a3322h
FORM 6-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
REPORT OF FOREIGN ISSUER
Pursuant to Rule 13a-16 or 15d-16
of the Securities Exchange Act of 1934
Dated March
19, 2024
Commission
File Number: 001-04546
UNILEVER PLC
(Translation
of registrant's name into English)
UNILEVER HOUSE, BLACKFRIARS, LONDON, ENGLAND
(Address
of principal executive offices)
Indicate
by check mark whether the registrant files or will file annual
reports
under
cover Form 20-F or Form 40-F.
Form
20-F..X.. Form 40-F
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permitted by Regulation S-T Rule 101(b)(1):_____
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permitted by Regulation S-T Rule 101(b)(7):_____
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Exhibit
99 attached hereto is incorporated herein by
reference.
Signatures
Pursuant
to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf
by the undersigned, thereunto duly authorized.
UNILEVER
PLC
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/S/ M VARSELLONA
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BY M VARSELLONA
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CHIEF LEGAL OFFICER AND GROUP SECRETARY
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Date:
19 March, 2024
EXHIBIT INDEX
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EXHIBIT
NUMBER
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EXHIBIT
DESCRIPTION
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99
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Notice
to London Stock Exchange dated 19 March 2024
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Unilever
to accelerate Growth Action Plan
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Exhibit
99
Unilever to accelerate Growth Action Plan through separation of Ice
Cream and launch of productivity programme
- Ice
Cream to be separated as a standalone, world-leading
business
- Productivity
programme to drive faster growth and higher
margin
- Enhanced
medium-term guidance
London, 19 March 2024. Unilever
today announced steps to accelerate its Growth Action Plan (GAP)
through the separation of Ice Cream and the launch of a major
productivity programme.
The Board believes that Unilever should be increasingly focused on
a portfolio of unmissably superior brands with strong positions in
highly attractive categories that have complementary operating
models. This is where the company can most effectively apply its
innovation, marketing and go-to-market capabilities. Ice Cream has
a very different operating model, and as a result the Board has
decided that the separation of Ice Cream best serves the future
growth of both Ice Cream and Unilever.
Following separation, Unilever will become a simpler, more focused
company, operating four Business Groups across Beauty &
Wellbeing, Personal Care, Home Care and Nutrition. These Business
Groups have complementary routes to market, and/or R&D,
manufacturing and distribution systems, across both developed
markets and Unilever's extensive emerging markets
footprint.
The separation of Ice Cream will assist Unilever's management to
accelerate the implementation of its GAP, announced in October
2023, which is focused on doing fewer things, better, with greater
impact to drive consistent and stronger topline growth, enhance
productivity and simplicity, and step up Unilever's performance
culture. In addition, Unilever
will continue to optimise its portfolio within the four Business
Groups towards higher growth spaces and through brands with global
reach or significant potential to scale.
Separation of Ice Cream
The Unilever Board is confident that the future growth potential of
Ice Cream will be better delivered under a different ownership
structure. Ice Cream has distinct characteristics compared with
Unilever's other operating businesses. These include a supply chain
and point of sale that support frozen goods, a different channel
landscape, more seasonality, and greater capital
intensity.
The separation of Ice Cream will create a world-leading business,
operating in a highly attractive category, with brands that
together delivered turnover of €7.9 billion in 2023. The
business has five of the top 10 selling global ice cream brands
including Wall's, Magnum and Ben & Jerry's, with exposure in
both the in-home and out-of-home segments across a global
footprint.
Under new leadership, Ice Cream is already making significant
operational changes at pace that are expected to drive stronger
performance. These include improved productivity and efficiencies,
product rationalisation, and investment behind significant
innovations.
As a standalone, more focused business, Ice Cream's management team
will have operational and financial flexibility to grow its
business, allocate capital and resources in support of the
company's distinct strategy, including further optimising its
manufacturing and logistics network, and developing wide-reaching,
flexible, distribution channels over and above the changes that are
currently under way in the business.
A demerger of Ice Cream is the most likely separation route, and in
that case we expect the company to operate with a capital structure
in line with comparable listed companies. Other options for
separation will be considered to maximise returns for shareholders.
The costs and operational dis-synergies relating to the separation
of Ice Cream will be determined by the precise transaction
structure chosen.
Separation activity will begin immediately, with full separation
expected by the end of 2025. Further information will be provided
in due course.
Launch of productivity programme
Building on the early momentum of GAP we have identified additional
efficiencies that can now be accelerated. In addition to the
portfolio changes, Unilever intends to launch a comprehensive
productivity programme, driving focus and faster growth through a
leaner and more accountable organisation, enabled by investment in
technology.
The productivity programme is anticipated to deliver total cost
savings of around €800 million over the next three years,
more than offsetting estimated operational dis-synergies from the
separation of Ice Cream. Incremental net savings from the programme
beyond dis-synergies will provide flexibility for accelerated
growth investments behind our brands and R&D, and support
margin improvement over time. The programme will further reduce
complexity and duplication through technology-led interventions,
process standardisation and operational centres of excellence to
drive efficiencies.
The proposed changes are expected to impact around 7,500
predominantly office-based roles globally, with total restructuring
costs now anticipated to be around 1.2% of Group turnover for the
next three years (up from the around 1% of Group turnover
previously communicated). These proposals will be subject to
consultation.
