Unilever has recorded a 4.2% annual increase in its underlying sales growth, after what some analysts have labelled a "patchy period".

The British fast-moving consumer goods company saw its turnover in 2024 increase by 1.9% to €60.8bn (£50.66bn), with beauty and wellbeing products sales growth leading the range by increasing by 6.5%.

The firm’s power brands also saw growth of 5.3%, while its volumes increasing by 3.8%.

Unilever’s operating profit jumped by 12.6% across the period to €11.2bn (£9.33bn), while its earnings per share increased by 14.7% to €2.98 (£2.48).

Chief executive officer at Unilever, Hein Schumacher, said: "Today's results reflect a year of significant activity as we focused on transforming Unilever into a consistently higher performing business.

"Under the growth action plan, we committed to doing fewer things, better and with greater impact. We executed the plan at pace and made progress in 2024. Underlying sales grew 4.2% with volumes up 2.9%, led by our power brands, with particularly strong performances from Dove, Comfort, Vaseline and Liquid I.V. Fewer, bigger innovations helped to deliver volume growth consistently above 2% in each quarter."

The news comes as the firm looks to give its ice cream business a primary stock listing in Amsterdam, with the demerger plans being part of its turnaround strategy.

As a result, Unilever will have a primary listing in Amsterdam, alongside additional listings in London and New York.

In its outlook, the company expects growth to be between 3% and 5%.

With market growth slowing in 2024, Unilever anticipates a "slower start to 2024 with subdued market growth in the near term".

Investment director at AJ Bell, Russ Mould, concluded: "Unilever has done a good job at increasing sales volumes, margins and cash flow, implying the business is finally getting back on top after a patchy period. A bump in the dividend and a new €1.5bn (£1.25bn) share buyback are the cherry on the cake.

"The business has beefed-up investment in brand and product marketing, and it continues to right-size the business by selling non-core brands and buying new ones.

"Unilever expects a ‘soft’ first half of 2025 with subdued market growth in the near-term. That guidance has spoilt the party and reminded investors that Unilever is still at the mercy of the global economy and consumers’ ability and willingness to splash the cash. It is guiding for prices to go up, to offset higher commodity costs, and that will test consumers’ appetite for Unilever’s brands."

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