• Investing
  • Stock
  • Editor’s Pick
  • Economy
The Significant Deals
Stock

Unilever making ‘drastic’ changes in Indonesia amid boycotts

by October 24, 2024
written by October 24, 2024

By Richa Naidu

LONDON (Reuters) – Unilever (LON:ULVR) will make “drastic” changes in Indonesia, its finance chief said on Thursday as consumers boycott multinational brands in response to the war in Gaza and exacerbate the business’ existing distribution problems.

Unilever, which makes Dove soap, Knorr stock cubes and Ben & Jerry’s ice cream, first said in February that fourth-quarter sales growth in Southeast Asia had been hurt by shoppers in Indonesia boycotting brands of multinational companies “in response to the geopolitical situation in the Middle East.”

Speaking to analysts after delivering slightly better-than-expected quarterly sales, Chief Financial Officer Fernando Fernandez said the company would aim to make its brands “more contemporary” given the “significant societal change” going on. He said he expected to see an improvement in the next six months.

Barclays analyst Warren Ackerman noted on the call that the group’s Indonesian business has underperformed for nearly a decade.

“Why should investors believe the turnaround this time will be any different storms we’ve seen in the past?” he asked.

Unilever’s Indonesia unit reported an 18% revenue drop in the third-quarter, driven by a decline in volumes.

The company’s CEO Hein Schumacher acknowledged “long standing issues” in the country. He said Unilever was “making in Q3 and Q4 a significant intervention in Indonesia that is not going to yield results in the next quarter.”

CFO Fernandez said a revamp of the distribution system was underway to stabilise prices and the group’s efforts were already yielding some results.

“We have been recovering part of the share losses we suffer due to the consumer backlash that is related to the geopolitical situation in Middle East, we have recovered around one quarter of the share losses,” he said.

This post appeared first on investing.com
0 comment
0
FacebookTwitterPinterestEmail

previous post
China’s CATL unveils new battery for extended-range hybrids
next post
Hapag-Lloyd raises full year outlook on stronger-than-expected demand

You may also like

BASF results down on impairments, restructuring

January 27, 2025

European chipmakers slump as traders gauge DeepSeek AI...

January 27, 2025

Nasdaq futures tumble as China’s AI push rattles...

January 27, 2025

China Vanke’s CEO, chairman resign amid growing liquidity...

January 27, 2025

Fuji Media, rocked by sexual misconduct allegations, says...

January 27, 2025

Italy’s MPS shares fall ahead of Mediobanca board...

January 27, 2025

British Land stock drops following stake sale

January 27, 2025

UMG shares rally after new multi-year pact with...

January 27, 2025

BASF shares indicated 3% lower as impairments drag...

January 27, 2025

Lawyer group urges overhaul of US bank charter...

January 27, 2025
Fill Out & Get More Relevant News








    Stay ahead of the market and unlock exclusive trading insights & timely news. We value your privacy - your information is secure, and you can unsubscribe anytime. Gain an edge with hand-picked trading opportunities, stay informed with market-moving updates, and learn from expert tips & strategies.

    Recent Posts

    • Divided Fed proposes rule to ease capital requirements for big Wall Street banks

      June 26, 2025
    • Women’s Tennis Association extends media rights deal with Tennis Channel through 2032

      June 26, 2025
    • Bumble shares jump 26% as dating company plans to axe 30% of workforce

      June 26, 2025
    • Small-business AI use is lagging, but one firm is channeling Sherlock Holmes and knocking out ‘grunt work’

      June 25, 2025

    Categories

    • Economy (245)
    • Editor's Pick (3,646)
    • Investing (534)
    • Stock (6,426)

    Latest News

    • Divided Fed proposes rule to ease capital requirements for big Wall Street banks
    • Women’s Tennis Association extends media rights deal with Tennis Channel through 2032

    Popular News

    • Indonesian bankers say growth, inflows could be hit by Trump’s policies
    • Canada stocks lower at close of trade; S&P/TSX Composite down 1.22%

    About The Significant deals

    • Privacy Policy
    • Terms & Conditions

    Copyright © 2025 thesignificantdeals.com | All Rights Reserved

    The Significant Deals
    • Investing
    • Stock
    • Editor’s Pick
    • Economy