Unilever Announces Fourth Quarter and Annual Results 2004 - Unaudited and provisional, at constant 2003 average exchange rates unless stated -.ROTTERDAM Rotterdam, city, Netherlands Rotterdam (rŏt`ərdăm', Dutch rôtərdäm`), city (1994 pop. 598,521), South Holland prov., W Netherlands, on the Nieuwe Maas (New Meuse) River near its mouth on the North Sea. , Netherlands Netherlands (nĕth`ərləndz), Du. Nederland or Koninkrijk der Nederlanden, officially Kingdom of the Netherlands, constitutional monarchy (2005 est. pop. 16,407,000), 15,963 sq mi (41,344 sq km), NW Europe. -- The business developed to plan in the fourth quarter. Full year EPS (Encapsulated PostScript) A PostScript file format used to transfer a graphic image between applications and platforms. EPS files contain PostScript code as well as an optional preview image in TIFF, WMF, PICT or EPSI, the latter being an ASCII-only format. beia grew by 5%. Changes in organisation and increased market competitiveness are directed at restoring sustainable top line growth.
FINANCIAL HIGHLIGHTS
EUR Millions
Current
Constant 2003 exchange
average exchange rates rates
-------------------------------------------------------- -------------
Full Year Full Year
Fourth Quarter 2004 2004 2004
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10,759 + 1 % Turnover 42,023 - 2 % 40,366 - 6 %
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Operating profit -
1,470 - 16 % beia* 6,386 - 6 % 6,138 - 9 %
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(519) - 143 % Pre-tax profit/(loss) 2,900 - 36 % 2,839 - 37 %
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(283) - 139 % Net profit/(loss) 1,900 - 31 % 1,876 - 32 %
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1,016 - 1 % Net profit - beia* 4,090 + 4 % 3,969 + 1 %
-------------------- ------------- -------------
EPS NV - beia *
1.05 - 1 % (Euros) 4.22 + 5 % 4.09 + 2 %
-------------------- ------------- -------------
EPS PLC - beia * (Euro
15.75 - 1 % cents) 63.25 + 5 % 61.37 + 2 %
-------------------- ------------- -------------
* Before exceptional items and amortisation of goodwill and
intangibles
KEY FEATURES FOURTH QUARTER --Underlying sales grew by 3.2%, and leading brands by 3.7%, including the benefit of two additional days. --Operating margin (beia) was 270 basis points lower including increased investment in market competitiveness and high commodity costs in the quarter. --Exceptional items of EUR EUR In currencies, this is the abbreviation for the Euro. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. 1.5 billion include planned step-up step-up A scheduled increase in the exercise or conversion price at which a warrant, an option, or a convertible security may be used to acquire shares of common stock. in restructuring restructuring - The transformation from one representation form to another at the same relative abstraction level, while preserving the subject system's external behaviour (functionality and semantics). and an impairment Impairment 1. A reduction in a company's stated capital. 2. The total capital that is less than the par value of the company's capital stock. Notes: 1. This is usually reduced because of poorly estimated losses or gains. 2. charge for Slim--Fast goodwill. FULL YEAR 2004 --Underlying sales grew by 0.4% and leading brands by 0.9%. Sales declined in Western Europe Western Europe The countries of western Europe, especially those that are allied with the United States and Canada in the North Atlantic Treaty Organization (established 1949 and usually known as NATO). with share losses in some categories in weaker markets. In Asia, it was a year of intense competition. --Operating margin (beia) was 60 bps lower. EPS beia grew 5%, boosted by lower tax and financing costs. --Strong cash generation and currency movements have reduced net debt to EUR 9.7 billion at year-end year-end also year·end n. The end of a year. adj. Occurring or done at the end of the year: a year-end audit. Noun 1. exchange rates, down by EUR 2.9 billion over the year. --Proposed final dividend of EUR 1.26 per NV ordinary share and 12.82p per PLC ordinary share, increases the total dividend per share by 9% for NV and by 6% for PLC. ORGANISATION CHANGES --Dual chairman structure to be replaced by single CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. and non-executive non-executive adj non-executive director → direttore m senza potere esecutivo Chairman. --Simplification of management structure with fewer layers and greater consumer and customer focus. --Corporate structure to be reviewed. CHAIRMEN'S COMMENT & OUTLOOK The 'Path to Growth' transformation programme undertaken over the past five years has produced a stronger portfolio. We have powerful geographic and category positions, a much more focused stable of brands and a greatly improved cost and capital base. However, initial market share gains for the business as a whole in the early years of the programme have not been sustained. While it is certainly the case that markets have been tougher in the past eighteen months than we had expected, we have also lost some share during that time. There are two fundamental reasons for the recent poor top line performance. Firstly, we let a range of targets limit our flexibility and did not adjust our plans quickly enough to a more difficult business environment. Secondly, we took our eye off our competitiveness and our execution could have been sharper. In a separate announcement this morning we explained important changes we are making to the Unilever Unilever Either of two linked companies, Unilever PLC (based in London) and Unilever NV (based in Rotterdam). They are the holding companies for more than 500 firms worldwide that manufacture and sell soaps, foods, and other products. organisational structure. These changes will significantly simplify the organisation, speed-up decision making and ensure clear focus and accountability The traceability of actions performed on a system to a specific system entity (user, process, device). For example, the use of unique user identification and authentication supports accountability; the use of shared user IDs and passwords destroys accountability. for the execution of our strategic agenda. At the same time we explained that the Corporate structure will be reviewed and that this review is independent of the organisational changes being made. We are determined to restore sustainable, profitable, growth and the changes in organisation will re-inforce the actions taken to improve market competitiveness. The fourth quarter results include an increased level of support, targeted pricing action and the first stage in the implementation of the simplification programme announced in mid 2004. OUTLOOK TO 2010 The Vitality vi·tal·i·ty n. 1. The capacity to live, grow, or develop. 2. Physical or intellectual vigor; energy. mission set out in 2004 guides the strategic agenda over the coming years. Our over-arching financial ambition Ambition Alger, Horatio author of a series of rags-to-riches stories. [Am. Lit.: Ragged Dick] Bart, Lily sacrifices her principles and her chance for love in schemes to climb the social ladder. [Am. Lit. of top third Total Shareholder Return over time is reconfirmed. We have reviewed our target for ungeared Adj. 1. ungeared - having gears not engaged or disconnected; "the machine's ungeared pinion" geared - equipped with or connected by gears or having gears engaged free cash flow in the light of market conditions and concluded that it is now prudent to assume between EUR 25 and EUR 30 billion over the next 6 years, while aiming for the top end of this range. At the same time we expect a significant improvement in return on invested capital. OUTLOOK FOR 2005 The number one priority is to restore sustainable top line growth. The step up in market competitiveness begun in the fourth quarter of 2004 will be sustained and carefully targeted at specific categories and regions. In addition our plans are based on a sharpening For image sharpening, see . Sharpening is the process of creating or refining a sharp edge on a tool or implement. The term has a wide application but can be expressed as the creation of two intersecting planes which produce an edge that is sharp enough to cut through the target of innovation, better portfolio management of brands to drive categories and winning with customers by further improving the way we go to market. Productivity gains will be accelerated through the implementation of the simplification programme. Net restructuring costs in the year are expected to be within the ongoing range of 0.5% to 1% of sales and will be treated as non-exceptional, as previously indicated. We anticipate an easing of some commodity cost pressures through the year. RETURN OF CASH TO SHAREHOLDERS The continued strong cash flow in 2004, together with the effect of the weaker US dollar, has brought net debt at year-end closing rates to below EUR 10 billion. Following the conversion of the EUR 0.05 preference shares separately announced this morning, we will buy in shares to replenish re·plen·ish v. re·plen·ished, re·plen·ish·ing, re·plen·ish·es v.tr. 1. To fill or make complete again; add a new stock or supply to: replenish the larder. 