\u20ac million | Argentina | Turkey | Total |
Total assets increase/(reduction) | (199) | (20) | (219) |
Turnover increase/(reduction) | (90) | (16) | (106) |
Operating profit increase/(reduction) | (54) | (46) | (100) |
Net monetary gain/(loss) | (46) | (10) | (56) |
Applicable standard | Key requirements or changes in accounting policy |
Amendments to IFRS 9 and IFRS 7 \u2018The Classification and Measurement of Financial instruments\u2019 Effective from 1 January 2026 | In May 2024, the International Accounting Standards Board (IASB) amended IFRS 7 and IFRS 9, which includes clarifications on recognition and derecognition dates of certain financial assets and liabilities, including exceptions for\u00a0liabilities settled through electronic cash transfer systems. |
IFRS 18 Presentation and Disclosure in Financial Statements Effective 1 January 2027 | IFRS 18 will replace IAS 1 Presentation of Financial Statements. The amendment impacts presentation and disclosure of the consolidated income statement with new defined categories being operating, investing and financing to provide a\u00a0consistent structure. Disclosures about Management-defined Performance Measures (MPMs) (i.e. certain non-GAAP measures) will have to\u00a0be disclosed in the financial statement with reconciliations to GAAP measures. The new standard will also provide guidance on grouping of information (aggregation/disaggregation). The Group has commenced its assessment of IFRS 18 Presentation and Disclosure in Financial Statements (effective 1\u00a0January 2027), with the main impacts expected on the presentation of the consolidated income statement and the disclosure of Management Performance Measures. The standard will be applied from its mandatory effective date of 1\u00a0January 2027. Final impact assessment and transition activities will take place during 2026. |
\u20ac million | Argentina | Turkey | Total |
Total assets increase/(reduction) | (199) | (20) | (219) |
Turnover increase/(reduction) | (90) | (16) | (106) |
Operating profit increase/(reduction) | (54) | (46) | (100) |
Net monetary gain/(loss) | (46) | (10) | (56) |
Applicable standard | Key requirements or changes in accounting policy |
Amendments to IFRS 9 and IFRS 7 \u2018The Classification and Measurement of Financial instruments\u2019 Effective from 1 January 2026 | In May 2024, the International Accounting Standards Board (IASB) amended IFRS 7 and IFRS 9, which includes clarifications on recognition and derecognition dates of certain financial assets and liabilities, including exceptions for\u00a0liabilities settled through electronic cash transfer systems. |
IFRS 18 Presentation and Disclosure in Financial Statements Effective 1 January 2027 | IFRS 18 will replace IAS 1 Presentation of Financial Statements. The amendment impacts presentation and disclosure of the consolidated income statement with new defined categories being operating, investing and financing to provide a\u00a0consistent structure. Disclosures about Management-defined Performance Measures (MPMs) (i.e. certain non-GAAP measures) will have to\u00a0be disclosed in the financial statement with reconciliations to GAAP measures. The new standard will also provide guidance on grouping of information (aggregation/disaggregation). The Group has commenced its assessment of IFRS 18 Presentation and Disclosure in Financial Statements (effective 1\u00a0January 2027), with the main impacts expected on the presentation of the consolidated income statement and the disclosure of Management Performance Measures. The standard will be applied from its mandatory effective date of 1\u00a0January 2027. Final impact assessment and transition activities will take place during 2026. |
Segmental reporting Following the demerger of the Ice Cream business, the Group\u2019s operating and reportable segments are the four Business Groups of Beauty & Wellbeing, Personal Care, Home Care and Foods (previously reported as Nutrition). The segmental disclosure provided is consistent with information reviewed by our chief operating decision-maker, the Unilever Leadership Executive. | |
Beauty & Wellbeing | \u25a0 primarily sales of hair care (shampoo, conditioner, styling), skin care (face, hand and body moisturisers), and includes Prestige\u00a0Beauty and Wellbeing. |
Personal Care | \u25a0 primarily sales of skin cleansing (soap, shower), deodorant and oral care (toothpaste, toothbrush, mouthwash)\u00a0products. |
Home Care | \u25a0 primarily sales of fabric care (washing powders and liquids, rinse conditioners) and a wide range of home and hygiene cleaning\u00a0products. |
Foods (previously Nutrition) | \u25a0 primarily sales of cooking aids & mini-meals (soups, bouillons, seasonings), condiments (mayonnaise, ketchup) and Unilever Food Solutions. |
Revenue Turnover comprises sales of goods after the deduction of discounts, sales taxes and estimated returns. It does not include sales between group companies. Discounts given by Unilever include rebates, price reductions and incentives given to customers, promotional couponing and trade communication costs, and are based on the contractual arrangements with each customer. Discounts can either be immediately deducted from the sales value on the invoice or off-invoice and settled later through credit notes when the precise amounts are known. Amounts provided for discounts at the end of a period require estimation; historical data and accumulated experience are used to assess the provision using the most likely amount method and in most instances, the discount can be recognised using known facts with a high level of accuracy. Any differences between actual amounts settled and the amounts provided are recognised in the subsequent reporting period and are not material year-on-year. Rebate accruals, representing the