Exhibit
99
2020 FIRST HALF YEAR RESULTS
Performance highlights (unaudited)
Underlying performance
|
GAAP measures
|
|
|
vs 2019
|
|
|
vs 2019
|
First
Half
|
|
|
|
|
|
Underlying
sales growth (USG)
|
|
(0.1)%
|
Turnover
|
€25.7bn
|
(1.6)%
|
Underlying
operating margin
|
19.8%
|
50bps
|
Operating
margin
|
18.2%
|
60bps
|
Underlying
earnings per share
|
€1.35
|
6.4%
|
Diluted
earnings per share
|
€1.25
|
9.2%
|
Second
Quarter
|
|
|
|
|
|
USG
|
|
(0.3)%
|
Turnover
|
€13.3bn
|
(3.1)%
|
Quarterly
dividend payable in September 2020
|
€0.4104
per share
|
First half highlights
●
Underlying sales
declined 0.1% with volume declining 0.3% and price growth of
0.2%
●
Turnover decreased
1.6% including a positive impact of 1.1% from acquisitions net of
disposals and negative impact of 2.5% from currency
●
Underlying
operating profit excluding currency increased 3.8%, before a
negative impact of 3.2% from currency
●
Underlying earnings
per share up 6.4%, including a negative impact of 3.7% from
currency
●
Free cash flow up
€1.3 billion to €2.9 billion, reflecting our objective
to protect cash during the crisis
●
Quarterly
shareholder dividend maintained at €0.4104 per
share
●
Completed
acquisitions of Horlicks brand from GSK, enhancing presence in
healthy nutrition
●
Announced plans to
unify the Group legal structure under a single parent
company
Alan Jope: Chief Executive
Officer statement
|
“Performance
during the first half has shown the true strength of Unilever. We
have demonstrated the resilience of the business – in
our portfolio, in a continued step-up in operational excellence,
and in our financial position - and we have unlocked new levels of
agility in responding to
unprecedented fluctuations in demand.
We have
also taken action to strengthen the strategic future of the company by
announcing proposals to unify our dual-headed legal structure,
progressing the strategic review of our global tea business and
making new commitments to help protect the climate and regenerate
nature.
From
the start of the Covid-19 crisis, we have been guided by clear
priorities in line with our multi-stakeholder business model to
protect our people,
safeguard supply, respond to
new patterns of consumer demand, preserve cash, and support our communities.
Our
focus for the rest of 2020 will continue to be volume led
competitive growth, absolute profit and cash delivery as this is
the best way to maximise shareholder value.
I would
like to thank every member of the Unilever team for the outstanding
commitment they have shown in the most difficult of
circumstances.”
23 July 2020
FIRST
HALF OPERATIONAL REVIEW: DIVISIONS
|
|
Second
Quarter 2020
|
First
Half 2020
|
(unaudited)
|
Turnover
|
USG
|
UVG
|
UPG
|
Turnover
|
USG
|
UVG
|
UPG
|
Change
in underlying operating margin
|
|
€bn
|
%
|
%
|
%
|
€bn
|
%
|
%
|
%
|
bps
|
Unilever
|
13.3
|
(0.3)
|
(0.8)
|
0.5
|
25.7
|
(0.1)
|
(0.3)
|
0.2
|
50
|
Beauty
& Personal Care
|
5.3
|
(0.9)
|
(0.5)
|
(0.4)
|
10.6
|
(0.3)
|
0.1
|
(0.4)
|
50
|
Home
Care
|
2.6
|
4.0
|
3.2
|
0.8
|
5.3
|
3.2
|
2.9
|
0.3
|
130
|
Foods
& Refreshment
|
5.4
|
(1.8)
|
(3.2)
|
1.4
|
9.8
|
(1.7)
|
(2.5)
|
0.8
|
(20)
|
Our markets: The spread of
Covid-19, combined with the lock-downs and restrictions that have
been implemented in many countries, has led to significant changes
in the operating environment in our markets. Consumer demand
patterns have been impacted by channel closures, more time spent in
the home and the critical importance of
hygiene.
China was the first of our markets to be impacted by Covid-19,
entering lock-down in January. China slowed significantly during
the lock-down period, with some recovery after April as the economy
opened back up. In most other major markets, sales patterns in
January and February were normal and Covid-19 impacted from March
onwards. In North America and parts of Europe there was a positive
impact from household stocking in March. Consumption patterns then
normalised in the second quarter with heightened levels of demand
for hygiene and in home food products. Market growth in India had
already been slowing prior to the spread of Covid-19 and the market
was further impacted by the introduction of the strict national
lock-down at the end of March. This national lock-down continued
until early June, when it was followed by further regional
lock-downs. Latin America was impacted by Covid-19 later than other
major markets, with the effects primarily in the second quarter,
exacerbating already challenging conditions in the
region.
Unilever overall performance: Underlying sales declined 0.1% with volumes
declining 0.3% and price growth of 0.2%. Developed markets grew
2.4% whilst emerging markets declined 1.9%.
The impact of Covid-19 on our business in the first half varied
widely across our channels and categories. Channel closures as a
result of lock-downs in our markets negatively impacted our food
service, out of home ice cream and Prestige businesses. Food
service declined by nearly 40% and out of home ice cream declined
by nearly 30%. Shoppers moved from offline to online channels,
driving e-commerce growth of 49%.
As people spent more time in their homes, we saw growth in home
consumption of foods, ice cream and tea. It also meant that
consumers had fewer personal care occasions from going to work or
socialising, and we saw a decline in our personal care business,
except for hygiene products. The effectiveness of good hygiene
practices against the spread of Covid-19 increased demand for our
hand and home hygiene products, which each grew double digits.
Consumers eating and cleaning more at home, and focusing more on
hand hygiene, led to underlying sales growth in North America of
9.5% in the second quarter, despite a negative impact of 3.7% from
food solutions and Prestige channel closures.
The lock-downs introduced in our markets during the first half
varied in severity, with some having a more significant impact on
the supply and availability of goods, particularly those in India
and China. China entered lock-down in January and declined
mid-teens during the first quarter. The market re-opened from
April, and China returned to mid-single digit growth in the second
quarter. Growth in India was impacted by the lock-down implemented
from March.
Turnover decreased 1.6%. There was a positive impact of 1.1% from
acquisitions net of disposals and a negative impact of 2.5% from
currency.
