Unilever Plc raised its full-year sales forecast on Thursday, reporting higher-than-expected third-quarter sales growth as it continued to raise prices to offset rising costs.
The maker of Dove soap and Knorr bouillon bars posted core sales growth of 10.6%. Analysts expected growth of 8%, according to the average provided by the company.
Unilever said it now forecasts full-year 2022 core sales growth to be above 8%. In July, the company said it now expected to beat its previous forecast for full-year core sales growth of 4.5% to 6.5%.
Like the rest of the consumer goods industry, Unilever’s margins have been squeezed since the start of the war in Ukraine, which has pushed up the costs of energy and essential ingredients. Therefore, the company has sharply raised prices.
The public paid 12.5% more for Unilever products in the quarter, and sales volume decreased 1.6%.