Unilever launches buyback, CEO demands improvements

STORY: Unilever launched a $1.6 billion share buyback on Thursday (February 8).

The British firm made the announcement as volumes rose for the first time in 10 quarters.

Investors liked what they heard and shares rose as much as 4%.

But the group's CEO said its performance still needed to improve.

Hein Schumacher further said Unilever's competitiveness remains "disappointing".

He added the firm is moving with speed to transform into a consistently higher performing business.

The maker of Dove soap and Hellmann's condiments said its full-year underlying operating profit rose 2.6% to $10.65 billion.

But that missed analyst expectations.

The consumer goods industry has struggled to protect margins as everything has became more costly due to the global health crisis.

Russia's invasion of Ukraine also sent energy costs to record highs.

Some companies have started to ease price hikes in step with slowing inflation.

Unilever said it expects "modest improvement" in underlying operating margin for the full year.

The company also reported a roughly 5% rise in fourth-quarter underlying sales, which matched analyst forecasts.