Underlying operating profit was €5.1 billion, an increase of
3.8% excluding a negative impact from currency of 3.2%. Underlying
operating margin improved by 50bps. As consumer habits and the
status of lock-downs have been changing during this period, we have
been quick to adapt and reallocate our brand and marketing
investment week by week. In response to lock-downs in our markets,
we reduced spend in some channels and geographies while maintaining
investment in growth opportunities. This, combined with a
deflationary environment in media rates, led to a reduction in
brand and marketing investment by 100bps during the period. In the
second half of the year, we expect to see higher brand and
marketing investment, as lock-downs ease and we support brand
campaigns and product innovations tailored to the new environment.
Gross margin reduced by 30bps driven by costs to adapt and run our
supply chain in response to Covid-19, ensuring the safety and
continuity of our operations, as well as an adverse mix effect.
Overheads increased by 20bps, including an adverse currency
mix.
We delivered free cash flow of €2.9 billion, an increase of
€1.3 billion. The increase was driven by favourable working
capital movements, reduced capital expenditure and lower cash tax
paid, primarily a result of higher tax on disposals in the prior
year relating to the disposal of the spreads business.
Covid-19 response and support measures: Unilever has put in place a wide-ranging set of
measures to support global and national efforts to tackle the
Covid-19 pandemic.
In our own operations, strict protocols for hygiene and physical
distancing are in place for Unilever’s sourcing units and
distribution centres. Unilever’s office-based employees have
been working from home since March, with some limited reopening of
office workplaces in selected countries, where stringent
requirements have been met.
We are supporting global efforts to tackle Covid-19, contributing
€100 million through donations of soap, sanitiser, bleach and
food. We are also working in partnership with others, including a
programme to reach up to a billion people globally with the UK
Department for International Development to urgently tackle the
spread of the disease through raising hygiene awareness and
changing behaviour. We have also made available up to €500
million of cash flow relief for our most vulnerable small and
medium sized suppliers, though so far the levels of uptake have
been low.
Unilever’s financial strength remains robust and we have not
sought Covid-19 related financial support from any
governments.
Strategic review of tea: In
January Unilever announced a strategic review of its global tea
business, which includes leading brands such as Lipton, Brooke Bond
and PG Tips.
This review has assessed a full range of options. We will retain
the tea businesses in India and Indonesia and the partnership
interests in the ready-to-drink tea joint ventures.
The balance of Unilever’s tea brands and geographies and all
tea estates have an exciting future, and this potential can best be
achieved as a separate entity. A process will now begin to
implement the separation, which is expected to conclude by the end
of 2021.
The tea business that will be separated generated revenues of
€2 billion in 2019.
Recent acquisitions: During the
second quarter, we completed the acquisitions of the health food
drinks portfolio of GlaxoSmithKline in India, Bangladesh and 20
other predominantly Asian markets. Acquiring the iconic brands
Horlicks and Boost is in line with Unilever’s strategy to
enhance its presence in healthy nutrition.
Beauty & Personal Care
Beauty & Personal Care underlying sales declined 0.3%, with
volume growth of 0.1% and negative pricing of 0.4%.
Skin cleansing saw mid-teens volume-led growth, as we quickly
responded to the critical need for hand hygiene to prevent the
spread of Covid-19. We rolled out our Lifebuoy hygiene brand to over 50 markets and increased our
hand sanitiser capacity by around 600 times across several brands.
This helped contribute to double digit growth for
Suave. Lock-downs in our markets and reduced personal
care occasions amidst restricted living, led to lower demand for
skin care, deodorants and hair care, which each saw volume and
price decline. The division’s largest brand
Dove
remained resilient, with mid-single
digit growth. Our Prestige portfolio was impacted by health and
beauty channel closures in many markets. Consumer oral care demand
remained robust. However, the category saw negative volumes related
to disruption caused by lock-downs in key
markets.
Underlying
operating margin in Beauty & Personal Care increased by 50bps.
Gross margin was lower, with negative pricing and an impact from
mix, and overheads increased. This was offset by a reduction in
brand and marketing investment through lock-down
periods.
Home Care
Home Care underlying sales grew 3.2%, with 2.9% from volume and
positive pricing of 0.3%.
We saw increased consumer demand for household cleaning products,
such as Cif surface cleaners, and our home and hygiene brands
delivered high-teens underlying sales growth. Working with
environmental health experts, Domestos educated consumers about targeted cleaning of
high-touch surfaces in the home to help prevent the spread of
Covid-19 and saw strong double digit growth. Strict lock-downs in
Asia impacted fabric solutions, which declined overall. However
future formats such as capsules and liquids continued to grow.
Clean and green brand Seventh Generation
saw strong double digit, volume-led
growth. Fabric sensations declined low-single digit, driven by
Brazil and China.
Underlying
operating margin in Home Care increased by 130bps, driven by gross
margin improvements from savings delivery and lower commodity
costs.
Foods & Refreshment
Foods
& Refreshment underlying sales declined 1.7%, with volumes down
2.5% and positive pricing of 0.8%.
Lock-downs
in most markets led to the closure of out of home channels. This,
together with reduced tourism, led to a reduction in out of home
ice cream sales of nearly 30%. Similarly, food service sales were
down around 40% as hotels, restaurants, cafes and bars closed. At
the same time, we saw double digit growth in our retail foods
business with Knorr and
Hellmann’s performing
strongly. Sales of ice cream for consumption in home increased by
15% in the first half and by 26% in the second quarter,
significantly offsetting the declines in out of home channels.
Magnum and Ben and Jerry’s continued to grow
strongly.
Underlying
operating margin in Foods & Refreshment declined by 20bps.
Gross margin fell, driven by mix, volume deleverage from out of
home channel closures and costs related to Covid-19. This was
partially offset by a reduction in brand and marketing
investment.
