Unilever Q3 2020 Trading Statement

Alan Jope & Graeme Pitkethly

22nd October2020

Safe harbourstatement

This announcement may contain forward-looking statements, including 'forward-looking statements' within the meaning of the United States Private Securities Litigation Reform Act of 1995. Words such as 'will', 'aim', 'expects', 'anticipates', 'intends', 'looks', 'believes', 'vision', or the negative of these terms and other similar expressions of future performance or results, and their negatives, are intended to identify such forward-looking statements. These forward-looking statements are based upon current expectations and assumptions regarding anticipated developments and other factors affecting the Unilever Group (the 'Group'). They are not historical facts, nor are they guarantees of future performance.

Because these forward-looking statements involve risks and uncertainties, there are important factors that could cause actual results to differ materially from those expressed or implied by these forward-looking statements. Among other risks and uncertainties, the material or principal factors which could cause actual results to differ materially are: Unilever's global brands not meeting consumer preferences; Unilever's ability to innovate and remain competitive; Unilever's investment choices in its portfolio management; the effect of climate change on Unilever's business; Unilever's ability to find sustainable solutions to its plastic packaging; significant changes or deterioration in customer relationships; the recruitment and retention of talented employees; disruptions in our supply chain and distribution; increases or volatility in the cost of raw materials and commodities; the production of safe and high quality products; secure and reliable IT infrastructure; execution of acquisitions, divestitures and business transformation projects; economic, social and political risks and natural disasters; financial risks; failure to meet high and ethical standards; and managing regulatory, tax and legal matters. A number of these risks have increased as a result of the current COVID-19 pandemic. These forward-looking statements speak only as of the date of this document. Except as required by any applicable law or regulation, the Group expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the Group's expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based. Further details of potential risks and uncertainties affecting the Group are described in the Group's filings with the London Stock Exchange, Euronext Amsterdam and the US Securities and Exchange Commission, including in the Annual Report on Form 20-F 2019 and the Unilever Annual Report and Accounts 2019.

2

Alan Jope

UnileverQ3 2020 Trading Statement

22nd October2020

Q3 2020 Trading update

Total

Emerging Markets

Developed Markets

Underlying Sales Growth

Underlying Sales Growth

Underlying Sales Growth

+4.4%+5.3%+3.1%

+3.9%+3.7%+4.1%

Underlying Volume Growth

Underlying Volume Growth

Underlying Volume Growth

+1.4% Underlying Sales Growth YTD

4

Agilityand operational excellence

Changing dynamics

Increased consumer consumption

hygiene, in-home eating

Channel switching

offline to online

Decreased consumer occasions

personal care & beauty

Channel closures

food service, out of home ice cream

5 growth fundamentals

1

2

3

4

5

5

Strategic change agenda

Legal simplification

Clean Future strategy

Shaping the portfolio

6

Graeme Pitkethly

UnileverQ3 2020 Trading Statement

22nd October2020

Categoryportfolio

Laundry

€9bn

TO FY

2019

0%

(1)%

4%

€7bn

TO FY

2019

Q1

Q2

Q3

7%

26%

19%

Prestige

€0.6bn

TO FY

2019

Q1

Q2

Q3

(2)%

(10)%

8%

Q1

Q2

Q3

In Home

€14bn

TO FY

2019

4%

17%

12%

Q1 Q2 Q3

€52bn

Turnover

FY 2019

Personal €16bn

Care TO FY

2019

(1)% (10)% (2)%

Q1 Q2 Q3

OutofHome €5.5bn

TO FY 2019

(18)% (42)% (16)%

Q1 Q2 Q3

Hygiene: Skin Cleansing + Home & Hygiene Personal Care: Personal Care excl. Skin Cleansing

