Unilever shares rally on stellar Q2 volumes
ii’s head of investment reports on latest results from the consumer goods giant.
28th July 2026 09:03
by Victoria Scholar from interactive investor
Unilever (LSE:ULVR) reported second-quarter underlying sales growth (USG) of 5.8%, beating forecasts for 4.3%. The consumer goods giant also upgraded its full-year outlook.
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The company now anticipates 2026 USG of between 4% and 6% up from its previous guidance for the lower end of that range and says second half USG will land between 4% and 5%.
Unilever has benefitted from strong volumes and a robust performance across its Power Brands which accounted for 78% of turnover. Consumers continued to demand Unilever’s branded products, rather than switching to unbranded cheaper alternatives despite cost-of-living pressures, proving the strength of Unilever products’ brand loyalty. North America was a bright spot delivering solid growth, and the group delivered its best quarter for volumes in over a decade.
Today’s price action brings a welcome reprieve to shareholders, with the stock jumping to the top of the FTSE 100, gaining around 6% and pushing the company into positive territory year-to-date.
Unilever has had a challenging ride this year, caught up in cost pressures from the Iran war, consumer headwinds, and shareholder discontentment around the McCormick foods business deal. CEO Fernando Fernandez would argue that he has been taking decisive action to simplify and modernise the business.
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Amid the improved earnings backdrop underpinned by strong volumes, perhaps investors are starting to get on board with Unilever’s turnaround and its clear strategic direction as Fernandez focuses the portfolio on Home & Personal Care.
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