2. the stock used for the conversion. Having done this, we expect to use surplus cash generation to start a share buy-back programme. Barring sharp changes in exchange rates, we expect to initiate this in 2005 with an amount of up to EUR 500 million. Antony Burgmans Antony Burgmans (February 13, 1947) is currently the non-executive Chairman of the Anglo-Dutch food & health products giant Unilever N.V. and PLC. Career He studied at Nijenrode in the Netherlands, before going on to study political and social sciences at Stockholm Patrick Cescau Chairmen of Unilever 10 February February: see month. 2005 FOURTH QUARTER AND FULL YEAR FINANCIAL RESULTS (at constant exchange rates) Notes: The following commentary is based on operating profit Operating profit (or loss) Revenue from a firm's regular activities less costs and expenses and before income deductions. operating profit See operating income. before exceptional items and amortisation Noun 1. amortisation - the reduction of the value of an asset by prorating its cost over a period of years amortization reduction, step-down, diminution, decrease - the act of decreasing or reducing something 2. of goodwill and intangible assets Intangible Asset An asset that is not physical in nature. Notes: Examples are things like copyrights, patents, intellectual property, and goodwill. These are the opposite of tangible assets. . Sales growth is stated on an underlying basis, excluding the effects of acquisitions and disposals. Turnover includes the impact of acquisitions and disposals. Unilever uses 'constant rate', 'underlying' and 'beia' measures primarily for internal performance analysis and targeting purposes. Unilever believes that the use of such measures provides additional information for shareholders on underlying business performance trends. Such measures are not defined under UK, Netherlands or US GAAP GAAP See: Generally Accepted Accounting Principles GAAP See generally accepted accounting principles (GAAP). and are not intended to be a substitute for GAAP measures of turnover and profit. Fuller definitions and reconciliations between such measures and the equivalent GAAP measures are available on our website: www.unilever.com. Underlying sales grew by 3.2% in the quarter and by 0.4% in the year. The growth for the quarter included the benefit of two additional trading days In Business, the trading day is the time span that a particular stock exchange is open. For example, the New York Stock Exchange is, as of 2006, open from 09:30AM to 4:00PM. Trading days never take place on weekends. compared with the same period last year. After the impact of disposals, turnover increased by 0.6% in the quarter and declined by 2.1% for the year. Operating margin Operating Margin A ratio used to measure a company's pricing strategy and operating efficiency. Calculated by: (beia) was 270 bps lower than last year for the quarter with advertising and promotions up by 130 basis points. Margin in the quarter was also reduced by the actions taken to improve price competitiveness, particularly high commodity costs in the quarter and by the net impact of a number of one-off (1) One at a time. CD-ROM recorders (CD-R drives) are commonly called one-off machines because they write one CD-ROM at a time. (2) Only once. Software that is written to solve a specific problem only one time is sometimes called a one-off. items. These included asset write-offs and disposals which were not part of the Path to Growth programme and thus have not been taken as exceptional items. For the full year, operating margin (beia) was 60 bps lower than last year. This reflects a decline in price, slightly higher advertising and promotion expenditure and unrecovered overheads following disposals. The impact of increased commodity costs in the year was fully offset by procurement The fancy word for "purchasing." The procurement department within an organization manages all the major purchases. savings. Net borrowing costs were reduced by 18% in the quarter and by 19% in the year with both net debt and interest rates lower than last year. The financing costs of pensions were also lower. The fourth quarter saw the planned step-up in restructuring costs with the start of the implementation of the overheads simplification project, announced in mid 2004. This first phase of the project is within the original scope of Path to Growth and marks an end to the Path to Growth restructuring costs. In total, exceptional restructuring costs were EUR 597 million in the quarter, compared with EUR 195 million in the fourth quarter of the previous year and EUR 884 million in the year compared with EUR 470 million in 2003. Exceptional losses arising from business disposals including asset write-downs were EUR 113 million in the quarter compared with a profit of EUR 172 million in the fourth quarter of the previous year with a profit of EUR 39 million in the year compared with EUR 370 million in 2003. In the fourth quarter a charge of EUR 650 million was taken for the impairment of goodwill for Slim--Fast. The turnaround Turnaround A situation where a company that has had poor performance for an extended period of time experiences a positive reversal. Notes: A speculator may profit from a turnaround if he or she accurately anticipates the improvement of a poorly performing company. plan is being executed well, including the launch of new Slim--Fast Optima and market shares have been stabilised Adj. 1. stabilised - made stable or firm stabilized stable - resistant to change of position or condition; "a stable ladder"; "a stable peace"; "a stable relationship"; "stable prices" with modest increases. However the weight management category has declined significantly in the second half of 2004 reflecting declining interest in the more extreme low carb carb 1 n. Informal A carburetor. diets. Consumers have not yet been attracted back to the Slim--Fast meal replacement plan. While the brand is expected to contribute to future growth, recovery will take longer than expected and we have a substantially smaller base from which to grow. There is an additional EUR 177 million charge in the fourth quarter, relating to relating to relate prep → concernant relating to relate prep → bezüglich +gen, mit Bezug auf +acc the potential repayment Repayment The act of paying back a debt. Notes: Everyone has to repay their debts eventually. See also: Debt, Defeasance, Loan of certain sales tax sales tax, levy on the sale of goods or services, generally calculated as a percentage of the selling price, and sometimes called a purchase tax. It is usually collected in the form of an extra charge by the retailer, who remits the tax to the government. credits taken over the past five years in Brazil Brazil (brəzĭl`), Port. Brasil, officially Federative Republic of Brazil, republic (2005 est. pop. 186,113,000), 3,286,470 sq mi (8,511,965 sq km), E South America. . The charge arises from an announced Brazilian supreme court review of precedents PRECEDENTS. the decision of courts of justice; when exactly in point with a case before the court, they are generally held to have a binding authority, as well to keep the scale of justice even and steady, as because the law in that case has been solemnly declared and determined. 9 M. R. that had been set in favour of taxpayers. We believe it is appropriate to make a provision now but will defend our position vigorously vig·or·ous adj. 1. Strong, energetic, and active in mind or body; robust. See Synonyms at healthy. 2. Marked by or done with force and energy. See Synonyms at active. . Total exceptional items were thus EUR 1,537 million in the quarter compared with EUR 23 million in the fourth quarter of the previous year and EUR 1,672 million in the year compared with EUR 100 million in 2003. The tax rate (beia) has reduced steadily over the past five years and was 25% in 2004, compared with 29% in the previous year. This included, in the fourth quarter, the impact of a reduction in the future tax rate in the Netherlands and the resolution of a number of outstanding tax matters in various countries. Earnings per share (beia) were 1% lower in the quarter but grew by 5% for the year as a whole. When expressed at current rates of exchange, earnings per share (beia) for the quarter were lower by 4% in Euros. For the full year on this basis, earnings per share (beia) were higher by 2% in Euros, but flat when measured in GBP GBP In currencies, this is the abbreviation for the British Pound. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. Sterling and higher by 12% when measured in US $. Turnover expressed at current rates of exchange was lower by 2% in the quarter in Euros, while for the full year it was lower by 6% in Euros, lower by 8% in GBP Sterling and higher by 3% in US $. FULL YEAR SALES PERFORMANCE (at constant exchange rates) Overall performance in 2004 was unsatisfactory. In Western Europe, trading conditions were difficult due to the continuing growth of hard discounters and the responses of traditional retailers, looking to compete through value on both branded and private label products. In addition ice cream and ready-to-drink tea suffered from a poorer summer than the exceptional one in 2003. Our business in Central and Eastern Europe The term "Central and Eastern Europe" came into wide spread use, replacing "Eastern bloc", to describe former Communist countries in Europe, after the collapse of the Iron Curtain in 1989/90. grew by over 5%, however underlying sales in Europe Europe (y  r`əp), 6th largest continent, c.4,000,000 sq mi (10,360,000 sq km) including adjacent islands (1992 est. pop. 512,000,000). as a whole declined by 2.8%.North America North America, third largest continent (1990 est. pop. 365,000,000), c.9,400,000 sq mi (24,346,000 sq km), the northern of the two continents of the Western Hemisphere. grew by 1.5%, despite disappointing sales in Slim--Fast. There was good growth in the rest of the Foods business but some share loss in Home and Personal Care in weak markets. Growth in Asia was only 1.4% as some of our leadership positions came under competitive attack. We are defending these robustly. Latin America Latin America, the Spanish-speaking, Portuguese-speaking, and French-speaking countries (except Canada) of North America, South America, Central America, and the West Indies. had another strong year with underlying sales ahead by 7.2%, while growth in Africa, the Middle East and Turkey was more modest at 3.1%. Vitality has been at the heart of our Foods innovation programme which drove good growth in Knorr Knorr can refer to:
In Home and Personal Care, a sharp slowdown For articles with similar titles, see Slow Down (disambiguation). A slowdown is an industrial action in which employees perform their duties but seek to reduce productivity or efficiency in their performance of these duties. in market growth and a significant rise in the level and intensity of competitive activity put pressure on the business. This reduced growth in personal care, and in home care volume growth was fully offset by price declines. Through 2005 we are determined to regain market share and momentum. We will do this by further developing our brands to meet emerging consumer vitality needs, rolling out new initiatives faster across our markets and strengthening our competitiveness. Savoury and dressings We are growing our savoury and dressings brands by developing new products that suit the changing lifestyles of our consumers, by keeping them relevant through the creation of world class communication and through launches in new trade channels and markets. Underlying sales grew by 2.6%. Our performance in Europe was mixed. There was strong growth in dressings in Russia Russia, officially the Russian Federation, Rus. Rossiya, republic (2005 est. pop. 143,420,000), 6,591,100 sq mi (17,070,949 sq km). and the UK. However this was partly offset by declines in dressings in France and the Netherlands and in savoury in the UK as we faced a challenging trade environment and intense competition. In North America, Hellmann's dressings benefitted from strong brand activation activation /ac·ti·va·tion/ (ak?ti-va´shun) 1. the act or process of rendering active. 2. the transformation of a proenzyme into an active enzyme by the action of a kinase or another enzyme. 3. and an improved go to market strategy. Excellent results were achieved with our Carb Option dressings, part of a wider range of low carbohydrate carbohydrate, any member of a large class of chemical compounds that includes sugars, starches, cellulose, and related compounds. These compounds are produced naturally by green plants from carbon dioxide and water (see photosynthesis). products. This was followed by the launch of chilled chill n. 1. A moderate but penetrating coldness. 2. A sensation of coldness, often accompanied by shivering and pallor of the skin. 3. side dishes side dish n. A dish served as an accompaniment to the main course. Noun 1. side dish - a dish that is served with, but is subordinate to, a main course entremets, side order under our Country Crock crock - [American scatologism "crock of shit"] 1. An awkward feature or programming technique that ought to be made cleaner. For example, using small integers to represent error codes without the program interpreting them to the user (as in, for example, Unix "make(1)", which brand across the USA towards the end of the year. In Latin America a cholesterol free Hellmann's mayonnaise addressed the growing demand for 'healthy heart' products. Knorr soups were launched in Mexico Mexico, city, Mexico Mexico or Mexico City, Span. Ciudad de México (Méjico), city (1990 pop. 8,236,960; 1991 met. area est. 20,899,000), central Mexico, capital and largest city of Mexico. and Argentina Argentina (ärjəntē`nə, Span. ärhāntē`nä), officially Argentine Republic, republic (2005 est. pop. 39,538,000), 1,072,157 sq mi (2,776,889 sq km), S South America. , while in Brazil we launched low unit price Knorr seasoning cubes cubes See QQQ. particularly relevant to lower income consumers. Spreads and cooking products Underlying sales grew by 1.6% with strong momentum in the second half of the year. Our 'healthy heart' brands were strengthened further with the successful launch of Flora/Becel pro.activ Activ is a Romanian disco band. Nowadays its trance, techno music band. The members of this band (Oana, Rudi and Avi) are from Timişoara. Discography
emanating from or pertaining to Europe. European bat lyssavirus see lyssavirus. European beech tree fagussylvaticus. European blastomycosis see cryptococcosis. markets and these brands continued to gain share in spreads. There were also good performances by well-established brands like Rama and Blue Band following the extension into the range of Finesse cooking creams at the end of 2003. In North America Country Crock produced excellent results, while the launch of Carb Options Skippy peanut butter is now being followed by an extension into snack bars. In Turkey, significant price reductions on our Sana Sana or San'a (both: sŏnä`), city (1994 pop. 954,448), capital and largest city of Yemen. The city lies inland on a high plain (alt. 7,250 ft/2,210 m) and is connected to the Red Sea port of Hodeida by road. brand to defend our market volume meant a decline in sales. Overall growth in the category was held back by lower sales of 'tail' brands which are being managed for value. Beverages Our beverages business performed below par in 2004, with an underlying sales decline of 3.9%. Growth in leaf tea and good progress with Ades soy based drinks were more than offset by declines in ready-to-drink tea and by Slim--Fast. In Europe, poor summer weather resulted in reduced sales of our ready-to-drink Lipton For people named Lipton, see . Lipton is one of the world's best-known and best-selling brands of both hot leaf and ready-to-drink tea. It forms part of the Unilever portfolio. ice tea range. However leaf teas performed considerably better. The launch of Lipton Ice Tea Green and Lipton green leaf teas established the brand as the market leader in green tea, while difficult trading conditions impacted negatively on the UK and Ireland Ireland, Irish Eire (âr`ə) [to it are related the poetic Erin and perhaps the Latin Hibernia], island, 32,598 sq mi (84,429 sq km), second largest of the British Isles. , two of our biggest tea countries in Europe. In Asia, Brooke Bond Brooke Bond was a brand-name tea retailer in the United Kingdom. Brooke Bond & Company was founded by Arthur Brooke who was born at 6 George Street, Ashton under Lyne, Lancashire, England in 1845. He opened his first Tea Shop in Manchester, Lancashire. tea in India India, officially Republic of India, republic (2005 est pop. 1,080,264,000), 1,261,810 sq mi (3,268,090 sq km), S Asia. The second most populous country in the world, it is also sometimes called Bharat, its ancient name. India's land frontier (c. and Sariwangi in Indonesia Indonesia (ĭn'dənē`zhə), officially Republic of Indonesia, republic (2005 est. pop. 241,974,000), c.735,000 sq mi (1,903,650 sq km), SE Asia, in the Malay Archipelago. both grew strongly. In China we introduced Lipton Asian tea bags and Lipton Milk Tea powders. However it was a difficult year for tea in Pakistan Pakistan (păk`ĭstăn', päkĭstän`), officially Islamic Republic of Pakistan, republic (2005 est. pop. 162,420,000), 310,403 sq mi (803,944 sq km), S Asia. , which faced increased promotional activity by local competition. Our Pepsi Lipton International joint venture, launched in 2003 to accelerate our growth in under-developed ready-to-drink tea markets, is producing strong results. Our 'health & wellness' brands, largely made up of Slim--Fast, were hard hit by rapidly changing dieting preferences. In the first half of the year we stabilised market share with the launch of a low carb range. Towards the end of the year we relaunched the entire Slim--Fast portfolio in the US, with improved formulations which include up to 55% less sugar content. Ades, our nutritional soy-based drink continued to grow strongly in Argentina, Mexico and Brazil and was extended into dairy products dairy products dairy npl → produits laitier dairy products dairy npl → Milchprodukte pl, Molkereiprodukte pl with the launch of Yofresh, a soy-based yoghurt yogurt, yoghurt a form of curdled milk produced by fermentation with organisms of the genus Lactobacillus. Used in the treatment of convalescing calves and other young animals after attacks of diarrhea. alternative. Ice cream and frozen foods Underlying sales of ice cream and frozen foods were lower by 3.4% with declines in both parts of the category. Ice Cream sales in Europe were affected by a poorer summer compared with the excellent weather conditions in the summer of 2003. Lower priced competition led to some market share loss in take-home Adj. 1. take-home - (of salary or wages) remaining after all deductions including taxes net, nett - remaining after all deductions; "net profit" 'tubs', but this was partly offset by the roll-out of new variants such as Magnum Intense and Cornetto Cornetto may refer to
Our US ice cream brands This is a list of ice cream brands currently in production around the world.