8

Beauty& Personal Care

Q3

+3.8%

Q3

+3.5%

USG

UVG

Skin Cleansing

Prestige

Restof BPC

+20% Q3 USG

+8% Q3 USG

(2)% Q3 USG

Dove hand sanitiser

Channel impact

Hair Care

Health & Beauty channel

Q3 USG%

I

partially open

X%

Wash & Care

+4%

Styling

(18)%

Shift to eCommerce

TotalHair

+2%

Rest of BPC: Hair care, Deodorants, Skin Care, Oral Care

9

Food & Refreshment

In Home

+12% Q3 USG

Q2 USG%

Q3 USG%

Savoury, Dressings,

+14%

+12%

Tea

In Home Ice Cream

+26%

+16%

Q3

+3.7%

Q3

+1.8%

USG

UVG

Outof Home

(16)% Q3 USG

Q2 USG%

Q3 USG%

Food Service

(56)%

(21)%

Out of Home Ice

(35)%

(13)%

Cream

Shaping the portfolio

I

UFS included in other categories

Food Service still negative

(21)% Q3 USG

(71)% August USG

China rebound

J

F

M

A

M

J

J

A

S

10

Home Care

Home & Hygiene

+18% Q3 USG

Domestosmulti-surface cleaner

I

Q3

+6.7%

Q3

+8.5%

USG

UVG

Laundry

+4% Q3 USG

Superior performance, sustainability & value

75% plastic reduction

20-30% lower price than standard 3L

11

Q3 2020:Group USG performance

USG

2.9% 1.5% 0.0% (0.3)% 4.4%

0.5%

3.9%

UPG

UVG

'19 Q3 '19 Q4 '20 Q1 '20 Q2 '20 Q3

USA UK Indonesia

China

Outbreak

COVID -19

Recovery

Brazil India

  • Disconnect between the progress of the pandemic and economic activity
  • Opening up economies to protect livelihoods vs. lockdowns to protect health
  • Policy response, incl. emergency stimulus and consumer handouts impacting the quarter - e.g. Brazil, USA

12

Reflecting treatment of hyperinflation in USG as announced in September 2019

Asia / AMET / RUB

USG

5.6% 2.1% (3.7)% (1.8)% 4.5%

0.7%

3.7%

UPG

UVG

'19 Q3 '19 Q4 '20 Q1 '20 Q2 '20 Q3

  • China: sales up double digit led by BPC and a return to growth in Food Service
  • India: low single digit growth driven by Foods & Refreshment and hygiene products
  • SEA:low single digit growth

13

Reflecting treatment of hyperinflation in USG as announced in September 2019

Latin America

USG

3.2% 3.8% 4.9% (0.8)% 6.5%

4.2%

UPG

2.1%

UVG

'19 Q3 '19 Q4 '20 Q1 '20 Q2 '20 Q3

  • Covid-19cases rising and many markets still in lockdown
  • Brazil:high single digit sales growth, with demand stimulated by emergency cash pay-outs
  • Argentina:continued volume growth, but soft comparator due to price increases in prior year

14

Reflecting treatment of hyperinflation in USG as announced in September 2019

North America

USG

0.3% 0.6% 4.8% 9.5% 9.1%

0.5%

UPG

8.6%

UVG

'19 Q3

'19 Q4

'20 Q1

'20 Q2

'20 Q3

  • Growth driven by in-home foods & ice cream, and hygiene products
  • Regional growth includes c.(1.5)% negative impact from Food Service due to channel closures
  • USA:Foods & Refreshment (excl. Food Service) USG +18%

15

Europe

USG

(0.3)% (0.8)% 1.4% (4.5)% (0.8)%

1.3%

(2.1)%

UPG

UVG

'19 Q3 '19 Q4 '20 Q1 '20 Q2 '20 Q3

  • OOH ice cream and Food Service impacted by channel closures
  • Price declines driven by a step up in promotional intensity across the region
  • UK:up mid single digit, as demand for in-home foods and hygiene products remains high

16

Q3 2020:Turnover (2.4)%

USG 4.4%

3.9% 0.5%

1.4%

(0.2)%

A & D 1.3%

(7.7)%

€13.3 bn

€12.9 bn

17

Reflecting treatment of hyperinflation in USG as announced in September 2019

Alan Jope

UnileverQ3 2020 Trading Statement

22nd October2020

Unilever#ComeOutStronger

Resilience

Agility

Strategic future

Portfolio

Category

Unification

Operational excellence

Geography

Sustainability

Financial strength

Supply

Portfolio evolution

We are focused on volume led, competitive growth, delivering absolute

underlying operating profit and free cash flow

19

Unilever Q3 2020 Trading Statement

Alan Jope & Graeme Pitkethly

22nd October2020

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Unilever plc published this content on 22 October 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 22 October 2020 08:29:01 UTC