the quarter.

The owner of brands such as Flora, Sunsilk and Hellmanns launched upside-down deodorants for Dove and Rexona during the quarter. Both use less packaging while offering the “smoothest ever” roll-on.

The company is also rolling out Small & Mighty concentrated detergents across Europe under the Dirt is Good brand with a “markedly better” environmental footprint, as well as offering consumer convenience.

The firm introduced Small & Mighty detergent bottles in the US three years ago, which were launched in the UK in 2007 for Persil and Surf liquid detergents.

Unilever has claimed the switch reduced packaging by 40% and water usage and shipping volumes by 60%.

Unilever group chief executive Patrick Cescau said the company’s performance in the first half had been good in a “challenging” environment, as sales and profit figures had been hit by the strength of the euro and by restructuring charges.

“Looking to the future, our innovation programme focuses on opportunities in health and wellness, the use of superior technology and rapid deployment into new markets. This continues to be the best route to long-term value creation.”

He expects the company to deliver growth ahead of its 3-5% target, with an underlying improvement in operating margin for this year.

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