unsettled portion of variable consideration due back to customers not yet invoiced, totalled \u20ac3,481 million at 31 December 2025 (2024: \u20ac3,815 million; 2023: \u20ac3,816 million). Customer contracts generally contain a single performance obligation and turnover is recognised when control of the products being sold has transferred to our customer, as there are no longer any unfulfilled obligations to the customer. This is generally on delivery to the customer but depending on individual customer terms, this can be at the time of dispatch, delivery or upon formal customer acceptance. This is considered the appropriate point where the performance obligations in our contracts are satisfied as Unilever no longer has control over the inventory. Our customers have the contractual right to return goods only when authorised by Unilever. If material, an estimate is made of goods that will be\u00a0returned, and a liability is recognised for this amount. An asset is then recorded for the corresponding inventory that is estimated to return to\u00a0Unilever using a best estimate based on accumulated experience. Our customers are distributors who may be able to return unsold goods in consignment arrangements. Underlying operating profit Underlying operating profit means operating profit before the impact of non-underlying items within operating profit. Underlying operating profit represents our measure of segment profit or loss as it is the primary measure used for the purpose of making decisions about allocating resources and\u00a0assessing performance of segments. Items are classified as non-underlying due to their nature and/or frequency of occurrence. |
Operating costs Operating costs include cost of sales, brand and marketing investment, overheads and other items including gains and losses on business disposals, acquisition and disposal-related costs, restructuring costs, impairments and other items within operating profit recognised separately due to their nature and/or frequency. (i) Cost of sales Cost of sales includes the cost of inventories sold during the period and distribution costs. The cost of inventories are raw and packaging materials and\u00a0related production costs. Distribution costs are charged to the income statement as incurred. (ii) Brand and marketing investment Brand and marketing investment include costs related to creating and maintaining brand equity and brand awareness. This includes media, advertising production, promotional materials and engagement with consumers. These costs are charged to the income statement as incurred. (iii) Overheads Overheads include staff costs associated with sales activities and central functions such as finance, human resources, and research and development costs. Research and development costs are staff costs, material costs, depreciation of property, plant and equipment, patent costs and other costs that are directly attributable to research and product development activities. These costs are charged to the income statement as\u00a0incurred. (iv) Restructuring costs Restructuring costs are costs that are directly attributable to a restructuring project. Management define a restructuring project as a strategic, major initiative that delivers cost savings and materially change either the scope of the business or the manner in which the business is conducted. (v) Acquisition and disposal-related costs Acquisition and disposal-related costs are costs that are directly attributable to a business acquisition or disposal project. (vi) Impairment of assets Impairment of assets including goodwill, intangible assets and property, plant and equipment. (vii) Gains or losses from the disposal of group companies Gains or losses from the disposal of group companies which arise from business disposal projects. (viii) Others Other approved one-off items are those additional matters considered by management to be significant and outside the course of normal operations. |
For defined benefit plans, operating and finance costs are recognised separately in the income statement. The amount charged to operating cost in\u00a0the income statement is the cost of accruing pension benefits promised to employees over the year, administration costs (other than costs of managing plan assets), plus the costs of individual events such as past service benefit changes, settlements and curtailments (such events are recognised immediately in the income statement). The amount charged or credited to finance costs is a net interest expense calculated by applying the liability discount rate to the surplus or deficit. Any differences between the expected interest on assets and the return actually achieved, and any changes in the liabilities over the year due to\u00a0changes in assumptions or experience within the plans, are recognised immediately in the statement of comprehensive income. The defined benefit plan surplus or deficit on the balance sheet comprises the total for each plan of the fair value of plan assets less the present value\u00a0of the defined benefit liabilities (using a discount rate based on high-quality corporate bonds, or a suitable alternative where there is no active corporate bond market) adjusted for irrecoverable surpluses. All defined benefit plans are subject to regular actuarial review using the projected unit method by external consultants. The Group policy is that the\u00a0most material plans, representing approximately 81% of the defined benefit liabilities, are formally valued every year. Other material plans, accounting for a further 14% of the liabilities, have their liabilities updated each year. Group policy for the remaining plans requires a full actuarial valuation at least every three years. Asset values for all plans are updated every year. For defined contribution plans, the charges to the income statement are the company contributions payable, as the company\u2019s obligation is limited to\u00a0the contributions paid into the plans. The assets and liabilities of such plans are not included in the balance sheet of the Group. | ||||