Enhanced medium-term guidance
The separation of Unilever and Ice Cream in combination with the
productivity programme will ensure that Unilever's financial and
management resources are focused on its strongest, global or
scalable brands. These will have the capability to drive category
expansion and deliver accelerated, sustainable levels of growth and
improved profitability. After separating Ice Cream and implementing
the productivity programme, Unilever will have a structurally
higher margin. Post separation, Unilever aims to deliver mid-single
digit underlying sales growth and modest margin
improvement.
Ian Meakins, Chair of Unilever said: "The Board is determined to
transform Unilever into a higher-growth, higher-margin business
that will deliver consistently for all stakeholders. Improving our
performance and sharpening our portfolio are key to delivering the
improved results we believe Unilever can achieve.
"The separation of Ice Cream and the delivery of the productivity
programme will help create a simpler, more focused, and higher
performing Unilever. It will also create a world-leading ice cream
business, with strong growth prospects and an exciting future as a
standalone business."
Hein Schumacher, CEO of Unilever said: "Under the Growth Action
Plan we have committed to do fewer things, better, and with greater
impact. The changes we are announcing today will help us accelerate
that plan, focusing our business and our resources on global or
scalable brands where we can apply our leading innovation,
technology and go-to-market capabilities across complementary
operating models.
"Simplifying our portfolio and driving greater productivity will
allow us to further unlock the potential of this business,
supporting our ambition to position Unilever as a world-leading
consumer goods company delivering strong, sustainable growth and
enhanced profitability.
"We are committed to carrying out our productivity programme in
consultation with employee representatives, and with respect and
care for those of our people who are impacted."
ENDS
Enquiries
Media:
Unilever Press Office
press-office.london@unilever.com
Lucila Zambrano
+44 78 2527 3767
Lucila.zambrano@unilever.com
Jonathan Sibun
+44 77 7999 9683
Jonathan.sibun@teneo.com
Investors:
Investor Relations Team investor.relations@unilever.com
About Unilever
Unilever is one of the world's leading suppliers of Beauty &
Wellbeing, Personal Care, Home Care, Nutrition and Ice Cream
products, with sales in over 190 countries and products used by 3.4
billion people every day. We have 128,000 employees and generated
sales of €59.6 billion in 2023.
For more information about Unilever and our brands, please
visit www.unilever.com.
Notes to editors
Important information
This announcement contains inside information. This is a public
announcement pursuant to Article 17 Paragraph 1 of the European
Market Abuse Regulation (596/2014), including as it forms part of
UK law.
Safe Harbour
This announcement contains forward-looking statements within the
meaning of the securities laws of certain jurisdictions, including
'forward-looking statements' within the meaning of the United
States Private Securities Litigation Reform Act of 1995. All
statements other than statements of historical fact are, or may be
deemed to be, forward-looking statements. Words and terminology
such as 'will', 'aim', 'expects', 'anticipates', 'intends',
'looks', 'believes', 'vision', 'continue', 'should', 'would be',
'seeks', or the negative of these terms and other similar
expressions of future performance, results, actions or events, and
their negatives, are intended to identify such forward-looking
statements. Forward-looking statements include, but are not limited
to, statements and information regarding Unilever's acceleration of
its Growth Action Plan, Unilever's portfolio optimisation towards
global or scalable brands, the capabilities and potential of such
brands, the structure, timing, impacts and other aspects of the
separation of Ice Cream, Ice Cream's future operational model,
strategy, growth potential, performance and returns, Unilever's
productivity programme, its impacts and cost savings over the next
three years and operation dis-synergies from the separation of Ice
Cream, the post-separation and post-disposal structure, operating
model, strategy, portfolio, performance and returns of Unilever,
including but not limited to Unilever's post-separation topline
growth and margin. Forward-looking statements can be made in
writing but also may be made verbally by directors, officers and
employees of the Group (including during management presentations)
in connection with this announcement. These forward-looking
statements are based upon current expectations and assumptions
regarding anticipated developments and other factors affecting the
Group. They are not historical facts, nor are they guarantees of
future performance or outcomes. All forward-looking statements
contained in this announcement are expressly qualified in their
entirety by the cautionary statements contained in this section.
Readers should not place undue reliance on forward-looking
statements.
Because these forward-looking statements involve known and unknown
risks and uncertainties, a number of which may be beyond the
Group's control, 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 from the forward-looking
statements expressed in this announcement are: Unilever's ability
to obtain any approvals necessary to consummate the separation of
Ice Cream, Unilever's ability to successfully separate Ice Cream
and realise the anticipated benefits of the separation; Unilever's
ability to successfully execute and consummate its productivity
programme in line with expected costs to achieve expected savings;
Ice Cream's ability to succeed as a standalone company; 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 Unilever's 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.
The forward-looking statements are based on our beliefs,
assumptions and expectations of our future performance, taking into
account all information currently available to us. Forward-looking
statements are not predictions of future events. These beliefs,
assumptions, and expectations can change as a result of many
possible events or factors, not all of which are known to us. If a
chance occurs, events, our business, financial condition, liquidity
and results of operations may vary materially from those expressed
in our forward-looking statements.
The forward-looking statements speak only as of the date of this
announcement. Except as required by any applicable law or
regulation, the Group expressly disclaims any intention, 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. New risks and uncertainties arise over time, and it is not
possible for us to predict those events or how they may affect us.
In addition, we cannot assess the impact of each factor on our
business or the extent to which any factor, or combination of
factors, may cause actual events, to differ materially from those
contained in any forward-looking statements. 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 2023 and the Unilever Annual
Report and Accounts 2023.