Emerging markets, exchange rates lift Unilever sales

THE HAGUE - Anglo-Dutch food and cosmetics giant Unilever said Thursday that its third quarter sales soared 10.3 percent to 13.36 billion euros ($17.33 billion), lifted by emerging markets and favourable exchange rates.

The figure was slightly higher than the 13.28 billion euros predicted by analysts questioned by Dow Jones Newswires.

The impact of favourable exchange rates was valued at 4.1 percent. Underlying sales growth stood at 5.9 percent year on year with underlying sales growth by volume up 3.4 percent and by price up 2.4 percent.

"Market volumes continued to grow in emerging markets," Unilever said, where sales were up 12.1 percent.

Sales in Europe were up just 0.9 percent and Unilever has had to lower its prices as the debt crisis continues to bite.

"It is clear that the environment will remain challenging," said chief executive Paul Polman in a statement. "Commodity cost inflation is high and remains volatile and there is no sign that the level of competition will ease."

One of the world's leading suppliers of consumer goods, Unilever owns a wide variety of brands including Knorr, Lipton, Dove and Vaseline. It employs 167,000 workers in 100 countries.