The fair value of awards at grant date is calculated using observable market price. This value is expensed over their vesting period, with a corresponding credit to equity. The expense is reviewed and adjusted to reflect changes to the level of awards expected to vest, except where this arises from a failure to meet a market condition. Any cancellations are recognised immediately in the income statement. | ||||
Net finance costs comprise finance costs and finance income, including net finance income in relation to pensions and similar obligations. Finance income includes income on cash and cash equivalents and income on other financial assets. Finance costs include interest costs in\u00a0relation to\u00a0financial liabilities. This includes interest on lease liabilities which represents the unwind of the discount rate applied to lease\u00a0liabilities. Borrowing costs are recognised based on the effective interest method. |
Income tax on the profit for the year comprises current and deferred tax. Income tax is recognised in the income statement except to the extent that it relates to items recognised directly in equity. Current tax is the expected tax payable on the taxable income for the year, using tax rates enacted or substantively enacted at the balance sheet date, and any adjustments to tax payable in respect of previous years. Current tax in the consolidated income statement will differ from the income tax paid in the consolidated cash flow statement primarily because of deferred tax arising on temporary differences and payment dates for income tax occurring after the balance sheet date. Unilever is subject to taxation in the many countries in which it operates. The tax legislation of these countries differs, is often complex and is subject to interpretation by management and the government authorities. These matters of judgement give rise to the need to create provisions for tax payments that may arise in future years with respect to transactions already undertaken. Provisions are made against individual exposures and take into account the\u00a0specific circumstances of each case, including the strength of technical arguments, recent case law decisions or rulings on similar issues and relevant external advice. The provision is estimated based on one of two methods, the expected value method (the sum of the probability-weighted amounts in a range of possible outcomes) or the single most likely amount method, depending on which is expected to better predict the resolution of the uncertainty. |
Deferred tax is recognised using the liability method on taxable temporary differences between the tax base and the accounting base of items included in the balance sheet of the Group. Certain temporary differences are not provided for as follows: \u25a0 goodwill not deductible for tax purposes; \u25a0 the initial recognition of assets or liabilities that affect neither accounting nor taxable profit; and \u25a0 differences relating to investments in subsidiaries to the extent that it is probable that they will not reverse in the foreseeable future. The amount of deferred tax provided is based on the expected manner of realisation or settlement of the carrying amount of assets and liabilities, using tax rates enacted, or substantively enacted, at the year end. The Group has applied the exemption to not recognise or disclose any deferred tax related to Pillar 2 income taxes. A deferred tax asset is recognised only to the extent that it is probable that future taxable profits will be available against which the asset can\u00a0be\u00a0utilised. Deferred tax assets are reduced to the extent that it is no longer probable that the related tax benefit will be realised. |
Income tax is recognised in equity or other comprehensive income for items recognised directly in equity or other comprehensive income. |
Dividends are recognised on the date that the shareholder\u2019s right to receive payment is established. This is generally the date when the dividend is\u00a0declared. |
Goodwill Goodwill is initially recognised based on the accounting policy for business combinations (see note 22). Goodwill is subsequently measured at cost less amounts provided for impairment. Goodwill acquired in a business combination is assessed to determine whether new cash-generating units (CGUs) are created, and if not, is allocated to the Group\u2019s CGUs, or groups of CGUs (GCGUs) in line with the structure detailed below. These might not always be the same as the CGUs or GCGUs that include the assets and liabilities of the acquired business. | ||||
Intangible assets Separately purchased intangible assets are initially measured at cost, being the purchase price as at the date of acquisition. On acquisition of new interests in group companies, Unilever recognises any specifically identifiable intangible assets separately from goodwill. These intangible assets are initially measured at fair value as at the date of acquisition. Expenditure to support development of internally produced intangible assets is recognised in profit or loss as incurred. Indefinite-life intangibles mainly comprise trademarks and brands, for which there is no foreseeable limit to the period over which they are expected to generate net cash inflows. These are considered to have an indefinite life, given the strength and durability of our brands and the level of marketing support. These assets are not amortised but are subject to a review for impairment annually, or more frequently if events or circumstances indicate this is necessary. Finite-life intangible assets mainly comprise software, patented and non-patented technology, know-how and customer lists. These assets are amortised on a straight-line basis in the income statement over the period of their expected useful lives, or the period of legal rights if shorter. None of\u00a0the amortisation periods exceeds ten years. | ||||
