Unilever reported its strongest sales growth in over a decade, prompting the consumer goods company to raise its full-year outlook and driving its shares higher. The results, released on July 28, 2026, reflect the impact of a strategic overhaul under CEO Fernando Fernández, who has focused the company on its beauty and personal care divisions while spinning off parts of its food business.

In the second quarter, Unilever’s underlying sales increased by 5.8%, beating analysts’ expectations of around 4%, with sales volumes rising 5.5%, marking the best quarterly volume growth since 2010. Revenue reached £11.1 billion (€13.05 billion), exceeding forecasts. The company attributed much of this success to strong performances in its core “power brands” such as Dove, Sunsilk, Vaseline, Lynx, and Rexona, supported by extensive marketing during the recent World Cup. Fernández highlighted the event as a “pivotal moment” and noted Unilever’s deployment of 50,000 social media content creators to amplify its sponsorships on an unprecedented scale.

Emerging markets also contributed to the positive results, with notable growth in India and Latin America. Fernández stated that the company’s focused portfolio and sharper execution were driving demand despite broader consumer uncertainty linked to geopolitical tensions, including the Iran conflict.

The updated guidance projects annual revenue growth between 4% and 6%, an upward revision from earlier expectations skewed toward the lower end of that range. Volume growth is now anticipated at about 3%, surpassing prior forecasts of at least 2%. Unilever also expects underlying operating profit for the full year to improve modestly, with management citing some temporary factors that eased pricing pressures in the second quarter due to World Cup promotions but warning that commodity price volatility—particularly for crude oil, petrochemicals, and vegetable oils—will likely lead to further price increases in the latter half of the year.

Fernández’s strategic decisions have included the planned spin-off of Unilever’s multi-billion-dollar ice cream division, which houses brands such as Ben & Jerry’s and Magnum, as well as a $44.8 billion deal to merge Unilever’s remaining food business with American spice company McCormick. While the food segment has faced tougher conditions, particularly in developed markets and the US condiments category, Unilever has outlined targeted plans to improve performance in this area.

Market analysts reacted positively to the results, with brokers describing the volume growth as an exceptional performance and highlighting Unilever as a stable investment amid volatility in other sectors such as AI technology stocks. The company’s shares surged about 8% to close near £50, reflecting investor confidence in the ongoing transformation.