low-carb bread → kohlenhydratarmes Brot , low-sugar, lactose free and yoghurt products which now represent over 20% of our portfolio. In Latin America we successfully launched Ades Kibon Kibon is a Brazilian ice cream producer, now owned by Unilever. History
We have been reorganising the frozen foods business to focus more on higher growth segments of the market, including making some disposals. Margins continue to improve through restructuring. The relaunch Relaunch can refer to several things:
IGLO Individual Gauge for Localized Orbitals (chemistry) , Birds Eye
Personal Care In 2004, our Personal Care business had underlying sales growth of 2.1%. Market share improved in Europe, Middle East & Africa. In a number of other regions, market share began to recover by the end of the year following some declines earlier in the year. Under Path to Growth, our performance in Personal Care has been driven by six global brands - Dove, Sunsilk, Axe, Rexona Rexona is a deodorant brand manufactured by Anglo Dutch company Unilever. It was developed in 1908 by an Australian pharmacist and his wife. Currently, Rexona has at least 8 lines of deodorant. Each line features a specific quality sought in deodorants. , Lux and Pond's and these again grew well in aggregate in 2004. Deodorants saw another year of double-digit dou·ble-dig·it adj. Being between 10 and 99 percent: double-digit inflation. growth, with increased share in most regions. Axe had another excellent year, based on its notable success in North America where the brand now has close to 13% market share two years after launch. Elsewhere growth came from the new fragrance Touch, higher consumption in Latin America through all over body usage, and the deployment of award-winning Adj. 1. award-winning - having received awards; "this award-winning bridge spans a distance of five miles" advertising. Rexona continues to build market share as the world's largest deodorant deodorant /de·odor·ant/ (de-o´der-int) 1. masking offensive odors. 2. an agent that so acts. de·o·dor·ant n. brand - it was relaunched in Europe, where it is now the market leader for women, with new body responsive technology, and successful variants such as Rexona Ebony ebony, common name for members of the Ebenaceae, a family of trees and shrubs widely distributed in warmer climates and in the tropics. The principal genus, Diospyros, includes both ebony and persimmon trees. have been launched in Latin America. In hair care, Sunsilk continued its double-digit growth and was rolled out in Europe. Variant variant /var·i·ant/ (var´e-ant) 1. something that differs in some characteristic from the class to which it belongs. 2. exhibiting such variation. var·i·ant adj. innovations as solutions to daily hair problems were the foundation of the brand's success, communicated globally through the "hair dramas" campaign. However, overall growth in the category was held back by a fierce competitive response to our previous market share gains in Japan. This has been addressed through the relaunch of Lux and mod's shampoos. In India, volumes were well ahead, but at significantly lower prices, whilst in North America, portfolio issues have restricted growth. In skin cleansing, a disappointing performance in North America offset share gains in other territories. In skin care, Dove has been successful with firming lotion lotion /lo·tion/ (lo´shun) a liquid suspension, solution, or emulsion for external application to the body. lo·tion n. 1. in Europe, and this has been the vehicle for the 'Real Beauty' communication platform. Fair & Lovely has enjoyed a strong year in India, while Vaseline Vas·e·line A trademark for a brand of petroleum jelly. Vaseline trademark for white petrolatum (USP), petroleum jelly. has been relaunched in the highly active US market. In oral we continued to focus investment behind selected leadership positions with our Signal / Pepsodent Pepsodent is a brand of toothpaste. It was formerly owned by Unilever but, since 2003, by Church and Dwight, . It was advertised for its purported properties fighting tooth decay, attributed in advertisements to the supposed ingredient "Irium". and Close Up brands. The prestige fragrance business met our 2004 expectations, delivering sharply improved profitability and cash flow. The key launch was Eternity Moment in the third quarter, which quickly established itself as one of the leading new fragrances in Europe this year. Home Care In 2004, underlying sales in our Home Care business declined by 0.4%. Volumes grew by 1.8% but this was more than offset by price declines, reflecting increased consumer sensitivity in this area resulting in reduced market sizes in the developed world. Performance was on the whole disappointing. Despite gains in specific territories, overall market share fell marginally - with growth in developing markets offset by the decline in Europe and North America. In laundry Laundry can be:
Before industrialization , our top performance fabric cleaning brand, Omo OMO On My Own OMO Open Market Operations OMO Odd Man Out OMO Om Shanti Om (movie, India) OMO One Man Operated (now replaced by OPO) OMO Other Military Operations OMO Old Mother Owl OMO Old Man Out , is now aligned to a common brand proposition across the world, and continued to perform well in difficult trading conditions. Omo strengthened its position in a number of key markets. The success of Omo was supported by the 'Pockets' campaign in parts of Asia, Africa and Latin America, as well as the 'Dirt is Good' campaign and innovations such as Aloe Vera aloe vera n. 1. A species of aloe (Aloe vera) native to the Mediterranean region. 2. The mucilaginous juice or gel obtained from the leaves of this plant, used in pharmaceutical preparations for its soothing and healing in Latin America. Other brands that performed well included the Radiant radiant: see meteor shower. family (superior whiteness and brightness marketed as Rin RIN Royal Institute of Navigation (UK) RIN Relative Intensity Noise RIN Russian Information Network (Russia) RIN Royal Indian Navy (WWII) RIN Record Identification Number and Ala ALA aminolevulinic acid. Ala alanine. ala (a´lah) pl. a´lae [L.] a winglike process. ), and the fabric conditioner conditioner, n 1. an additive substance used to increase the effectiveness of another substance. 2. a substance added to enamel that improves a sealant's ability to adhere. brand Comfort. The household care business declined due to difficult trading conditions in Europe, despite strong growth in developing and emerging markets. Attention was focused on the profitability of the business, which improved significantly. SAFE HARBOUR STATEMENT: This announcement may contain forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. , including 'forward-looking statements' within the meaning of the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995. Words such as 'expects', 'anticipates', 'intends' 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 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, including, among others, competitive pricing and activities, consumption levels, costs, the ability to maintain and manage key customer relationships and supply chain sources, currency values, interest rates, the ability to integrate acquisitions and complete planned divestitures, physical risks, environmental risks, the ability to manage regulatory reg·u·late tr.v. reg·u·lat·ed, reg·u·lat·ing, reg·u·lates 1. To control or direct according to rule, principle, or law. 2. , tax and legal matters and resolve pending matters within current estimates, legislative, fiscal and regulatory developments, political, economic and social conditions in the geographic markets where the Group operates and new or changed priorities of the Boards. Further details of potential risks and uncertainties affecting the Group are described in the Group's filings with the London Stock Exchange London Stock Exchange London marketplace for securities. It was formed in 1773 by a group of stockbrokers who had been doing business informally in local coffeehouses. , Euronext  Euronext N.V. is a pan-European stock exchange based in Paris[1] Amsterdam Amsterdam, city, NetherlandsAmsterdam (ăm`stərdăm', Dutch ämstərdäm`), city (1994 pop. 724,096), constitutional capital and largest city of the Kingdom of the Netherlands, North Holland prov. and the US Securities and Exchange Commission, including the Annual Report & Accounts on Form 20-F. 