Cash-generating units The Group\u2019s assets are grouped into cash-generating units (CGUs), which are the smallest identifiable group of assets that generate largely independent cash inflows. The Group\u2019s CGUs are aligned with our organisation structure of Business Units and Global Business Units. For impairment testing purposes, goodwill is allocated to groups of CGUs (GCGUs), which are based on the four Business Groups, since the synergies acquired through a business combination benefit a Business Group as a whole rather than a specific Business Unit or Global Business Unit. Cash inflows relating to indefinite-life intangible assets are identifiable at Business Unit or Global Business Unit level and are therefore allocated to individual CGUs. | ||||
Impairment review The impairment test is performed by comparing the carrying value of the CGUs or GCGUs with their recoverable value. The recoverable value is\u00a0primarily based on value in use but also considers fair value less costs of disposal where relevant. Any impairment is charged to the income statement as it arises. |
The Group\u2019s property, plant and equipment is comprised of owned assets (note 10A) and leased assets (note 10B). Property, plant and equipment is measured at cost including eligible borrowing costs less depreciation and accumulated impairment losses. Property, plant and equipment is subject to review for impairment if triggering events or circumstances indicate that this is necessary. If an indication of impairment exists, the asset\u2019s or cash-generating unit\u2019s recoverable amount is estimated and any impairment loss is charged\u00a0to the income statement as it arises. | ||||
Owned assets Owned assets are initially measured at historical cost. Depreciation is provided on a straight-line basis over the expected average useful lives of\u00a0the assets. Residual values and useful lives are reviewed at least annually. The review of residual values and useful lives has taken into consideration the impacts of climate change and the actions we undertake to mitigate and adapt against these climate-related risks. There is no material impact on the income statement for this year. Estimated useful lives by major class of assets are as follows: | ||||
\u25a0 freehold buildings (no depreciation on freehold land) | 40 years | |||
\u25a0 leasehold land and buildings | 40 years (or life of lease if less) | |||
\u25a0 plant and equipment | 2-20 years | |||
Leased assets The cost of a leased asset is measured as the lease liability at inception of the lease contract and other direct costs less any incentives granted by the\u00a0lessor. The Group has not capitalised leases which are less than 12 months or leases of low-value assets. These mainly relate to IT equipment, office\u00a0equipment, furniture and fitting and other peripheral items. When a lease liability is remeasured, the related lease asset is adjusted by the same\u00a0amount. Depreciation is provided on a straight-line basis from the commencement date of the lease to the end of the lease term. |
Joint ventures are undertakings in which the Group has an interest and which are jointly controlled by the Group and one or more other parties. Associates are undertakings where the Group has an investment in which it does not have control or joint control but can exercise significant\u00a0influence. Interests in joint ventures and associates are accounted for using the equity method and are stated in the consolidated balance sheet at cost, adjusted for the movement in the Group\u2019s share of their net assets and liabilities. The Group\u2019s share of the profit or loss after tax of joint ventures and associates is included in the Group\u2019s consolidated profit before taxation. Where the Group\u2019s share of losses exceeds its interest in the equity-accounted investee, the carrying amount of the investment is reduced to zero and the recognition of further losses is discontinued, except to the extent that the Group has an obligation to make payments on behalf of the\u00a0investee. | ||||
Inventories are valued at the lower of weighted average cost and net realisable value. Cost comprises direct costs and, where appropriate, a proportion of attributable production overheads. Net realisable value is the estimated selling price less the estimated costs necessary to make the sale. |
Trade and other current receivables are initially recognised at fair value plus any directly attributable transaction costs. Subsequently, except for derivatives (see note 16 on page 166), these assets are held at amortised cost, using the effective interest method and net of any impairment losses. Discounts payable to customers are shown as a reduction in trade receivables when there is a legal right and intent to settle them on a net basis. |
Trade payables Trade payables are initially recognised at fair value less any directly attributable transaction costs. Trade payables are subsequently measured at amortised cost, using the effective interest method. Other liabilities Other liabilities are initially recognised at fair value less any directly attributable transaction costs. Subsequent measurement depends on the type of\u00a0liability: \u25a0 accruals are subsequently measured at amortised cost, using the effective interest method; \u25a0 social security and sundry taxes are subsequently measured at amortised cost, using the effective interest method; \u25a0 deferred consideration is subsequently measured at fair value with changes in the income statement as explained below; and \u25a0 others are subsequently measured either at amortised cost, using the effective interest method or at fair value, with changes being recognised in\u00a0the income statement. | ||||
