Unilever raises volume outlook as Q3 sales rise 6.7% on price hikes and emerging markets

Sales and guidance

Unilever reported sales of 38,919 million euros in the first nine months of 2026, a rise of 2.7% on the same period a year earlier, and said it had revised its annual outlook upward. On an underlying basis, sales grew 4.9% over the nine months, including 1.1% from price and 3.8 percentage points from volume. Third-quarter sales reached 13,271 million euros, up 6.7% year on year, with underlying growth of 5.2%, made up of 2.3% from price and 2.9% from volume.

The company now expects underlying sales growth of 4% to 6% for the full year and at least 3% underlying volume growth, compared with previous guidance of around 3%. It also expects underlying sales growth of about 5% in the second half, against earlier guidance of between 4% and 5%. Underlying operating margin is expected to improve modestly for the full year, compared with 20% in 2025.

Regional performance

Asia Pacific sales rose 2% to 17,270 million euros in the nine months, while the Americas grew 5.9% to 14,742 million euros. Europe fell 2.4% to 6,907 million euros. Fernando Fernandez, the chief executive, said emerging markets were again a key driver, led by India, with continued strength in Latin America and Southeast Asia.

“We have delivered another quarter of competitive growth, led by continued strong volume delivery and a step-up in price to offset the impact of higher commodity costs.”

By category, beauty sales rose 3.2% to 9,992 million euros, personal care rose 6.2% to 10,459 million euros and home care rose 3.6% to 9,049 million euros. Foods fell 2.6% to 9,419 million euros. Analysts had expected 4.8% underlying growth in the quarter, so the 5.2% result beat that estimate.

Price increases and costs

Unilever said prices had stepped up in the third quarter in response to rising commodity costs, with home and personal care products seeing the largest increases. Other consumer goods makers, including Reckitt Benckiser, have also raised prices, and Coca-Cola, Procter & Gamble and Nestle have warned of further increases next year. Reckitt said on Tuesday that its prices rose 4% across Europe in the third quarter.

Cleaning product prices are expected to keep rising through the rest of the year, according to the company, as households face higher costs linked to the war in Iran. Procter & Gamble warned that rising raw material, energy and freight costs would weigh on its annual profit.

Portfolio and McCormick deal

Unilever is moving to split its food business into a joint venture with McCormick, a deal valued at 33.8 billion pounds that was announced in March. The company said it was on track for a timely closing, which is expected by mid-2027. More than 200 employees across 20 cross-functional teams are working on separation and integration, and filings for regulatory approvals have been submitted on schedule.

Asia Pacific17,270

Americas14,742

Europe6,907

Asia Pacific

17270 million euros

Americas

14742 million euros

Europe

6907 million euros

Data from the article text

Beauty9,992

Personal care10,459

Home care9,049

Foods9,419

Beauty

9992 million euros

Personal care

10459 million euros

Home care

9049 million euros

Foods

9419 million euros

Data from the article text