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 there·to adv. 1. To that, this, or it. 2. Archaic In addition to that; furthermore. thereto Adverb Formal 1. to that or it 2. or any change in events, conditions or circumstances CIRCUMSTANCES, evidence. The particulars which accompany a fact. 2. The facts proved are either possible or impossible, ordinary and probable, or extraordinary and improbable, recent or ancient; they may have happened near us, or afar off; they are public or on which any such statement is based. RESULTS AT CURRENT EXCHANGE RATES During the year the average exchange rate for the Euro strengthened by 4% against a representative basket of currencies for Unilever. Compared with constant rates, the change in turnover at current exchange rates was lower by 4 percentage points and operating profit beia was lower by 3 percentage points. EPS beia growth for the year was 3% lower, at 2%. FINAL DIVIDEND The Boards will recommend to the Annual General Meetings a final dividend of EUR 1.26 per EUR 0.51* ordinary share of Unilever N.V. and a final dividend of 12.82p per 1.4p ordinary share of Unilever PLC. This will bring the total dividend to EUR 1.89 per ordinary share of EUR 0.51*, an increase of 9% over last year and 19.15p per ordinary share of 1.4p, an increase of 6% over last year. * This amount is a representation in euros on the basis of Article 67c Book 2 of the Dutch Civil Code, rounded to two decimal places decimal place n. The position of a digit to the right of a decimal point, usually identified by successive ascending ordinal numbers with the digit immediately to the right of the decimal point being first: , of underlying Dutch guilders, as these have not been converted into euros in Unilever N.V.'s Articles of Association. CASH FLOW (at current exchange rates) Cash flow from group operating activities was EUR 6.9 billion in 2004, an increase of EUR 0.1 billion over 2003. Lower group operating profit (beia) and increased contributions to pension funds were offset by reduced working capital levels. The exceptional charges taken in the fourth quarter had little cash effect in 2004, falling mainly into 2005. Returns on investment and servicing of finance cash outflows were EUR 0.4 billion lower as a result of reduced interest costs and higher dividends paid to minority shareholders in the comparative period. The drivers of lower interest costs were reduced debt levels and lower interest rates. Net capital expenditure and financial investment was at a similar level to the prior year, which included a EUR 0.2 billion cash inflow in·flow n. 1. The act or process of flowing in or into: an inflow of water; an inflow of information. 2. from the sale of a fixed rate investment. Net cash inflows from acquisitions and disposals were EUR 0.3 billion lower than in 2003. Closing net debt was EUR 9.7 billion, a reduction of EUR 2.9 billion since the start of the year, EUR 0.9 billion of which relates to currency movements. BALANCE SHEET (at current exchange rates) Capital and reserves decreased by EUR 0.4 billion in 2004. Net profits added EUR 1.9 billion and the credit in respect of share option costs EUR 0.2 billion. These were offset by the effect of actuarial ac·tu·ar·y n. pl. ac·tu·ar·ies A statistician who computes insurance risks and premiums. [Latin assumptions and investment returns on pension balances (EUR 0.5 billion), purchases of own shares to hedge share options (EUR 0.3 billion) and 2004 dividends (EUR 1.8 billion). Goodwill and intangibles Property that is a "right" such as a patent, Copyright, or trademark, or one that is lacking physical existence, such as good will. decreased by EUR 2.4 billion over the year, reflecting amortisation and impairment charges of EUR 1.9 billion and currency movements of EUR 0.5 billion. Tangible fixed assets fixed assets npl → activo sg fijo fixed assets npl → immobilisations fpl fixed assets fix npl → decreased by EUR 0.4 billion through the net impact of capital expenditure, depreciation and business disposals (EUR 0.3 billion) and currency movements (EUR 0.1 billion). Lower stocks and debtors reflect effective management of the working capital base with an increase in the level of deferred tax assets. Restructuring and other provisions increased following the planned step-up of restructuring costs in the fourth quarter and a provision for a potential Brazilian sales tax liability. EURO REPORTING Information in sterling and US dollars is available as a supplement to this Euro report.
CONSOLIDATED PROFIT AND LOSS ACCOUNT - CONSTANT EXCHANGE RATES
(unaudited)
Note: A description of the exchange rate conventions used is given
on page 16.
EUR Millions -
Fourth Quarter constant rates Full Year
-------------------------- ---------------------
% Incr./ % Incr./
2004 2003 (Decr.) 2004 2003 (Decr.)
10,759 10,694 1% TURNOVER 42,023 42,942 (2)%
Less: Share of turnover
(54) (57) of joint ventures (206) (249)
----------------- ---------------
10,705 10,637 1% Group turnover 41,817 42,693 (2)%
----------------- ---------------
Group operating
(364) 1,428 (125)% profit/(loss) 3,526 5,483 (36)%
Add: Share of operating
profit of joint
10 9 ventures 47 46
----------------- ---------------
(354) 1,437 (125)% OPERATING PROFIT/(LOSS) 3,573 5,529 (35)%
---------------------------------------------------------------------
1,470 1,755 (16)% Operating profit beia * 6,386 6,772 (6)%
(1,537) (23) Exceptional items (1,672) (100)
Amortisation of
goodwill and
(287) (295) intangibles (1,141)(1,143)
---------------------------------------------------------------------
Share of operating
10 12 profit of associates 47 25
Other income from fixed
5 8 investments 33 (3)
(177) (217) Interest (684) (847)
Other finance
income/(cost) -
pensions and similar
(3) (41) obligations (69) (166)
----------------- ---------------
PROFIT/(LOSS) BEFORE
(519) 1,199 (143)% TAXATION 2,900 4,538 (36)%
278 (394) Taxation (806)(1,527)
----------------- ---------------
PROFIT/(LOSS) AFTER
(241) 805 (130)% TAXATION 2,094 3,011 (30)%
(42) (72) Minority interests (194) (249)
----------------- ---------------
(283) 733 (139)% NET PROFIT/(LOSS) 1,900 2,762 (31)%
----------------- ---------------
1,016 1,030 (1)% Net profit beia * 4,090 3,923 4%
----------------------------------------------------------------------
COMBINED EARNINGS PER SHARE
(Constant rates)
- per EUR 0.51
ordinary NV share
(0.30) 0.75 (140)% (Euros) 1.94 2.82 (31)%
- per 1.4p ordinary
PLC share (Euro
(4.50) 11.28 (140)% cents) 29.14 42.33 (31)%
- per EUR 0.51
ordinary NV share -
1.05 1.06 (1)% beia * (Euros) 4.22 4.02 5%
- per 1.4p ordinary
PLC share - beia *
15.75 15.90 (1)% (Euro cents) 63.25 60.31 5%
- per EUR 0.51
ordinary NV share -
(0.31) 0.73 (142)% diluted (Euros) 1.87 2.74 (32)%
- per 1.4p ordinary
PLC share - diluted
(4.61) 10.94 (142)% (Euro cents) 28.04 41.09 (32)%
---------------------------------------------------------------------
* Before exceptional items and amortisation of goodwill and
intangibles
CONSOLIDATED PROFIT AND LOSS ACCOUNT - CURRENT EXCHANGE RATES
(unaudited)
Net profit and earnings per share given below are stated at
current exchange rates i.e. the results in both years have been
translated at the exchange rates prevailing during the appropriate
period.
For further details of the results at current exchange rates and
impact of exchange rate movements see notes on page 17.
EUR Millions -
Fourth Quarter current rates Full Year
------------------------ ----------------------
% Incr./ % Incr.
2004 2003 (Decr.) 2004 2003 /(Decr.)