Deferred consideration Deferred consideration represents any payments to the sellers of a business that occur after the acquisition date. These typically comprise contingent consideration and fixed deferred consideration: \u25a0 fixed deferred consideration is a payment with a due date after acquisition that is not dependent on future conditions; and \u25a0 contingent consideration is a payment which is dependent on certain conditions being met in the future and is often variable. All deferred consideration is initially recognised at fair value as at the acquisition date, which includes a present value discount. Subsequently, deferred consideration is measured to reflect the unwinding of discount on the liability, with changes recognised in finance cost within the income statement. In the balance sheet, it is remeasured to reflect the latest estimate of the achievement of the conditions on which the consideration is based; changes in value other than the discount unwind are recognised as acquisition and disposal-related costs in the income statement. |
Ordinary shares Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of ordinary shares are recognised as a deduction from equity, net of any tax effects. | ||||
Unification reserve The Group recognised a separate Unification Reserve within Equity as a result of PLC Share Premium that arose from Unification. | ||||
Other reserves Other reserves include the fair value reserve, the foreign currency translation reserve, the capital redemption reserve and treasury shares. | ||||
Shares held by employee share trusts and group companies An employee share trust and group companies purchase and hold shares to satisfy performance shares granted and other share awards (see note 4C). The assets and liabilities of the trust and shares held by the trust and group companies are included in the consolidated financial statements. The book value of shares held is deducted from other reserves, and the trust\u2019s borrowings are included in the Group\u2019s liabilities. The costs of the trust are included in the results of the Group. The shares held by the trust and group companies are excluded from the calculation of earnings per share. | ||||
Financial liabilities Financial liabilities are initially recognised at fair value, less any directly related transaction costs. When bonds are designated as being part of\u00a0a\u00a0fair value hedge relationship, in those cases bonds are carried at amortised cost, adjusted for the fair value of the risk being hedged, with changes in value shown in the income statement. Put options are initially recognised at the present value of the expected gross obligation, with changes in value being recognised in the income statement. Other financial liabilities, which includes put options, are subsequently carried at amortised cost, with the exception of: \u25a0 financial liabilities which the Group has elected to measure at fair value through profit or loss; \u25a0 contingent consideration recognised by an acquirer in a business combination to which IFRS 3 applies. Such contingent consideration is subsequently measured at fair value through profit or loss. | ||||
Lease liabilities Lease liabilities are initially measured at the present value of the lease payments that are not yet paid at the start of the lease term. This is discounted using an appropriate borrowing rate determined by the Group, where none is readily available in the lease contract. The lease liability is subsequently reduced by cash payments and increased by interest costs. The lease liability is remeasured when the Group assesses that there will be a change in the amount expected to be paid during the lease term. |
Derivatives and hedge accounting Derivatives are measured at fair value with any related transaction costs expensed as incurred. The treatment of changes in the value of derivatives depends on their use as explained below. (i) Fair value hedges(a) Certain derivatives are held to hedge the risk of changes in value of a specific bond or other loan. In these situations, the Group designates the liability and related derivative to be part of a fair value hedge relationship. The carrying value of the bond is adjusted by the fair value of the risk being hedged, with changes going to the income statement. Gains and losses on the corresponding derivative are also recognised in the income statement. The amounts recognised are offset in the income statement to the extent that the hedge is effective. Ineffectiveness may occur if the critical terms do not exactly match, or if there is a value adjustment resulting from a change in credit risk (in either the Group or the\u00a0counterparty to the derivative) that is not matched by the hedged item. When the relationship no longer meets the criteria for hedge accounting, the fair value hedge adjustment made to the bond is amortised to the income statement using the effective interest method. (ii) Cash flow hedges(a) Derivatives are also held to hedge the uncertainty in timing or amount of future forecast cash flows. Such derivatives are classified as being part of cash flow hedge relationships. For an effective hedge, gains and losses from changes in the fair value of derivatives are recognised in equity. Cost of hedging, where material and opted for, is recorded in a separate account within equity. Any ineffective elements of the hedge are recognised in the income statement. Ineffectiveness may occur if there are changes to the expected timing of the hedged transaction. If the