FIRST
HALF OPERATIONAL REVIEW: GEOGRAPHICAL AREA
|
ST HALF OPERATIONAL REVIEW: GEOGRAREa
|
Second
Quarter 2020
|
First
Half 2020
|
(unaudited)
|
Turnover
|
USG
|
UVG
|
UPG
|
Turnover
|
USG
|
UVG
|
UPG
|
Change
in underlying operating margin
|
|
€bn
|
%
|
%
|
%
|
€bn
|
%
|
%
|
%
|
bps
|
Unilever
|
13.3
|
(0.3)
|
(0.8)
|
0.5
|
25.7
|
(0.1)
|
(0.3)
|
0.2
|
50
|
Asia/AMET/RUB
|
6.1
|
(1.8)
|
(2.4)
|
0.6
|
11.8
|
(2.7)
|
(2.9)
|
0.2
|
(40)
|
The
Americas
|
4.2
|
5.2
|
4.2
|
0.9
|
8.2
|
5.0
|
4.1
|
0.9
|
220
|
Europe
|
3.0
|
(4.5)
|
(4.4)
|
0.0
|
5.7
|
(1.8)
|
(1.0)
|
(0.8)
|
(30)
|
|
Second
Quarter 2020
|
First
Half 2020
|
(unaudited)
|
Turnover
|
USG
|
UVG
|
UPG
|
Turnover
|
USG
|
UVG
|
UPG
|
|
€bn
|
%
|
%
|
%
|
€bn
|
%
|
%
|
%
|
Developed
markets
|
5.8
|
2.1
|
2.2
|
(0.1)
|
10.9
|
2.4
|
3.0
|
(0.6)
|
Emerging
markets
|
7.5
|
(1.9)
|
(2.9)
|
1.0
|
14.8
|
(1.9)
|
(2.6)
|
0.7
|
North
America
|
2.8
|
9.5
|
9.5
|
(0.1)
|
5.1
|
7.3
|
7.7
|
(0.4)
|
Latin
America
|
1.4
|
(0.8)
|
(3.2)
|
2.5
|
3.1
|
1.9
|
(0.8)
|
2.8
|
Asia/AMET/RUB
Underlying
sales declined 2.7% with volume decline of 2.9% and positive
pricing of 0.2%. Volumes were impacted by lock-downs of varying
severity imposed across the region. China, the first market to
enter lock-down, starting from January and easing in April,
declined in the first quarter. Following the relaxation of
restrictions, China returned to mid-single digit growth in the
second quarter, although food service remained challenging. India
and the Philippines declined, as strict lock-downs were imposed
from March, disrupting the flow of goods and negatively impacting
consumption of discretionary personal care categories as consumers
stayed at home more. Thailand was negatively impacted by reduced
tourism. Regional lock-downs were imposed in Indonesia as Covid-19
spread, and while growth was positive over the half year, sales
declined in the second quarter.
Underlying
operating margin was down 40bps with a reduction in gross margin
and higher overheads, driven by investment in our connected stores
programme in South Asia, which digitises the retail value chain,
and partially offset by lower brand and marketing
investment.
The Americas
Underlying
sales growth in North America was 7.3% with 7.7% from volume and a
decline of 0.4% from price. This growth includes negative impact of
around 3% from our food service and prestige businesses which were
impacted by channel closures. The decline in these businesses was
offset by increased consumption of in home foods and ice cream as
well as hygiene products; consumption which was sustained
throughout the second quarter. Our supply chain responded quickly
to increase capacity for products experiencing a surge in
demand.
Latin
America grew 1.9% with volumes down 0.8% and positive pricing of
2.8%. The impact of Covid-19 on the region was concentrated in the
second half of the period. Mexico saw negative volumes and a
sequential decline in the second quarter, more than offsetting
growth in the first quarter. Brazil grew low-single digit overall,
as a second quarter decline only partially offset growth in the
first quarter. Volumes grew in Argentina throughout the first half,
driven by in-home foods consumption, against a backdrop of
prolonged strict lock-down measures.
Underlying
operating margin was up 220bps, with lower brand and marketing
investment as well as an improvement in overheads, which was driven
by savings programmes in Latin America and volume leverage in North
America.
Europe
Underlying
sales declined 1.8% with negative volumes of 1.0% and price down
0.8%. Negative volumes in Europe were a result of significant
declines in out of home ice cream and food service, as well as
reduced demand for personal care products. The most severely
impacted countries were Italy and Spain, where increased demand for
in home eating and hygiene products only partially offset these
negative impacts. The UK grew mid-single digit and Germany
low-single digit however, as increased demand for in home eating
and hygiene products more than offset declines in the negatively
impacted categories.
Underlying
operating margin was down 30bps, with a reduction in gross margin
due to adverse mix and supply chain costs related to Covid-19 as
well as higher overheads, driven by volume deleverage and other
one-off items, which were partially offset by lower brand and
marketing investment.
ADDITIONAL
COMMENTARY ON THE FINANCIAL STATEMENTS FIRST HALF 2020
|
Finance costs and tax
Net
finance costs decreased by €102 million to €249 million
in the first half of 2020. The decrease was driven by interest on
tax credits in Brazil and India and exchange rate losses on cash
balances in Zimbabwe in the prior year. Cost of borrowings
decreased due to lower hedging costs, partly offset by lower income
on cash as interest rates declined. The interest rate on average
net debt decreased to 2.0% from 2.8% in the prior
year.
The
underlying effective tax rate for H1 2020 was 22.6% compared with
26.2% in H1 2019. The decrease was primarily driven by favourable
tax settlements which were agreed during the period, a reduction in
the India tax rate and replacement of Indian distribution tax with
a dividend withholding tax. The effective tax rate for H1 2020 was
22.3% compared with 26.8% in H1 2019.
Joint ventures, associates and other income from non-current
investments
Net
profit from joint ventures and associates was €89 million,
compared to €85 million in the prior year. Income from other
non-current investments was zero versus €2 million in
2019.
Earnings per share
Constant
underlying earnings per share increased by 10.1%. Underlying
earnings per share on a current currency basis increased by 6.4% to
€1.35, following a negative currency impact of 3.7%. The
improvement was driven by reduced tax and net finance costs, as
well as higher operating profit. These movements were slightly
reduced by an increase in profit attributable to minority interests
following the completion of the merger between Unilever’s
listed subsidiary in India and GlaxoSmithKline’s Consumer
Healthcare Limited.
Diluted
earnings per share increased by 9.2% to €1.25 led by the
improvement in underlying EPS.
Free cash flow
Free
cash flow in the first half of 2020 was €2.9 billion, up from
€1.5 billion in the first half of 2019. The improvement was
primarily led by favourable working capital movement as we enhanced
our focus on receivables management, as well as reduced capital
expenditure following a review of all spend in light of the
Covid-19 crisis. In addition, cash tax paid was lower as the prior
year included payments relating to the disposal of the spreads
business and tax settlements.
Net debt
Closing
net debt decreased to €22.8 billion compared with €23.1
billion at 31 December 2019. Increases to net debt due to dividends
paid and acquisitions were offset by the free cash flow
delivery.
Pensions
Pension
liabilities net of assets increased to €0.4 billion at the
end of June 2020 versus €0.2 billion as at 31 December 2019.