10,233 10,490 (2)% TURNOVER 40,366 42,942 (6)%
Less: Share of
turnover of joint
(50) (55) ventures (197) (249)
----------------- ----------------
10,183 10,435 (2)% Group turnover 40,169 42,693 (6)%
----------------- ----------------
Group operating
(337) 1,409 (124)% profit/(loss) 3,411 5,483 (38)%
Add: Share of
operating profit
9 8 of joint ventures 44 46
----------------- -----------------
OPERATING
(328) 1,417 (123)% PROFIT/(LOSS) 3,455 5,529 (38)%
----------------------------------------------------------------------
Operating profit
1,395 1,727 (19)% beia * 6,138 6,772 (9)%
(1,453) (22) Exceptional items (1,597) (100)
Amortisation of
goodwill and
(270) (288) intangibles (1,086)(1,143)
----------------------------------------------------------------------
Share of operating
profit of
8 12 associates 42 25
Other income from
5 8 fixed investments 31 (3)
(159) (210) Interest (628) (847)
Other finance
income/(cost) -
pensions and
similar
- (39) obligations (61) (166)
----------------- -----------------
PROFIT/(LOSS)
(474) 1,188 (140)% BEFORE TAXATION 2,839 4,538 (37)%
258 (388) Taxation (782)(1,527)
------------------ -----------------
PROFIT/(LOSS)
(216) 800 (127)% AFTER TAXATION 2,057 3,011 (32)%
(39) (70) Minority interests (181) (249)
------------------ ----------------
NET PROFIT/(LOSS)
AT EXCHANGE RATES
CURRENT IN EACH
(255) 730 (135)% PERIOD 1,876 2,762 (32)%
----------------- -----------------
976 1,019 (4)% Net profit beia * 3,969 3,923 1%
----------------------------------------------------------------------
COMBINED EARNINGS
PER SHARE
Current rates)
- per EUR 0.51
ordinary NV share
(0.27) 0.75 (136)% (Euros) 1.92 2.82 (32)%
- per 1.4p
ordinary PLC
share (Euro
(4.05) 11.23 (136)% cents) 28.78 42.33 (32)%
- per EUR 0.51
ordinary NV share
1.01 1.05 (4)% - beia * (Euros) 4.09 4.02 2%
- per 1.4p
ordinary PLC
share - beia *
15.12 15.72 (4)% (Euro cents) 61.37 60.31 2%
- per EUR 0.51
ordinary NV share
(0.27) 0.73 (138)% - diluted (Euros) 1.85 2.74 (33)%
- per 1.4p
ordinary PLC
share - diluted
(4.18) 10.89 (138)% (Euro cents) 27.69 41.09 (33)%
----------------------------------------------------------------------
Preference dividends (28) (27)
Dividends on ordinary
capital (1,815)(1,682)
---------------
Result for the
year retained 33 1,053
---------------
* Before exceptional items and amortisation of goodwill and
intangibles
STATEMENT OF TOTAL RECOGNISED GAINS AND LOSSES (unaudited)
EUR Millions - current rates Full Year
----------------
2004 2003
Net profit 1,876 2,762
Pensions - actuarial gains / (losses) net of tax (454) (28)
Currency retranslation 83 159
----------------
Total recognised gains for the year 1,505 2,893
----------------
MOVEMENTS IN SHAREHOLDERS' EQUITY (unaudited)
EUR Millions - current rates Full Year
----------------
2004 2003
Shareholders' equity as at 1 January 5,920 4,702
Net profit 1,876 2,762
Dividends (1,843) (1,709)
Goodwill written back on disposals 16 135
Change in book value of shares or certificates held
in connection with share options (324) (400)
Actuarial gains / (losses) on pension schemes net
of tax (454) (28)
Credit in respect of share option costs 222 208
Currency retranslation 121 250
----------------
Shareholders' equity as at 31 December 5,534 5,920
----------------
SUMMARY BALANCE SHEET (unaudited)
EUR Millions - current rates As at 31
December
----------------
2004 2003
Goodwill and intangible assets 15,338 17,713
Other fixed assets 6,473 6,854
Stocks 3,758 4,175
Debtors 5,703 5,881
Cash and current investments 2,603 3,345
Trade and other creditors (10,132) (10,304)
----------------
23,743 27,664
----------------
Borrowings 12,048 15,900
Provisions for liabilities and charges (excluding
pensions and similar obligations) 1,881 1,645
Net pension asset for funded schemes in surplus (456) (490)
Net pension liability for funded schemes in deficit 1,633 1,629
Net pension liability for unfunded schemes 2,741 2,620
Minority interests 362 440
Capital and reserves 5,534 5,920
----------------
23,743 27,664
----------------
CASH FLOW STATEMENT (unaudited)
EUR Millions - current rates Full Year
----------------
2004 2003
Cash flow from group operating activities 6,853 6,780
Dividends from joint ventures 60 52
Returns on investments and servicing of finance (807) (1,180)
Taxation (1,378) (1,423)
Capital expenditure and financial investment (1,044) (1,024)
Acquisitions and disposals 316 622
Dividends paid on ordinary share capital (1,720) (1,715)
----------------
CASH INFLOW / (OUTFLOW) BEFORE MANAGEMENT OF LIQUID
RESOURCES AND FINANCING 2,280 2,112
Management of liquid resources (31) (41)
Financing (2,921) (2,917)
----------------
INCREASE / (DECREASE) IN CASH IN THE PERIOD (672) (846)
----------------
RECONCILIATION OF CASH FLOW TO MOVEMENT IN NET DEBT (unaudited)
EUR Millions - current rates Full Year
----------------
2004 2003
NET DEBT AT 1 JANUARY (12,555) (16,966)
----------------
INCREASE / (DECREASE) IN CASH IN THE PERIOD (672) (846)
Cash flow from (increase) / decrease in borrowings 3,042 2,909
Cash flows arising in connection with finance leases (128) -
Cash flow from increase / (decrease) in liquid
resources 31 41
----------------
Change in net debt resulting from cash flows 2,273 2,104
Borrowings within group companies acquired - (25)
Borrowings within group companies sold 41 5
Liquid resources within group companies sold (2) (3)
Non cash movements (319) 690
Currency retranslation 899 1,640
----------------
MOVEMENT IN NET DEBT IN THE PERIOD 2,892 4,411
----------------
NET DEBT AT 31 DECEMBER (9,663) (12,555)
----------------
OPERATIONAL ANALYSIS (unaudited)
Fourth Quarter EUR Millions Full Year
------------------------- -------------------------------
Constant Rates Current
Rates Constant Rates
------------------------- -----------------------
% %
2004 2003 Incr./ 2004 2004 2003 Incr./
(Decr) (Decr.)