hedged cash flow relates to a non-financial asset, the amount accumulated in equity is subsequently included within the carrying value of that asset. For other cash flow hedges, amounts deferred in equity are taken to the income statement at the same time as the related cash flow. When a derivative no longer qualifies for hedge accounting, any cumulative gain or loss remains in equity until the related cash flow occurs. When the\u00a0cash flow takes place, the cumulative gain or loss is taken to the income statement. If the hedged cash flow is no longer expected to occur, the cumulative gain or loss is taken to the income statement immediately. (iii) Net investment hedges(a) Certain derivatives are designated as hedges of the currency risk on the Group\u2019s investment in foreign subsidiaries. The accounting policy for these arrangements is set out in note 1. (iv) Derivatives for which hedge accounting is not applied Derivatives not classified as hedges are held in order to hedge certain balance sheet items and commodity exposures. No hedge accounting is applied to these derivatives, which are carried at fair value with changes being recognised in the income statement. | ||||
Cash and cash equivalents Cash and cash equivalents in the balance sheet include deposits, investments in money market funds and highly liquid investments. To be classified as cash and cash equivalents, an asset must: \u25a0 be readily convertible into cash; \u25a0 have an insignificant risk of changes in value; and \u25a0 have a maturity period of typically three months or less at acquisition. Cash and cash equivalents in the cash flow statement also include bank overdrafts and are recorded at amortised cost. | ||||
Other financial assets The Group classifies its financial assets into the following measurement categories: \u25a0 those to be measured subsequently at fair value (either through other comprehensive income, or through profit or loss), and \u25a0 those to be measured at amortised cost. This classification depends on our business model for managing the financial asset and the contractual terms of the cash flows. At initial recognition, the Group measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs that are directly attributable to the acquisition of the financial asset. Transaction costs of financial assets carried at fair value through profit or loss are expensed in the income statement. All financial assets are either debt instruments or equity instruments. Debt instruments are those that provide the Group with a contractual right to receive cash or another asset. Equity instruments are those where the Group has no contractual right to receive cash or another asset. | ||||
Debt instruments The subsequent measurement of debt instruments depends on the Group\u2019s business model for managing the asset and the cash flow characteristics of the asset. There are three measurement categories that debt instruments are classified as: \u25a0 financial assets at amortised cost; \u25a0 financial assets at fair value through other comprehensive income; or \u25a0 financial assets at fair value through profit or loss. (i) Amortised cost Assets measured at amortised cost are those which are held to collect contractual cash flows on the repayment of principal or interest (SPPI). A\u00a0gain or loss on a debt investment recognised at amortised cost on derecognition or impairment is recognised in the income statement. Interest income is recognised within finance income using the effective interest rate method. (ii) Fair value through other comprehensive income Assets that are held at fair value through other comprehensive income are those that are held to collect contractual cash flows on the repayment of principal and interest and which are held to recognise a capital gain through the sale of the asset. Movements in the carrying amount are recognised in other comprehensive income except for the recognition of impairment, interest income and foreign exchange gains or losses which are recognised in the income statement. On derecognition, the cumulative gain or loss recognised in other comprehensive income is reclassified from equity to the income statement. Interest income is included in finance income using the effective interest rate method. (iii) Fair value through profit or loss Assets that do not meet the criteria for either amortised cost or fair value through other comprehensive income are measured as fair value through profit or loss. Related transaction costs are expensed as incurred. Unless they form part of a hedging relationship, these assets are held at fair value, with changes being recognised in the income statement. Interest income from these assets is included within finance income. | ||||
Equity instruments The Group subsequently measures all equity instruments at fair value. Where the Group has elected to present fair value gains and losses on equity investments in other comprehensive income, there is no subsequent reclassification of fair value gains or losses to profit or loss. Dividends from these investments continue to be recognised in the income statement. | ||||
Impairment of financial assets Financial instruments classified as amortised cost and debt instruments classified as fair value through other comprehensive income are assessed for impairment. The Group assesses the probability of default of an asset at initial recognition and then whether there has been a significant increase in credit risk on an ongoing basis. To assess whether there is a significant increase in credit risk, the Group compares the risk of a default occurring on the asset as at the reporting date with the risk of default as at the date of initial recognition. It considers available reasonable and supportive forward-looking information. Macroeconomic information (such as market interest rates or growth rates) is also considered. Financial assets are written off when there is no reasonable expectation of recovery, such as a debtor failing to engage in a repayment plan with the company. Impairment losses on assets classified as amortised cost are recognised in the income statement. When a later event causes the impairment losses to decrease, the reduction in impairment loss is also recognised in the income statement. Permanent impairment losses on debt instruments classified as fair value through other comprehensive income are recognised in the income statement. |
