Unilever has reported a solid start to 2026, delivering a resilient performance in the first quarter despite mixed global market conditions. The company posted underlying sales growth (USG) of 3.8%, supported by underlying volume growth (UVG) of 2.9%, reflecting steady consumer demand and effective execution across its diversified portfolio. Growth was broad-based across most categories, with the company’s strategically prioritized Power Brands once again leading performance, achieving 5.0% USG and 4.0% UVG.
The results underline Unilever’s ongoing transformation efforts, which are centered on driving volume growth, simplifying its portfolio, and focusing on higher-margin, scalable brands. Across its four business groups—Beauty & Wellbeing, Personal Care, Home Care, and Nutrition—the company demonstrated a combination of innovation-led growth, geographic expansion, and operational improvements.
Within Hair Care, Unilever recorded high-single-digit growth, primarily driven by strong volume performance. A standout contributor was Dove, which continued to build on the success of its Fibre Repair technology range launched in 2025. This innovation has resonated strongly with consumers, enabling the brand to deliver double-digit growth during the quarter. Emerging markets, particularly India, also played a crucial role, with double-digit growth reflecting rising demand and improved distribution. Additionally, legacy brands Sunsilk and Clear showed encouraging signs of recovery, returning to volume growth after prior periods of underperformance. The prestige segment also contributed positively, with K18 achieving another quarter of strong, volume-led growth. However, gains were partially offset by the impact of strategic portfolio rationalization, including the delisting of underperforming hair care brands in the United States in 2025.
In Skin Care, growth was more moderate, coming in at low-single digit levels. The United States market remained a key driver, delivering mid-single digit growth supported by steady consumer demand and premium product offerings. Vaseline stood out with double-digit volume growth, fueled by innovation such as the Gluta-Hya Lip Serum Gloss, which has strengthened its premium positioning. However, performance in the Asia Pacific Africa region was softer, weighing on overall category growth. Prestige brands continued to perform well, with Hourglass, Tatcha, and Dermalogica leading growth through premiumization and strong brand equity.
The Wellbeing segment experienced a slight decline, primarily due to a strong comparative base from the previous year. Despite this, certain brands performed well. Olly achieved double-digit growth, driven by strong digital engagement and expanded distribution channels. Unilever expects the segment to recover in the coming quarters as initiatives aimed at increasing usage occasions for Liquid I.V. and improving customer conversion for Nutrafol begin to take effect.
Deodorants delivered mid-single digit growth, supported by a balanced contribution from both volume and pricing. Dove was again a key driver, achieving double-digit growth and reinforcing its leadership in the category. The expansion of Whole Body Deodorants continued to gain traction, reflecting evolving consumer preferences. Meanwhile, Rexona and Axe showed sequential improvement, and the category returned to growth in Latin America, particularly in Brazil, where efforts to optimize product formats have started to yield positive results.
Skin Cleansing also recorded mid-single digit growth, with contributions from both volume and pricing. Growth was particularly strong in North America and emerging markets, although this was partially offset by weaker performance in Europe. Dove remained the primary growth engine, benefiting from its premium body serum range, which continues to resonate with consumers seeking higher-quality personal care products.
Oral Care remained flat during the quarter. While the Asia Pacific Africa region delivered growth, it was offset by subdued market conditions in Europe, highlighting the uneven recovery across regions.
In Home Care, Fabric Cleaning posted mid-single digit growth, driven by strong performance in premium liquid detergents, which achieved double-digit growth. Powder detergents also returned to growth, signaling improved category dynamics. India remained a standout market, with continued double-digit growth in liquid detergents reinforcing Unilever’s market leadership. Brazil also showed signs of recovery, returning to positive volume growth following corrective actions implemented in late 2025, including pricing adjustments.
The Home & Hygiene segment also grew mid-single digit, supported by strong volume growth. Cif emerged as a top performer, delivering double-digit growth thanks to the success of its Infinite Clean range. Continued innovation, along with geographic expansion into new markets, has strengthened the brand’s position.
Fabric Enhancers maintained steady momentum, growing mid-single digit with a strong volume contribution. The Comfort brand was a key driver, achieving high-single digit growth as consumer demand for fabric conditioning products remained robust.
Within the Nutrition business, Cooking Aids grew at a low-single digit rate, primarily driven by pricing. The Asia Pacific Africa region performed strongly, with mid-single digit volume growth. Knorr, one of Unilever’s flagship brands, recorded low-single digit growth supported by both volume and pricing improvements.
Condiments also delivered low-single digit growth, with volume gains across both emerging and developed markets. Hellmann’s continued to lead the category, achieving mid-single digit volume growth. This performance was supported by ongoing innovation, including new flavors and packaging formats designed to appeal to diverse consumer preferences globally.
Unilever Food Solutions, the company’s foodservice division, recorded low-single digit growth driven by volume. China, its largest market, showed improvement with a better start to the year, supported by stronger trading during the Chinese New Year period and a gradual recovery in away-from-home consumption. North America also contributed positively, maintaining steady volume-led growth.
Overall, Unilever’s first quarter results highlight the strength of its diversified portfolio and the effectiveness of its strategic focus on Power Brands and premium innovation. While certain segments faced challenges due to regional softness or tough comparisons, the company’s emphasis on volume growth, portfolio optimization, and targeted investments positions it well for continued progress throughout 2026.
Source Link:https://www.unilever.com/