----------------------------------------------------------------------
10,759 10,694 1% TURNOVER 40,366 42,023 42,942 (2)%
----------------------------------------------------------------------
5,880 5,834 1% Foods 22,710 23,480 24,200 (3)%
----------------------------------------------------------------------
Savoury and
2,409 2,355 2% Dressings 8,397 8,713 8,609 1%
Spreads and
Cooking
1,319 1,355 (3)% Products 4,644 4,759 5,028 (5)%
859 851 1% Beverages 3,206 3,376 3,569 (5)%
Ice Cream and
1,293 1,273 2% Frozen Foods 6,463 6,632 6,994 (5)%
----------------------------------------------------------------------
Home and
4,817 4,735 2% Personal Care 17,418 18,285 18,383 (1)%
----------------------------------------------------------------------
1,800 1,828 (2)% Home Care 6,782 7,023 7,230 (3)%
3,017 2,907 4% Personal Care 10,636 11,262 11,153 1%
----------------------------------------------------------------------
62 125 (51)% Other Operations 238 258 359 (28)%
----------------------------------------------------------------------
OPERATING PROFIT
1,470 1,755 (16)% - beia * 6,138 6,386 6,772 (6)%
----------------------------------------------------------------------
842 963 (13)% Foods 3,519 3,632 3,900 (7)%
----------------------------------------------------------------------
Savoury and
532 508 5% Dressings 1,561 1,617 1,496 8%
Spreads and
Cooking
244 264 (8)% Products 766 781 865 (10)%
54 157 (65)% Beverages 390 409 527 (22)%
Ice Cream and
12 34 (66)% Frozen Foods 802 825 1,012 (19)%
----------------------------------------------------------------------
Home and
645 792 (19)% Personal Care 2,637 2,772 2,878 (4)%
----------------------------------------------------------------------
158 219 (28)% Home Care 774 794 914 (13)%
487 573 (15)% Personal Care 1,863 1,978 1,964 1%
----------------------------------------------------------------------
(17) 0 Other Operations (18) (18) (6)(169)%
----------------------------------------------------------------------
OPERATING MARGIN
13.7% 16.4% - beia * 15.2% 15.2% 15.8%
----------------------------------------------------------------
14.3% 16.5% Foods 15.5% 15.5% 16.1%
----------------------------------------------------------------
Savoury and
22.1% 21.6% Dressings 18.6% 18.6% 17.4%
Spreads and
Cooking
18.5% 19.5% Products 16.5% 16.4% 17.2%
6.4% 18.5% Beverages 12.2% 12.1% 14.8%
Ice Cream
and Frozen
0.9% 2.7% Foods 12.4% 12.4% 14.5%
----------------------------------------------------------------
Home and
13.4% 16.7% Personal Care 15.1% 15.2% 15.7%
----------------------------------------------------------------
8.8% 12.0% Home Care 11.4% 11.3% 12.6%
16.1% 19.7% Personal Care 17.5% 17.6% 17.6%
----------------------------------------------------------------
(28.4)% (0.3)% Other Operations (7.9)% (7.0)% (1.9)%
----------------------------------------------------------------
* Before exceptional items and amortisation of goodwill and
intangibles
GEOGRAPHICAL ANALYSIS (unaudited)
---------------------------------
Fourth Quarter EUR Millions Full Year
------------------- -------------------------------
Current
Constant Rates Rates Constant Rates
------------------- ------------------------
% %
Incr./ Incr./
2004 2003 (Decr) 2004 2004 2003 (Decr.)
----------------------------------------------------------------------
10,759 10,694 1% TURNOVER 40,366 42,023 42,942 (2)%
----------------------------------------------------------------------
4,364 4,407 (1)% Europe 17,409 17,392 18,297 (5)%
North
2,498 2,436 3% America 8,992 9,821 9,869 (0)%
Africa,
Middle
East &
860 845 2% Turkey 3,274 3,302 3,302 0%
Asia and
1,792 1,821 (2)% Pacific 6,474 6,954 7,094 (2)%
Latin
1,245 1,185 5% America 4,217 4,554 4,380 4%
----------------------------------------------------------------------
OPERATING PROFIT -
1,470 1,755 (16)% beia * 6,138 6,386 6,772 (6)%
----------------------------------------------------------------------
616 628 (2)% Europe 2,864 2,858 3,032 (6)%
North
381 563 (32)% America 1,382 1,514 1,660 (9)%
Africa, Middle
East &
61 111 (45)% Turkey 399 399 438 (9)%
Asia and
182 269 (32)% Pacific 802 870 1,024 (15)%
Latin
230 184 24% America 691 745 618 20%
----------------------------------------------------------------------
OPERATING MARGIN -
13.7% 16.4% beia * 15.2% 15.2% 15.8%
-------------------------------------------------------------
14.1% 14.3% Europe 16.4% 16.4% 16.6%
North
15.3% 23.1% America 15.4% 15.4% 16.8%
Africa,
Middle East &
7.1% 13.1% Turkey 12.2% 12.1% 13.3%
Asia and
10.2% 14.8% Pacific 12.4% 12.5% 14.4%
Latin
18.4% 15.5% America 16.4% 16.4% 14.1%
-----------------------------------------------------------------
* Before exceptional items and amortisation of goodwill and
intangibles
DIVIDENDS The Boards have resolved to recommend to the Annual General Meetings for NVand PLC, to be held on 10 May 2005 and 11 May 2005 respectively, the declaration of final dividends in respect of 2004 on the Ordinary capitals at the following rates which are equivalent in value at the rate of exchange applied in terms of the Equalisation Noun 1. equalisation - the act of making equal or uniform equalization, leveling human action, human activity, act, deed - something that people do or cause to happen Agreement between the two companies: Unilever N.V. EUR 1.26 per ordinary share (2003: EUR 1.15), bringing the total of NV's dividend for 2004 to EUR 1.89 per ordinary share (2003: EUR 1.74). Unilever PLC 12.82p per ordinary share (2003: 11.92p), bringing the total of PLC's dividend for 2004 to 19.15p per ordinary share (2003: 18.08p). The NV final dividend will be paid on 13 June June: see month. 2005, to shareholders registered at close of business on 11 May 2005. The PLC final dividend will be paid on 13 June 2005, to shareholders registered at close of business on 20 May 2005. Dividend on New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of shares of NV US dollar cheques for the final dividend on the New York Shares of EUR 0.51* nominal Trifling, token, or slight; not real or substantial; in name only. Nominal capital, for example, refers to extremely small or negligible funds, the use of which in a particular business is incidental. NOMINAL. Relating to a name. amount after deduction deduction, in logic, form of inference such that the conclusion must be true if the premises are true. For example, if we know that all men have two legs and that John is a man, it is then logical to deduce that John has two legs. of Netherlands withholding tax The amount legally deducted from an employee's wages or salary by the employer, who uses it to prepay the charges imposed by the government on the employee's yearly earnings. at the appropriate rate, converted at the euro/dollar European Central Bank European Central Bank (ECB) Bank created to monitor the monetary policy of the countries that have converted to the Euro from their local currencies. The original 11 countries are: Austria, Belgium, Finland, France, Germany, Ireland, Italy, Luxembourg, the Netherlands, Portugal, rate of exchange on 10 May 2005 will be mailed on 10 June 2005 to holders of record at the close of business on 16 May 2005. If converted at the euro/dollar rate of exchange on 9 February 2005, the NV final dividend would be US $1.608012 per New York share (2003 final dividend: US $1.363555 actual payment) before deduction of Netherlands withholding tax. With the interim dividend in respect of 2004 of US $0.805392 at the actual euro/dollar conversion rate, already paid, this would result in a total for interim and final dividends in respect of 2004 of US $2.413404 per New York Share (2003: US $2.052262 actual payment). * The euro amounts of share capital shown above are representations in euros on the basis of article 67c Book 2 Dutch Civil Code of underlying amounts of share capital in Dutch guilders. Dividend on American Depositary Receipts American Depositary Receipt (ADR) Certificates issued by a US depository bank, representing foreign shares held by the bank, usually by a branch or correspondent in the country of issue. of PLC US Dollar cheques for the final dividend on the American Depositary Receipts in PLC converted at the sterling/dollar rate of exchange current in London London, city, Canada London, city (1991 pop. 303,165), SE Ont., Canada, on the Thames River. The site was chosen in 1792 by Governor Simcoe to be the capital of Upper Canada, but York was made capital instead. London was settled in 1826. on 11 May 2005 will be mailed on 10 June 2005 to holders of record at the close of business on 20 May 2005. Each American Depositary Receipt in PLC represents four 1.4p ordinary shares in PLC. The PLC final dividend will therefore be 51.28p per American Depositary Receipt in PLC. If converted at the sterling/dollar rate of exchange on 9 February 2005, the PLC final dividend would be US $0.9547 per American Depositary Receipt in PLC (2003 final dividend: US $0.8449 actual payment). With the interim dividend in respect of 2004 of US $0.4654 at the actual sterling/dollar conversion rate, already paid, this would result in a total for interim and final dividends in respect of 2004 of US $1.4201 per American Depositary Receipt in PLC (2003: US $1.2616 actual payment). NOTES Exchange rate conventions The following exchange rate conventions have been applied: In the profit and loss account information given on page 10 and the segmental segmental /seg·men·tal/ (seg-men´t'l) 1. pertaining to or forming a segment or a product of division, especially into serially arranged or nearly equal parts. 