Provisions are recognised where a legal or constructive obligation exists at the balance sheet date, as a result of a past event, where the amount of the obligation can be reliably estimated and where the outflow of economic benefit is probable. | ||||
Lease commitments are the future cash outflows from the lease contracts which are not recorded in the measurement of lease liabilities. These include potential future payments related to leases of low-value assets, leases which are less than 12 months, variable leases, extension and termination options and leases not yet commenced but which we have committed to. | ||||
Contingent liabilities are either possible obligations that will probably not require a transfer of economic benefits, or present obligations that may, but probably will not, require a transfer of economic benefits. It is not appropriate to make provisions for contingent liabilities, but there is\u00a0a\u00a0chance that they will result in an obligation in the future. Assessing the amount of liabilities that are not probable is highly judgemental, so\u00a0contingent liabilities are disclosed on the basis of the known maximum exposure or are unquantified where the financial impact cannot be reliably measured. |
Business combinations are accounted for using the acquisition accounting method as at the acquisition date, which is the date at which control is transferred to the Group. Goodwill is measured at the acquisition date as the fair value of consideration transferred, plus non-controlling interests and the fair value of\u00a0any previously held equity interests less the net recognised amount (which is generally fair value) of the identifiable assets and liabilities assumed. Goodwill is subject to an annual review for impairment (or more frequently if necessary) in accordance with our accounting policies. Any impairment is charged to the income statement as it arises. Detailed information relating to goodwill is provided in note 9 on pages 152 to\u00a0154. Non-controlling interests are valued based on the proportion of net assets of the acquired company at the date of acquisition. Transaction costs are expensed as incurred. Changes in ownership that do not result in a change of control are accounted for as equity transactions and therefore do not have any impact on goodwill. The difference between consideration and the non-controlling share of net assets acquired is recognised within equity. |
Where events occurring after the balance sheet date provide evidence of conditions that existed at the end of the reporting period, the impact of these events is adjusted within the financial statements. Otherwise, events after the balance sheet date of a material size or nature are disclosed below. | ||||
\u20ac million | Argentina | Turkey | Total |
Total assets increase/(reduction) | (199) | (20) | (219) |
Turnover increase/(reduction) | (90) | (16) | (106) |
Operating profit increase/(reduction) | (54) | (46) | (100) |
Net monetary gain/(loss) | (46) | (10) | (56) |
Applicable standard | Key requirements or changes in accounting policy |
Amendments to IFRS 9 and IFRS 7 \u2018The Classification and Measurement of Financial instruments\u2019 Effective from 1 January 2026 | In May 2024, the International Accounting Standards Board (IASB) amended IFRS 7 and IFRS 9, which includes clarifications on recognition and derecognition dates of certain financial assets and liabilities, including exceptions for\u00a0liabilities settled through electronic cash transfer systems. |
IFRS 18 Presentation and Disclosure in Financial Statements Effective 1 January 2027 | IFRS 18 will replace IAS 1 Presentation of Financial Statements. The amendment impacts presentation and disclosure of the consolidated income statement with new defined categories being operating, investing and financing to provide a\u00a0consistent structure. Disclosures about Management-defined Performance Measures (MPMs) (i.e. certain non-GAAP measures) will have to\u00a0be disclosed in the financial statement with reconciliations to GAAP measures. The new standard will also provide guidance on grouping of information (aggregation/disaggregation). The Group has commenced its assessment of IFRS 18 Presentation and Disclosure in Financial Statements (effective 1\u00a0January 2027), with the main impacts expected on the presentation of the consolidated income statement and the disclosure of Management Performance Measures. The standard will be applied from its mandatory effective date of 1\u00a0January 2027. Final impact assessment and transition activities will take place during 2026. |
Segmental reporting Following the demerger of the Ice Cream business, the Group\u2019s operating and reportable segments are the four Business Groups of Beauty & Wellbeing, Personal Care, Home Care and Foods (previously reported as Nutrition). The segmental disclosure provided is consistent with information reviewed by our chief operating decision-maker, the Unilever Leadership Executive. | |
Beauty & Wellbeing | \u25a0 primarily sales of hair care (shampoo, conditioner, styling), skin care (face, hand and body moisturisers), and includes Prestige\u00a0Beauty and Wellbeing. |
