Unilever shares tumbled after the company surprised markets with a warning that it will miss sales targets for the year
) will miss its underlying sales target this year, the consumer goods giant warned on Tuesday, sending shares in the maker of Dove soap and Ben & Jerry’s ice cream into their steepest fall in six months.
“Our full-year underlying sales growth is expected to be in the lower half of the multi-year range,” added Jope, who took on the top job earlier this year.Unilever’s forecast implies it suffered its lowest fourth-quarter sales growth in more than a decade, RBC analysts said. Growth in South Asia - India, Bangladesh, Pakistan, Sri Lanka and Nepal - slowed to 5% this year, Jope said on a media call, marking a “significant deceleration” from last year’s 10% rise.
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Unilever boss needs to channel his inner activistThe consumer goods giant warned sales in 2019 will grow less than 3%. CEO Alan Jope blames weakness in countries like India, but the miss heaps pressure on him to turn around the sprawling business. Setting out clear targets for dumping sluggish food brands would be a start.
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