2. undergoing segmentation. analysis on pages 14 and 15, the results for 2004 and the comparative figures for 2003 have been translated at constant exchange rates, being the annual average exchange rates for 2003. This reporting convention facilitates comparisons since the impact of exchange rate fluctuations is eliminated, and is the basis on which we measure our operational performance internally. It also forms the basis for target setting and the annual outlook statement. For our reporting currencies Reporting Currency The currency used in published reports and financial documents. Notes: All annual and quarterly reports state the currency in which their results are listed. these rates were EUR 1 = GBP 0.69 = US $1.13. The profit and loss account information given on page 11 and the cash flow statement on page 13 are translated at rates current in each period. For our reporting currencies these rates were EUR 1 = GBP 0.68 = US $1.24 for 2004 and EUR 1 = GBP 0.69 = US $1.13 for 2003. Additional segmental analysis translated at current exchange rates is given on pages 14 and 15. The balance sheet figures have been translated at period-end rates of exchange. For our reporting currencies these were EUR 1 = GBP 0.71 = US $1.37 at 31 December December: see month. 2004 and EUR 1 = GBP 0.71 = US $1.26 at 31 December 2003. Acquisitions and disposals On 1 December 2004, we announced an agreement to sell our frozen pizza pizza Food of Neapolitan origin. It consists of a flattened disk of bread dough, typically topped with olive oil, tomatoes, and mozzarella cheese, baked quickly, and served hot. Pizza is eaten throughout Italy, with regional variations in toppings. Pizza came to the U.S. business and baguette business to Dr Oetker of Bielefeld Bielefeld (bē`ləfĕlt), city (1994 pop. 324,670), North Rhine–Westphalia, N central Germany. It has been noted since the 13th cent. for its handmade linens. , Germany Germany (jûr`mənē), Ger. Deutschland, officially Federal Republic of Germany, republic (2005 est. pop. 82,431,000), 137,699 sq mi (356,733 sq km). , subject to regulatory approval where required. This approval is expected to be confirmed early in 2005. On 15 December 2004, we announced our intention to restructure our foods business in Portugal Portugal (pôr`chəgəl), officially Portuguese Republic, republic (2005 est. pop. 10,566,000), 35,553 sq mi (92,082 sq km), SW Europe, on the western side of the Iberian Peninsula and including the Madeira Islands and the Azores in the with our joint venture partner, Jeronimo Martins Group, subject to regulatory approval. This approval was received on 2 February 2005. COMBINED EARNINGS PER SHARE The combined earnings per share calculations are based on the average number of share units representing the combined ordinary shares of NV and PLC in issue during the year, less the average number of shares held to meet options granted under various employee share plans. The number of combined share units is calculated from the underlying NV and PLC shares using the exchange rate of GBP 1 = EUR 5.445, in accordance Accordance is Bible Study Software for Macintosh developed by OakTree Software, Inc.[] As well as a standalone program, it is the base software packaged by Zondervan in their Bible Study suites for Macintosh. with the Equalisation Agreement. The diluted earnings per share diluted earnings per share An earnings measure calculated by dividing net income less preferred stock dividends for a period by the average number of shares of common stock that would be outstanding if all convertible securities were converted into shares of are based on the average number of share units, plus all shares under option, together with certain PLC shares which may be issued in 2038 under the arrangements for the variation of the Leverhulme Trust The Leverhulme Trust is a research and educational charity based in London, England. Founded in 1925 after the death of the Victorian entrepreneur William Hesketh Lever to continue his philanthropic work, the Trust was originally endowed with a shareholding in Lever and the NV shares issuable on conversion of the EUR 0.05 preference shares. The number of shares under option is reduced, in accordance with FRS FRS abbr. Fellow of the Royal Society FRS, n “flexed rotated side-bent,” an osteopathic abbreviation used to describe vertebral position in cases of spinal dysfunction. 14, by the number of shares that could be purchased at fair value with the expected proceeds from the exercise of options by employees. The financial statements attached do not constitute the full financial statements within the meaning of S420 of the Companies Act 1985. Full accounts for Unilever for the year ended 31 December 2003 have been delivered to the Registrar of Companies The introduction to this article provides insufficient context for those unfamiliar with the subject matter. Please help [ improve the introduction] to meet Wikipedia's layout standards. You can discuss the issue on the talk page. . The auditors' report on these accounts was unqualified and did not contain a statement under S237(2) or S237(3) of the Companies Act 1985.
Earnings per share in Euro for the year
Constant rates Current rates
--------------------------------------------
2004 2003 2004 2003
Thousands of units
Average number of combined
share units of EUR 0.51 963,407 968,907 963,407 968,907
Average number of combined
share units of 1.4p 6,422,715 6,459,377 6,422,715 6,459,377
COMBINED EPS EUR Millions
------------
Net profit 1,900 2,762 1,876 2,762
Less: Preference
dividends (28) (27) (28) (27)
--------------------------------------------
Net profit attributable to
ordinary capital 1,872 2,735 1,848 2,735
--------------------------------------------
Combined EPS per EUR 0.51
(Euros) 1.94 2.82 1.92 2.82
Combined EPS per 1.4p
(Euro cents) 29.14 42.33 28.78 42.33
--------------------------------------------
COMBINED EPS - beia * EUR Millions
---------------------
Net profit 1,900 2,762 1,876 2,762
Add back exceptional items
net of tax 1,102 67 1,057 67
Add back amortisation of
goodwill / intangibles
net of tax 1,088 1,094 1,036 1,094
--------------------------------------------
Net profit beia * 4,090 3,923 3,969 3,923
Less: Preference
dividends (28) (27) (28) (27)
--------------------------------------------
Net profit attributable to
ordinary capital - beia * 4,062 3,896 3,941 3,896
--------------------------------------------
Combined EPS - beia* per
EUR 0.51 (Euros) 4.22 4.02 4.09 4.02
Combined EPS - beia* per
1.4p (Euro cents) 63.25 60.31 61.37 60.31
--------------------------------------------
COMBINED EPS - Diluted Thousands of units
----------------------
Adjusted average combined
share units of EUR 0.51 1,012,545 998,141 1,012,545 998,141
Adjusted average combined
share units of 1.4p 6,750,301 6,654,276 6,750,301 6,654,276
EUR Millions
Adjusted net profit
attributable to ordinary
capital 1,893 2,735 1,869 2,735
Combined diluted EPS per
EUR 0.51 (Euros) 1.87 2.74 1.85 2.74
Combined diluted EPS per
1.4p (Euro cents) 28.04 41.09 27.69 41.09
--------------------------------------------
* Before exceptional items and amortisation of goodwill and
intangibles
Dates The Annual Report and Accounts 2004 will be published on 24 March 2005. The restatement Restatement A revision in a company's earlier financial statements. Notes: The need for restating financial figures can result from fraud, misrepresentation, or a simple clerical error. of 2004 results on an IFRS IFRS International Financial Reporting Standard(s) IFRS Inter Frame Relay Service IFRS Indiana Facilities Registry System basis will be published shortly thereafter, and the provisional Temporary; not permanent. Tentative, contingent, preliminary. A provisional civil service appointment is a temporary position that fills a vacancy until a test can be properly administered and statutory requirements can be fulfilled to make a permanent appointment. results for the first quarter 2005 under IFRS will be published on Friday Friday: see Sabbath; week. Friday young Indian rescued by Crusoe and kept as servant and companion. [Br. Lit.: Robinson Crusoe] See : Servant 6 May 2005. 10 February 2005 Unilever N.V. Weena 455 PO Box 760 3000 DK Rotterdam Internet Internet Publicly accessible computer network connecting many smaller networks from around the world. It grew out of a U.S. Defense Department program called ARPANET (Advanced Research Projects Agency Network), established in 1969 with connections between computers at the : www.unilever.com |
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