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Report & accounts 2002 in full - Unilever

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32 Operat<strong>in</strong>g review by category – Home & Personal Care<br />

position <strong>in</strong> Brazil and South Africa and to achieve market<br />

share ga<strong>in</strong>s <strong>in</strong> such countries as Morocco and Thailand.<br />

In Morocco, Omo overtook its rivals to become the market<br />

leader. In Thailand, new <strong>in</strong>novations helped the brand to<br />

extend its leadership, while <strong>in</strong> South Africa it ma<strong>in</strong>ta<strong>in</strong>ed its<br />

strong leadership position <strong>in</strong> a grow<strong>in</strong>g market.<br />

Consumers <strong>in</strong>creas<strong>in</strong>gly demand detergents that don’t just<br />

clean their clothes but are also gentle on their sk<strong>in</strong>. In the<br />

UK, we lead this grow<strong>in</strong>g ‘k<strong>in</strong>d to sk<strong>in</strong>’ market with Persil<br />

Non-Bio. To re<strong>in</strong>force our position <strong>in</strong> the sector we launched<br />

Persil Aloe Vera. This success<strong>full</strong>y <strong>in</strong>troduced new customers<br />

to the brand. Dur<strong>in</strong>g <strong>2002</strong>, Persil achieved its highest market<br />

share for 10 years.<br />

On 3 May <strong>2002</strong> we completed the sale of our DiverseyLever<br />

bus<strong>in</strong>ess to Johnson Professional Hold<strong>in</strong>gs Inc., lead<strong>in</strong>g to a<br />

10% reduction <strong>in</strong> turnover, despite underly<strong>in</strong>g sales growth<br />

of 1%.<br />

2001 results compared with 2000 at<br />

current exchange rates<br />

€ million € million %<br />

2001 2000 Change<br />

Turnover 10 467 10 284 2%<br />

Operat<strong>in</strong>g profit 667 578 15%<br />

Group turnover 10 432 10 258 2%<br />

Group operat<strong>in</strong>g profit 666 578 15%<br />

2001 results compared with 2000 at<br />

constant 2000 exchange rates<br />

€ million € million %<br />

2001 2000 Change<br />

Turnover 10 884 10 284 6%<br />

Operat<strong>in</strong>g profit BEIA 926 917 1%<br />

Exceptional items (209) (323)<br />

Amortisation of goodwill<br />

and <strong>in</strong>tangibles (19) (16)<br />

Operat<strong>in</strong>g profit 698 578 21%<br />

Operat<strong>in</strong>g marg<strong>in</strong> 6.4% 5.6%<br />

Operat<strong>in</strong>g marg<strong>in</strong> BEIA 8.5% 8.9%<br />

In 2001, turnover rose by 6%, however, operat<strong>in</strong>g marg<strong>in</strong><br />

BEIA was slightly down.<br />

Laundry products generated nearly a third of the division’s<br />

<strong>in</strong>come. In 2001, we reta<strong>in</strong>ed our clear leadership <strong>in</strong> tablets <strong>in</strong><br />

Europe, however, <strong>in</strong> Canada and the US, tablets showed slow<br />

consumer uptake.<br />

Build<strong>in</strong>g on the success of tablets <strong>in</strong> Europe, we launched<br />

liquid capsules. These provide the convenience and efficiency<br />

of laundry tablets for those consumers who prefer to use<br />

liquid detergents.<br />

We demonstrated the endur<strong>in</strong>g appeal of our laundry brands<br />

<strong>in</strong> South Lat<strong>in</strong> America, emerg<strong>in</strong>g after two years of <strong>in</strong>tense<br />

competition with significantly improved profitability.<br />

<strong>Unilever</strong> Annual <strong>Report</strong> & Accounts and Form 20-F <strong>2002</strong><br />

We made significant progress <strong>in</strong> align<strong>in</strong>g all laundry detergent<br />

and fabric conditioners beh<strong>in</strong>d a limited number of our<br />

lead<strong>in</strong>g brands, such as Omo, Skip, Surf, Comfort and<br />

Snuggle. We rolled out standardised Omo packag<strong>in</strong>g and<br />

advertis<strong>in</strong>g <strong>in</strong> Lat<strong>in</strong> America, Asia and Pacific, Africa, Middle<br />

East and Turkey. In India, as part of this alignment, we<br />

relaunched the popular Surf brand, <strong>in</strong>vest<strong>in</strong>g <strong>in</strong> an improved<br />

formulation and doubl<strong>in</strong>g market<strong>in</strong>g support.<br />

We extended the Comfort fabric conditioner brand with the<br />

successful launch of Comfort Vaporesse <strong>in</strong> Europe. Comfort<br />

Vaporesse liquid is poured <strong>in</strong>to the water wells of steam irons,<br />

mak<strong>in</strong>g fabrics smell fresher and prevent<strong>in</strong>g limescale.<br />

We extended the Domestos brand, launch<strong>in</strong>g Domestos<br />

Bi-Actif and Domestos WC Active Mousse <strong>in</strong> Europe and,<br />

<strong>in</strong> Asia, reach<strong>in</strong>g new consumers with products tailored for<br />

low-<strong>in</strong>come families. Other successes <strong>in</strong> household clean<strong>in</strong>g<br />

<strong>in</strong>cluded further <strong>in</strong>novations <strong>in</strong> Cif wipes.<br />

In professional clean<strong>in</strong>g, DiverseyLever enjoyed a strong year<br />

with growth <strong>in</strong> both turnover and operat<strong>in</strong>g profit.

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