Unilever sees European upturn but emerging markets slow

24th Apr 2014 07:11

Consumer goods giant Unilever signalled an upturn in Europe in its first quarter but said growth was slowing in emerging markets as it reported a 6.3 per cent fall in turnover to 11.4bn euros due to currency headwinds.Unilever, which makes products ranging from Pot Noodle and Flora margarine to Dove Soap and Tresemmé shampoo, said sales in Europe held up well, with some more signs of a recovery in struggling southern European markets.North America had a slow start to the year and growth continued to slow in emerging markets, particularly South Asia and South East Asia.Despite that, emerging market growth of 6.6% in the quarter still outstripped Unilever's overall underlying sales growth of 3.6%.The group said there was continued strong growth in its home care division, a robust performance in personal care and an excellent start to the ice cream season in Europe, where Unilever has brands such as Wall's, Magnum and Cornetto.Food performance was held back by the timing of Easter and weak markets.A negative currency impact of 8.9% hit turnover, which fell 6.3% to €11.4bn.The quarterly dividend rose 6% to €0.285.Chief Executive Paul Polman said: "Emerging markets are currently passing through a period of slower demand and economic volatility but our strategy remains unchanged."PW