Higher liabilities resulting from falling discount rates were
partially offset by positive investment returns on pension
assets.
Finance and liquidity
On 25
March 2020 Unilever announced the issuance of €1,000 million
1.25% fixed rate notes due March 2025 and €1,000 million
1.75% fixed rate notes due March 2030.
In April 2020, €300 million 0.0% fixed rate notes matured and
were repaid. In May 2020, $800 million 1.8% fixed rate notes and
$150 million 5.15% fixed rate notes matured and were
repaid.
On 31 December 2019 Unilever had undrawn revolving 364-day
bilateral credit facilities in aggregate of $7,865 million with a
364-day term out. As part of the regular annual process, the
facilities were renewed in the first half of 2020 (undrawn balance
at 30 June 2020 was $7,965 million). The intention is that these
facilities will again be renewed in 2021.
COMPETITION
INVESTIGATIONS
|
As previously disclosed, Unilever is involved in a number of
ongoing investigations and cases by national competition
authorities, including those within Italy, Greece and South Africa.
These proceedings and investigations are at various stages and
concern a variety of product markets. Where appropriate, provisions
are made and contingent liabilities disclosed in relation to such
matters.
Ongoing compliance with competition laws is of key importance to
Unilever. It is Unilever’s policy to co-operate fully with
competition authorities whenever questions or issues arise. In
addition the Group continues to reinforce and enhance its internal
competition law training and compliance programme on an ongoing
basis.
Certain
discussions and analyses set out in this announcement include
measures which are not defined by generally accepted accounting
principles (GAAP) such as IFRS. We believe this information, along
with comparable GAAP measurements, is useful to investors because
it provides a basis for measuring our operating performance,
ability to retire debt and invest in new business opportunities.
Our management uses these financial measures, along with the most
directly comparable GAAP financial measures, in evaluating our
operating performance and value creation. Non-GAAP financial
measures should not be considered in isolation from, or as a
substitute for, financial information presented in compliance with
GAAP. Wherever appropriate and practical, we provide
reconciliations to relevant GAAP measures.
Unilever
uses ‘constant rate’, and ‘underlying’
measures primarily for internal performance analysis and targeting
purposes. We present certain items, percentages and movements,
using constant exchange rates, which exclude the impact of
fluctuations in foreign currency exchange rates. We calculate
constant currency values by translating both the current and the
prior period local currency amounts using the prior year average
exchange rates into euro, except for the local currency of entities
that operate in hyperinflationary economies. These currencies are
translated into euros using the prior year closing exchange rate
before the application of IAS 29. The table below shows exchange
rate movements in our key markets.
|
First
half average rate in 2020
|
First
half average rate in 2019
|
Brazilian Real (€1 = BRL)
|
5.323
|
4.282
|
Chinese Yuan (€1 = CNY)
|
7.743
|
7.659
|
Indian Rupee (€1 = INR)
|
81.535
|
79.149
|
Indonesia Rupiah (€1 = IDR)
|
16055
|
16046
|
Philippine Peso (€1 = PHP)
|
55.823
|
59.010
|
UK Pound Sterling (€1 = GBP)
|
0.873
|
0.873
|
US Dollar (€1 = US $)
|
1.102
|
1.130
|
Underlying sales growth (USG)
Underlying sales growth (USG) refers to the increase in turnover
for the period, excluding any change in turnover resulting from
acquisitions, disposals, changes in currency and price growth in
excess of 26% in hyperinflationary economies. Inflation of 26% per
year compounded over three years is one of the key indicators
within IAS 29 to assess whether an economy is deemed to be
hyperinflationary. We believe this measure provides valuable
additional information on the underlying sales performance of the
business and is a key measure used internally. The impact of
acquisitions and disposals is excluded from USG for a period of 12
calendar months from the applicable closing date. Turnover from
acquired brands that are launched in countries where they were not
previously sold is included in USG as such turnover is more
attributable to our existing sales and distribution network than
the acquisition itself. The reconciliation of changes in the GAAP
measure turnover to USG is provided in notes 3 and 4.
Underlying price growth (UPG)
Underlying price growth (UPG) is part of USG and means, for the
applicable period, the increase in turnover attributable to changes
in prices during the period. UPG therefore excludes the impact to
USG due to (i) the volume of products sold; and (ii) the
composition of products sold during the period. In determining
changes in price we exclude the impact of price growth in excess of
26% per year in hyperinflationary economies as explained in USG
above. The measures and the related turnover GAAP measure are set
out in notes 3 and 4.
Underlying volume growth (UVG)
Underlying
volume growth (UVG) is part of USG and means, for the applicable
period, the increase in turnover in such period calculated as the
sum of (i) the increase in turnover attributable to the volume of
products sold; and (ii) the increase in turnover attributable to
the composition of products sold during such period. UVG therefore
excludes any impact on USG due to changes in prices. The measures
and the related turnover GAAP measure are set out in notes 3 and
4.
Non-underlying items
Several
non-GAAP measures are adjusted to exclude items defined as
non-underlying due to their nature and/or frequency of
occurrence.
●
Non-underlying items within operating
profit are: gains or losses on business disposals,
acquisition and disposal related costs, restructuring costs,
impairments and one-off items within operating profit.
●
Non-underlying items not in operating profit
but within net profit are: net monetary gain/(loss) arising
from hyperinflationary economies and significant and unusual items
in net finance cost, share of profit/(loss) of joint ventures and
associates and taxation.
●
Non-underlying items are: both
non-underlying items within operating profit and those
non-underlying items not in operating profit but within net
profit.
