Unilever sees growth in key beauty ops in Q3

Consumer goods giant Unilever talked of “broad-based growth” and being “on track for [the] full-year outlook” in its Q3 trading statement issued on Thursday.

What that meant for the multinational giant is underlying sales growth (USG) of 3.9% to €14.7 billion for the company as a whole. That’s better than the 3.6% growth for the year so far and also much better than the 3.5% fall in Q3 2024.

The two divisions relevant to our readers progressed better than the overall company with Beauty & Wellbeing up 5.1% to €3.2 billion compared to 4.2% for the year so far and a negative 3.1% for Q3 last year.

And Personal Care rose 4.1% in the latest quarter to reach €3.3 billion, although this is less than the 4.6% of the year to date, but better than the 2.3% drop in Q3 last year

So let’s look more closely at those two divisions. Beauty & Wellbeing (22% of Q3 turnover) is focused on “premiumising” its core hair and skincare portfolios and fuelling the growth of its Prestige Beauty and Wellbeing portfolios with selective international expansion.

As mentioned, USG was 5.1% with 2.3% from volume and 2.7% from price. Growth accelerated versus the first half, led by double-digit growth in Dove hair, Vaseline, Liquid I.V., Nutrafol, Hourglass, and K18.

Hair Care was flat, with performance varying across brands. Dove grew in double-digits with balanced volume and price supported by the successful rollout of its new fibre repair technology range. Tresemme grew in low-single digits “as strong momentum in styling and treatments was partially offset by a volume decline in the US as we took corrective pricing actions. Market softness in Brazil and China continued to impact Sunsilk and Clear, resulting in declines for both brands”.

Core Skin Care grew in mid-single-digits with balanced volume and price. Vaseline grew in double-digits, driven by volume. This growth was supported by premium innovations, including its new Cloud Soft Light Moisturiser in India.

Prestige Beauty grew in mid-single-digits led by volume “as the prestige beauty market showed gradual improvement”. But growth varied across brands with Hourglass and K18 continuing to deliver double-digit growth, while Paula’s Choice and Dermalogica seeing only low-single-digit growth, although this was an improvement given that they’d declined in the first half.

Meanwhile, Personal Care (also 22% of Q3 turnover) is all about “science-led brands that deliver unmissable superiority to our consumers”.

Priorities include “developing superior technology and multiyear innovation platforms, leveraging partnerships with our customers, and expanding into premium areas and digital channels”

The 4.1% USG divided into 1% from volume and 3.1% from price. Its strong performance in North America and Asia Pacific Africa was partially offset by a decline in Latin America. 

Dove grew in mid-single-digits “driven by the continued success of its premium innovations”.

Skin Cleansing specifically grew in low-single-digits driven by price. And Dove’s success could be seen by continuing strong sales from its premium innovations and the launch of unique, limited-edition seasonal body wash ranges.