Unilever Backs Positive Outlook For FY17, FY20; Stock Up - Quick Facts

(RTTNews) - Consumer goods giant Unilever plc (UN, ULVR.L, UL) Tuesday reconfirmed its outlook for 2017, with underlying sales growth still expected within the 3 to 5% range. The company continues to expect an improvement in underlying operating margin of at least 100 basis points, and strong cash flow delivery.

Regarding 2020 programme, the company said Connected 4 Growth continues to progress well and is expected to deliver growth ahead of markets, which in current market conditions is expected to translate into underlying sales growth of 3-5% per year between now and 2020.

The company noted that the 5-S supply chain savings and zero-based budgeting programmes are delivering faster than planned. The integration of Foods and Refreshment into a single business unit is also progressing well. These actions provide momentum towards underlying operating margin target of 20% by 2020.

Unilever will hold its annual investor event on November 29 and 30.

As previously announced, the Board is conducting a review of the dual-headed legal structure. The review is continuing and the outcome will be announced in due course.

Whatever the outcome, upon any unification, the Board intends to maintain listings in the Netherlands, United Kingdom and United States. It will continue to apply both the UK and Dutch corporate governance codes and will terminate the N.V. preference shares.

These actions would be subject to the appropriate approvals.

Unilever shares were gaining 1.46 percent in London to 4,298.50 pence and 1.37 percent in Amsterdam to 49.04 euros.