Underlying operating profit (UOP) and underlying operating margin
(UOM)
Underlying operating profit and underlying operating margin mean
operating profit and operating margin before the impact of
non-underlying items within operating profit. Underlying operating
profit represents our measure of segment profit or loss as it is
the primary measure used for making decisions about allocating
resources and assessing performance of the segments. The
reconciliation of operating profit to underlying operating profit
is as follows:
€ million
|
First
Half
|
(unaudited)
|
2020
|
2019
|
Operating profit
|
4,672
|
4,589
|
Non-underlying items within operating profit (see note
2)
|
412
|
465
|
Underlying operating profit
|
5,084
|
5,054
|
Turnover
|
25,714
|
26,126
|
Operating margin (%)
|
18.2
|
17.6
|
Underlying operating margin (%)
|
19.8
|
19.3
|
Underlying effective tax rate
The
underlying effective tax rate is calculated by dividing taxation
excluding the tax impact of non-underlying items by profit before
tax excluding the impact of non-underlying items and share of net
profit/(loss) of joint ventures and associates. This measure
reflects the underlying tax rate in relation to profit before tax
excluding non-underlying items before tax and share of net
profit/(loss) of joint ventures and associates. Tax impact on
non-underlying items within operating profit is the sum of the tax
on each non-underlying item, based on the applicable country tax
rates and tax treatment. This is shown in the following
table:
€ million
|
First
Half
|
(unaudited)
|
2020
|
2019
|
Taxation
|
991
|
1,145
|
Tax impact:
|
|
|
Non-underlying items within operating
profit(a)
|
109
|
89
|
Non-underlying items not in operating profit but
within net profit(a)
|
(7)
|
-
|
Taxation before tax impact of non-underlying items
|
1,093
|
1,234
|
Profit before taxation
|
4,533
|
4,354
|
Non-underlying items within operating profit before
tax(a)
|
412
|
465
|
Non-underlying items not in operating profit but within net profit
before tax(b)
|
(21)
|
(29)
|
Share of net profit /(loss) of joint ventures and
associates
|
(89)
|
(85)
|
Profit before tax excluding non-underlying items before tax and
share of net profit/(loss) of joint ventures and
associates
|
4,835
|
4,705
|
Underlying effective tax rate
|
22.6%
|
26.2%
|
(a)
Refer
to note 2 for further details on these items.
(b)
2019 amount excludes €3 million gain on disposal of spreads
business by the joint venture in Portugal which is included in the
share of net profit/(loss) of joint ventures and associates line.
Including the €3 million, total non-underlying items not in
operating profit but within net profit before tax is €32
million. Refer to note 2 for further details.
Underlying earnings per share (EPS)
Underlying earnings per share (underlying EPS) is calculated as
underlying profit attributable to shareholders’ equity
divided by the diluted combined average number of share units. In
calculating underlying profit attributable to shareholders’
equity, net profit attributable to shareholders’ equity is
adjusted to eliminate the post-tax impact of non-underlying items.
This measure reflects the underlying earnings for each share unit
of the Group. Refer to note 6 for reconciliation of net profit
attributable to shareholders’ equity to underlying profit
attributable to shareholders equity.
Constant underlying EPS
Constant underlying earnings per share (constant underlying EPS) is
calculated as underlying profit attributable to shareholders’
equity at constant exchange rates and excluding the impact of both
translational hedges and price growth in excess of 26% per year in
hyperinflationary economies divided by the diluted average number
of ordinary share units. This measure reflects the underlying
earnings for each share unit of the Group in constant exchange
rates.
The reconciliation of underlying profit attributable to
shareholders’ equity to constant underlying earnings
attributable to shareholders’ equity and the calculation of
constant underlying EPS is as follows:
€ million
|
First
Half
|
(unaudited)
|
2020
|
2019
|
Underlying
profit attributable to shareholders' equity (see note
6)
|
3,559
|
3,342
|
Impact
of translation from current to constant exchange rates and
translational hedges
|
|
|
127
|
(1)
|
Impact
of price growth in excess of 26% per year in hyperinflationary
economies
|
(6)
|
-
|
Constant
underlying earnings attributable to shareholders'
equity
|
3,680
|
3,341
|
Diluted
combined average number of share units (millions of
units)
|
2,627.2
|
2,625.6
|
Constant
underlying EPS (€)
|
1.40
|
1.27
|
Net debt
Net debt is a measure that provides valuable additional information
on the summary presentation of the Group’s net financial
liabilities and is a measure in common use elsewhere. Net debt is
defined as the excess of total financial liabilities, excluding
trade payables and other current liabilities, over cash, cash
equivalents and other current financial assets, excluding trade and
other current receivables, and non-current financial asset
derivatives that relate to financial liabilities.
The reconciliation of total financial liabilities to net debt is as
follows:
€ million
|
As at
30 June 2020
|
As at
31 December 2019
|
As at
30 June 2019
|
(unaudited)
|
Total financial liabilities
|
(28,805)
|
(28,257)
|
(28,985)
|
Current
financial liabilities
|
(4,792)
|
(4,691)
|
(5,616)
|
Non-current
financial liabilities
|
(24,013)
|
(23,566)
|
(23,369)
|
Cash and cash equivalents as per balance sheet
|
4,855
|
4,185
|
3,911
|
Cash
and cash equivalents as per cash flow statement
|
4,722
|
4,116
|
3,789
|
Add
bank overdrafts deducted therein
|
133
|
69
|
122
|
Other current financial assets
|
1,100
|
907
|
913
|
Non-current financial assets derivatives that relate to financial
liabilities
|
96
|
114
|
-
|
Net debt
|
(22,754)
|
(23,051)
|
(24,161)
|
Free cash flow (FCF)
Within
the Unilever Group, free cash flow (FCF) is defined as cash flow
from operating activities, less income taxes paid, net capital
expenditure and net interest payments. It does not represent
residual cash flows entirely available for discretionary purposes;
for example, the repayment of principal amounts borrowed is not
deducted from FCF. FCF reflects an additional way of viewing our
liquidity that we believe is useful to investors because it
represents cash flows that could be used for distribution of
dividends, repayment of debt or to fund our strategic initiatives,
including acquisitions, if any.
The
reconciliation of net profit to FCF is as follows:
€ million
|
First
Half
|
(unaudited)
|
2020
|
2019
|
Net profit
|
3,542
|
3,209
|
Taxation
|
991
|
1,145
|
Share of net profit of joint ventures/associates and other
income
|
|
|
from
non-current investments
|
(89)
|
(87)
|
Net monetary gain arising from hyperinflationary
economies
|
(21)
|
(29)
|
Net finance costs
|
249
|
351
|
Operating profit
|
4,672
|
4,589
|
Depreciation, amortisation and impairment
|
987
|
965
|
Changes in working capital
|
(1,215)
|
(1,888)
|
Pensions and similar obligations less payments
|
(79)
|
(94)
|
Provisions less payments
|
(66)
|
47
|
Elimination of (profits)/losses on disposals
|
45
|
(36)
|
Non-cash charge for share-based compensation
|
74
|
95
|
Other adjustments
|
9
|
23
|
Cash flow from operating activities
|
4,427
|
3,701
|
Income tax paid
|
(899)
|
(1,309)
|
Net capital expenditure
|
(422)
|
(558)
|
Net interest paid
|
(256)
|
(291)
|
Free cash flow
|
2,850
|
1,543
|
Total net cash flow (used in)/from investing
activities
|
(581)
|
(716)
|
Total net cash flow (used in)/from financing
activities
|
(2,088)
|
(856)
|
This
document represents Unilever’s half-yearly report for the
purposes of the Disclosure and Transparency Rules (DTR) issued by
the UK Financial Conduct Authority (DTR 4.2) and the Dutch Act on
Financial Supervision, section 5:25d (8)/(9) (Half-yearly financial
reports). In this context: (i) the condensed set of financial
statements can be found on pages 12 to 24; (ii) pages 2 to 11
comprise the interim management report; and (iii) the
Directors’ responsibility statement can be found on page 25.
