Net Profit Drops 30.47 Percent, Unilever Earns IDR 1.4 Trillion In The First Quarter Of 2023

Unilever illustration (Photo: Doc. Unilever)

JAKARTA - PT Unilever Indonesia Tbk (UNVR) recorded net sales of IDR 10.6 trillion in the first quarter of 2023. This amount decreased by 2.15 percent compared to the same quarter the previous year.

With the decline in sales, Unilever recorded a net profit of IDR 1.4 trillion in the first quarter of 2023. This achievement decreased by 30.47 percent compared to the first quarter of 2022.

The Company has managed to increase its market share in the last three months. Where most of its product categories effectively achieved better shares amid intense competition.

According to UNVR President Director Ira Noviarti, the important record of performance in the first quarter of 2023 includes stronger fundamentals on the route of General Trade (GT) and Modern Trade (MT); core brands that offer superior benefits; solid portfolios across all segments; and increased competitiveness in MT.

"Although macro prospects show encouraging signs, we see that market growth slows down in the first quarter of 2023 compared to the third and fourth quarters of 2022," he said in a written statement, Thursday, April 20.

He said the key thing is to ensure that Unilever moves in the right direction. Rising market share is a promising indicator that the Company's five strategic priorities are the right steps to boost competitiveness and secure long-term growth.

"Our profitability in the first quarter of this year also increased compared to the third and fourth quarters of last year," he said.

The company continues to consistently carry out five strategic priorities to encourage growth. The company has succeeded in increasing its market share in terms of value and volume, driven by 11 categories whose share strengthens, such as skin cleansing (skin skin care), soy sauce, oral care (tooth and mouth care), soup stock (kaldu) and fabrik solutions (suit softener).

To strengthen and unlock the full potential of its core brands, the Company continues to focus on running a bold market development program and creating impactful innovations. Core products offer superior benefits, and are supported by stronger and better communication through increasing media investment.

The company is also optimizing the momentum of the holiday in encouraging more users and the frequency of use.

The company continues to strengthen its portfolio, both in the premium and value segments. In the premium segment, the Company is supported by various innovations such as Vaseline Gluta-Hya; Pond's Sun Serum; Lifebuoy Natural, and Pepsodent Herbal. In the value segment, the Company has completed its portfolio transformation by launching Lifebuoy Diswash and Glow &Lovely Body Wash.

Meanwhile, efforts to strengthen business fundamentals through better execution have shown positive developments. In Distributive Trade (DT), the Company encourages more stores, better store quality, and as well as larger and better distributors with healthier inventory.

"This quarter, we have completed a reduction in trading stocks with DT and MT customers as part of the overall channel transformation that we started in the second semester of last year so that our business remains able to compete in the future. Therefore, we hope to see the long-term positive impact both in terms of cost and speed in bringing our innovation to the hands of consumers," said Ira.