No material related parties transactions have taken place in the
first six months of the year.
On
pages 35 to 39 of our 2019 Annual Report and Accounts we set out
our assessment of the principal risk issues that would face the
business under the headings: brand preference; portfolio
management; climate change; plastic packaging; customer; talent;
supply chain; safe and high quality products; systems and
information; business transformation; economic and political
instability; treasury and tax; ethical; and legal and regulatory.
The Covid-19 pandemic has increased the potential impact of certain
of these risks and the longer term impacts will depend on a range
of factors including the duration and scope of the pandemic, the
geographies impacted, the impact of the pandemic on economic
activity and the nature and severity of measures adopted by
governments, including restrictions in business operations, travel,
mandates to avoid large gathering and orders to self-quarantine or
shelter in place. The Covid-19 pandemic may have significant
negative impacts in the medium and long term on the
business.
Changes
in consumer behaviour as a result of government imposed lock downs
and the need for people to self-quarantine, shelter in place or
observe social distancing for an indeterminate period of time has
reduced demand for certain products, particularly those which rely
on out of home consumption. Demand for certain personal care
products has also been affected as a result of reduced usage by
consumers in stay at home settings. The severity of
government-imposed lock downs and the period for which they
continue in different countries will have an impact on consumer
demand in those countries. In the longer term a deterioration in
the financial position of consumers as a result of Covid-19
pandemic may also impact demand for products. In addition,
disruptions as a result of Covid-19 in manufacturing, supply and
distribution arrangements, including those of third parties may
adversely impact operations.
This
announcement may contain forward-looking statements, including
‘forward-looking statements’ within the meaning of the
United States Private Securities Litigation Reform Act of 1995.
Words such as ‘will’, ‘aim’,
‘expects’, ‘anticipates’,
‘intends’, ‘looks’, ‘believes’,
‘vision’, or the negative of these terms and other
similar expressions of future performance or results, and their
negatives, are intended to identify such forward-looking
statements. These forward-looking statements are based upon current
expectations and assumptions regarding anticipated developments and
other factors affecting the Unilever Group (the
‘Group’). They are not historical facts, nor are they
guarantees of future performance.
Because
these forward-looking statements involve risks and uncertainties,
there are important factors that could cause actual results to
differ materially from those expressed or implied by these
forward-looking statements. Among other risks and uncertainties,
the material or principal factors which could cause actual results
to differ materially are: Unilever’s global brands not
meeting consumer preferences; Unilever’s ability to innovate
and remain competitive; Unilever’s investment choices in its
portfolio management; the effect of climate change on
Unilever’s business; Unilever's ability to find sustainable
solutions to its plastic packaging; significant changes or
deterioration in customer relationships; the recruitment and
retention of talented employees; disruptions in our supply chain
and distribution; increases or volatility in the cost of raw
materials and commodities; the production of safe and high quality
products; secure and reliable IT infrastructure; execution of
acquisitions, divestitures and business transformation projects;
economic, social and political risks and natural disasters;
financial risks; failure to meet high and ethical standards; and
managing regulatory, tax and legal matters. A
number of these risks have increased as a result of the current
Covid-19 pandemic. These forward-looking statements speak only as
of the date of this document. Except as required by any applicable
law or regulation, the Group expressly disclaims any obligation or
undertaking to release publicly any updates or revisions to any
forward-looking statements contained herein to reflect any change
in the Group’s expectations with regard thereto or any change
in events, conditions or circumstances on which any such statement
is based. Further details of potential risks and uncertainties
affecting the Group are described in the Group’s filings with
the London Stock Exchange, Euronext Amsterdam and the US Securities
and Exchange Commission, including in the Annual Report on Form
20-F 2019 and the Unilever Annual Report and Accounts
2019.
ENQUIRIES
|
Media: Media Relations Team
|
Investors: Investor Relations Team
|
UK
or
NL
or
|
+44 78
2527 3767
+44 77
7999 9683
+31 10
217 4844
+31 62
375 8385
|
lucila.zambrano@unilever.com
JSibun@tulchangroup.com
els-de.bruin@unilever.com
marlous-den.bieman@unilever.com
|
+44 20
7822 6830
|
investor.relations@unilever.com
|
There
will be a web cast of the results presentation available
at:
www.unilever.com/investor-relations/results-and-presentations/latest-results
CONSOLIDATED
INCOME STATEMENT
|
(unaudited)
€ million
|
First
Half
|
|
2020
|
2019
|
Increase/(Decrease)
|
|
Current
rates
|
Constant
rates
|
|
|
|
|
|
Turnover
|
25,714
|
26,126
|
(1.6)%
|
1.2%
|
|
|
|
|
|
Operating profit
|
4,672
|
4,589
|
1.8%
|
5.1%
|
|
|
|
|
|
Which
includes non-underlying items credits/(charges) of
|
(412)
|
(465)
|
|
|
|
|
|
|
|
Net finance costs
|
(249)
|
(351)
|
|
|
Finance
income
|
139
|
86
|
|
|
Finance
costs
|
(378)
|
(420)
|
|
|
Pensions and
similar obligations
|
(10)
|
(17)
|
|
|
|
|
|
|
|
Non-underlying item net monetary gain/(loss) arising from
hyperinflationary economies
|
21
|
29
|
|
|
|
|
|
|
|
Share of net profit/(loss) of joint ventures and
associates
|
89
|
85
|
|
|
Which
includes non-underlying item credits/(charges) of
|
-
|
3
|
|
|
|
|
|
|
|
Other income/(loss) from non-current investments and
associates
|
-
|
2
|
|
|
|
|
|
|
|
Profit before taxation
|
4,533
|
4,354
|
4.1%
|
8.0%
|
|
|
|
|
|
Taxation
|
(991)
|
(1,145)
|
|
|
Which
includes tax impact of non-underlying items of
|
102
|
89
|
|
|
|
|
|
|
|
Net profit
|
3,542
|
3,209
|
10.4%
|
14.7%
|
|
|
|
|
|
Attributable to:
|
|
|
|
|
Non-controlling
interests
|
258
|
203
|
|
|
Shareholders’
equity
|
3,284
|
3,006
|
9.3%
|
13.8%
|
Combined
earnings per share
|
|
Basic
earnings per share (euros)
|
1.25
|
1.15
|
9.2%
|
13.7%
|
Diluted
earnings per share (euros)
|
1.25
|
1.14
|
9.2%
|
13.7%
|
CONSOLIDATED
STATEMENT OF COMPREHENSIVE INCOME
|
(unaudited)
€ million
|
First
Half
|
|
2020
|
2019
|
Net profit
|
3,542
|
3,209
|
|
|
|
Other comprehensive income
|
|
|
Items
that will not be reclassified to profit or loss, net of
tax:
|
|
|
Gains/(losses) on
equity instruments measured at fair value through
other
comprehensive
income
|
20
|
16
|
Remeasurements of
defined benefit pension plans
|
(201)
|
267
|
|
|
|
Items
that may be reclassified subsequently to profit or loss, net of
tax:
|
|
|
Gains/(losses) on
cash flow hedges
|
43
|
83
|
Currency
retranslation gains/(losses)(a)
|
(1,481)
|
64
|
Total comprehensive income
|
1,923
|
3,639
|
Attributable to:
|
|
|
Non-controlling
interests
|
177
|
216
|
Shareholders’
equity
|
1,746
|
3,423
|
(a)
2020 currency retranslation losses resulted from
the weakening of currencies against the euro in our foreign
operations, primarily in Brazil, Mexico, India, Korea and
Russia.
CONSOLIDATED
STATEMENT OF CHANGES IN EQUITY
|
(unaudited)
€ million
|
Called
up share capital
|
Share
premium account
|
Other
reserves
|
Retained
profit
|
Total
|
Non-
controlling interest
|
Total
equity
|
First half - 2020
|
|
|
|
|
|
|
|
1
January 2020
|
420
|
134
|
(5,574)
|
18,212
|
13,192
|
694
|
13,886
|
Profit
or loss for the period
|
-
|
-
|
-
|
3,284
|
3,284
|
258
|
3,542
|
Other
comprehensive income, net of tax:
|
|
|
|
|
|
|
|
Gains/(losses)
on:
|
|
|
|
|
|
|
|
Equity
instruments
|
-
|
-
|
16
|
-
|
16
|
4
|
20
|
Cash
flow hedges
|
-
|
-
|
46
|
-
|
46
|
(3)
|
43
|
Remeasurements of
defined benefit pension plans
|
-
|
-
|
-
|
(200)
|
(200)
|
(1)
|
(201)
|
Currency
retranslation gains/(losses)
|
-
|
-
|
(1,387)
|
(13)
|
(1,400)
|
(81)
|
(1,481)
|
Total
comprehensive income
|
-
|
-
|
(1,325)
|
3,071
|
1,746
|
177
|
1,923
|
Dividends
on ordinary capital
|
-
|
-
|
-
|
(2,149)
|
(2,149)
|
-
|
(2,149)
|
Other
movements in treasury shares(a)
|
-
|
-
|
190
|
(126)
|
64
|
-
|
64
|
Share-based
payment credit(b)
|
-
|
-
|
-
|
74
|
74
|
-
|
74
|
Dividends
paid to non-controlling interests
|
-
|
-
|
-
|
-
|
-
|
(210)
|
(210)
|
Currency
retranslation gains/(losses) net of tax
|
-
|
(7)
|
-
|
-
|
(7)
|
-
|
(7)
|
Hedging
gain/(loss) transferred to non-financial assets
|
-
|
-
|
-
|
-
|
-
|
1
|
1
|
Net
gain arising from Horlicks acquisition(c)
|
-
|
-
|
-
|
2,930
|
2,930
|
1,918
|
4,848
|
Other
movements in equity(d)
|
-
|
-
|
-
|
(211)
|
(211)
|
5
|
(206)
|
30 June 2020
|
420
|
127
|
(6,709)
|
21,801
|
15,639
|
2,585
|
18,224
|
First
half - 2019
|
|
|
|
|
|
|
|
1
January 2019 as previously reported
|
464
|
129
|
(15,286)
|
26,265
|
11,572
|
720
|
12,292
|
IFRS 16
Restatement
|
-
|
-
|
68
|
(243)
|
(175)
|
-
|
(175)
|
Impact
of adopting IFRIC 23
|
-
|
-
|
-
|
(38)
|
(38)
|
-
|
(38)
|
1
January 2019 after restatement
|
464
|
129
|
(15,218)
|
25,984
|
11,359
|
720
|
12,079
|
Profit
or loss for the period
|
-
|
-
|
-
|
3,006
|
3,006
|
203
|
3,209
|
Other
comprehensive income, net of tax:
|
|
|
|
|
|
|
|
Gains/(losses)
on:
|
|
|
|
|
|
|
|
Equity
instruments
|
-
|
-
|
14
|
-
|
14
|
2
|
16
|
Cash
flow hedges
|
-
|
-
|
83
|
-
|
83
|
-
|
83
|
Remeasurements of
defined benefit pension plans
|
-
|
-
|
-
|
266
|
266
|
1
|
267
|
Currency
retranslation gains/(losses)
|
-
|
-
|
50
|
4
|
54
|
10
|
64
|
Total
comprehensive income
|
-
|
-
|
147
|
3,276
|
3,423
|
216
|
3,639
|
Dividends
on ordinary capital
|
-
|
-
|
-
|
(2,079)
|
(2,079)
|
-
|
(2,079)
|
Cancellation
of treasury shares(e)
|
(30)
|
-
|
6,599
|
(6,569)
|
-
|
-
|
-
|
Other
movements in treasury shares(a)
|
-
|
-
|
31
|
(180)
|
(149)
|
-
|
(149)
|
Share-based
payment credit(b)
|
-
|
-
|
-
|
95
|
95
|
-
|
95
|
Dividends
paid to non-controlling interests
|
-
|
-
|
-
|
-
|
-
|
(237)
|
(237)
|
Currency
retranslation gains/(losses) net of tax
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
Hedging
gain/(loss) transferred to non-financial assets
|
-
|
-
|
35
|
-
|
35
|
-
|
35
|
Other
movements in equity
|
-
|
-
|
-
|
26
|
26
|
(13)
|
13
|
30 June 2019
|
434
|
129
|
(8,406)
|
20,553
|
12,710
|
686
|
13,396
|
(a)
Includes purchases
and sales of treasury stock, and transfer from treasury stock to
retained profit of share-settled schemes arising from prior years
and differences between exercise and grant price of share
options.
(b)
The share-based
payment credit relates to the non-cash charge recorded against
operating profit in respect of the fair value of share options and
awards granted to employees.
(c)
Consideration for
the Main Horlicks Acquisition included the issuance of shares in a
group subsidiary, Hindustan Unilever Limited, which resulted in a
net gain being recognised within equity. See note 7 for further
details.
(d)
Includes €163
million paid for purchase of the non-controlling interest in
Unilever Malaysia.
(e)
During the first
half of 2019 170,000,000 Unilever N.V. ordinary shares and
18,660,634 Unilever PLC ordinary shares were cancelled. The amount
paid to repurchase these shares was initially recognised in other
reserves and is transferred to retained profit on
cancellation.
CONSOLIDATED
BALANCE SHEET
|
(unaudited)
€ million
|
As
at
30
June
2020
|
As
at
31
December
2019
|
As
at
30
June
2019
|
|
|
|
|
|
Non-current assets
|
|
|
|
Goodwill
|
19,675
|
18,067
|
17,697
|
Intangible
assets
|
16,049
|
12,962
|
12,547
|
Property,
plant and equipment
|
11,374
|
12,062
|
12,067
|
Pension
asset for funded schemes in surplus
|
2,296
|
2,422
|
2,053
|
Deferred
tax assets
|
1,325
|
1,336
|
1,376
|
Financial
assets
|
815
|
874
|
705
|
Other
non-current assets
|
896
|
653
|
495
|
|
52,430
|
48,376
|
46,940
|
|
|
|
|
Current assets
|
|
|
|
Inventories
|
4,646
|
4,164
|
4,387
|
Trade
and other current receivables
|
6,955
|
6,695
|
8,079
|
Current
tax assets
|
336
|
397
|
265
|
Cash
and cash equivalents
|
4,855
|
4,185
|
3,911
|
Other
financial assets
|
1,100
|
907
|
913
|
Assets
held for sale
|
56
|
82
|
34
|
|
17,948
|
16,430
|
17,589
|
|
|
|
|
Total assets
|
70,378
|
64,806
|
64,529
|
|
|
|
|
Current liabilities
|
|
|
|
Financial
liabilities
|
4,792
|
4,691
|
5,616
|
Trade
payables and other current liabilities
|
14,602
|
14,768
|
14,391
|
Current
tax liabilities
|
1,051
|
898
|
1,072
|
Provisions
|
530
|
620
|
665
|
Liabilities
held for sale
|
1
|
1
|
1
|
|
20,976
|
20,978
|
21,745
|
|
|
|
|
Non-current liabilities
|
|
|
|
Financial
liabilities
|
24,013
|
23,566
|
23,369
|
Non-current
tax liabilities
|
289
|
182
|
187
|
Pensions
and post-retirement healthcare liabilities:
|
|
|
|
Funded
schemes in deficit
|
1,275
|
1,157
|
1,176
|
Unfunded
schemes
|
1,426
|
1,461
|
1,417
|
Provisions
|
642
|
664
|
637
|
Deferred
tax liabilities
|
3,276
|
2,573
|
2,272
|
Other
non-current liabilities
|
257
|
339
|
330
|
|
31,178
|
29,942
|
29,388
|
|
|
|
|
Total liabilities
|
52,154
|
50,920
|
51,133
|
|
|
|
|
Equity
|
|
|
|
Shareholders’
equity
|
15,639
|
13,192
|
12,710
|
Non-controlling
interests
|
2,585
|
694
|
686
|
Total equity
|
18,224
|
13,886
|
13,396
|
|
|
|
|
Total liabilities and equity
|
70,378
|
64,806
|
64,529
|
CONSOLIDATED
CASH FLOW STATEMENT
|
(unaudited)
€ million
|
First
Half
|
|
2020
|
2019
|
|
|
|
Net
profit
|
3,542
|
3,209
|
Taxation
|
991
|
1,145
|
Share
of net (profit)/loss of joint ventures/associates and other
(income)/loss
|
|
|
from
non-current investments and associates
|
(89)
|
(87)
|
Net
monetary (gain)/loss arising from hyperinflationary
economies
|
(21)
|
(29)
|
Net
finance costs
|
249
|
351
|
Operating profit
|
4,672
|
4,589
|
|
|
|
Depreciation,
amortisation and impairment
|
987
|
965
|
Changes
in working capital
|
(1,215)
|
(1,888)
|
Pensions
and similar obligations less payments
|
(79)
|
(94)
|
Provisions
less payments
|
(66)
|
47
|
Elimination
of (profits)/losses on disposals
|
45
|
(36)
|
Non-cash
charge for share-based compensation
|
74
|
95
|
Other
adjustments
|
9
|
23
|
Cash flow from operating activities
|
4,427
|
3,701
|
|
|
|
Income
tax paid
|
(899)
|
(1,309)
|
|
|
|
Net cash flow from operating activities
|
3,528
|
2,392
|
|
|
|
Interest
received
|
80
|
78
|
Net
capital expenditure
|
(422)
|
(558)
|
Other
acquisitions and disposals
|
(623)
|
(470)
|
Other
investing activities
|
384
|
234
|
|
|
|
Net cash flow (used in)/from investing activities
|
(581)
|
(716)
|
|
|
|
Dividends
paid on ordinary share capital
|
(2,120)
|
(2,080)
|
Interest
paid
|
(336)
|
(369)
|
Change
in financial liabilities
|
602
|
1,937
|
Other
movements on treasury shares
|
-
|
(205)
|
Other
financing activities
|
(234)
|
(139)
|
|
|
|
Net cash flow (used in)/from financing activities
|
(2,088)
|
(856)
|
|
|
|
|
|
|
Net increase/(decrease) in cash and cash equivalents
|
859
|
820
|
|
|
|
Cash and cash equivalents at the beginning of the
period
|
4,116
|
3,090
|
|
|
|
Effect
of foreign exchange rate changes
|
(253)
|
(121)
|
|
|
|
Cash and cash equivalents at the end of the period
|
4,722
|
3,789
|