Personal Care | \u25a0 primarily sales of skin cleansing (soap, shower), deodorant and oral care (toothpaste, toothbrush, mouthwash)\u00a0products. |
Home Care | \u25a0 primarily sales of fabric care (washing powders and liquids, rinse conditioners) and a wide range of home and hygiene cleaning\u00a0products. |
Foods (previously Nutrition) | \u25a0 primarily sales of cooking aids & mini-meals (soups, bouillons, seasonings), condiments (mayonnaise, ketchup) and Unilever Food Solutions. |
Revenue Turnover comprises sales of goods after the deduction of discounts, sales taxes and estimated returns. It does not include sales between group companies. Discounts given by Unilever include rebates, price reductions and incentives given to customers, promotional couponing and trade communication costs, and are based on the contractual arrangements with each customer. Discounts can either be immediately deducted from the sales value on the invoice or off-invoice and settled later through credit notes when the precise amounts are known. Amounts provided for discounts at the end of a period require estimation; historical data and accumulated experience are used to assess the provision using the most likely amount method and in most instances, the discount can be recognised using known facts with a high level of accuracy. Any differences between actual amounts settled and the amounts provided are recognised in the subsequent reporting period and are not material year-on-year. Rebate accruals, representing the unsettled portion of variable consideration due back to customers not yet invoiced, totalled \u20ac3,481 million at 31 December 2025 (2024: \u20ac3,815 million; 2023: \u20ac3,816 million). Customer contracts generally contain a single performance obligation and turnover is recognised when control of the products being sold has transferred to our customer, as there are no longer any unfulfilled obligations to the customer. This is generally on delivery to the customer but depending on individual customer terms, this can be at the time of dispatch, delivery or upon formal customer acceptance. This is considered the appropriate point where the performance obligations in our contracts are satisfied as Unilever no longer has control over the inventory. Our customers have the contractual right to return goods only when authorised by Unilever. If material, an estimate is made of goods that will be\u00a0returned, and a liability is recognised for this amount. An asset is then recorded for the corresponding inventory that is estimated to return to\u00a0Unilever using a best estimate based on accumulated experience. Our customers are distributors who may be able to return unsold goods in consignment arrangements. Underlying operating profit Underlying operating profit means operating profit before the impact of non-underlying items within operating profit. Underlying operating profit represents our measure of segment profit or loss as it is the primary measure used for the purpose of making decisions about allocating resources and\u00a0assessing performance of segments. Items are classified as non-underlying due to their nature and/or frequency of occurrence. |
Category | Segment | 2025 | 2024(a) | 2023(a) |
Fabric | Home Care | 17% | 17% | 18% |
Hair Care | Beauty & Wellbeing | 12% | 12% | 12% |
Skin Cleansing | Personal Care | 12% | 12% | 12% |
Cooking Aids* | Foods | 12% | 12% | 11% |
Deodorant | Personal Care | 11% | 11% | 10% |
Condiments* | Foods | 8% | 8% | 8% |
Skin Care | Beauty & Wellbeing | 8% | 8% | 8% |
Home & Hygiene | Home Care | 5% | 5% | 5% |
Other | 15% | 15% | 16% |
Notes | \u20ac million Beauty & Wellbeing | \u20ac million Personal Care | \u20ac million Home Care | \u20ac million Foods | \u20ac million Total | |
2025 | ||||||
Turnover | 12,848 | 13,161 | 11,565 | 12,929 | 50,503 | |
Operating profit | 3 | 2,077 | 2,700 | 1,512 | 2,748 | 9,037 |
Non-underlying items (b) | 394 | 273 | 206 | 174 | 1,047 | |
Underlying operating profit | 2,471 | 2,973 | 1,718 | 2,922 | 10,084 | |
Share of net profit/(loss) of joint ventures and associates | 5 | 8 | 8 | 224 | 245 | |
Significant non-cash charges: | ||||||
Within underlying operating profit: | ||||||
Depreciation and amortisation | 293 | 386 | 296 | 335 | 1,310 | |
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Share-based compensation and other non-cash charges (c) | 83 | 142 | 82 | 90 | 397 | |
Within non-underlying items: | ||||||
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Impairment and other non-cash charges(d) | 54 | 72 | 18 | 17 | 161 | |
2024(a) | ||||||
Turnover | 13,157 | 13,618 | 12,352 | 13,352 | 52,479 | |
Operating profit | 3 | 1,970 | 2,739 | 1,521 | 2,599 | 8,829 |
Non-underlying items (b) | 582 | 275 | 264 | 248 | 1,369 | |
Underlying operating profit | 2,552 | 3,014 | 1,785 | 2,847 | 10,198 | |
Share of net profit/(loss) of joint ventures and associates | 3 | 5 | 6 | 236 | 250 | |
Significant non-cash charges: | ||||||
Within underlying operating profit: | ||||||
Depreciation and amortisation | 271 | 362 | 286 | 318 | 1,237 | |
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Share-based compensation and other non-cash charges (c) | 111 | 113 | 100 | 105 | 429 | |
Within non-underlying items: | ||||||
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Impairment and other non-cash charges(d) | 65 | 75 | 195 | 105 | 440 | |
2023(a) | ||||||
Turnover | 12,466 | 13,829 | 12,181 | 13,204 | 51,680 | |
Operating profit | 3 | 2,209 | 2,957 | 1,419 | 2,413 | 8,998 |
Non-underlying items (b) | 122 | (165) | 77 | 47 | 81 | |
Underlying operating profit | 2,331 | 2,792 | 1,496 | 2,460 | 9,079 | |
Share of net profit/(loss) of joint ventures and associates | 1 | 3 | 3 | 221 | 228 | |
Significant non-cash charges: | ||||||
Within underlying operating profit: | ||||||
Depreciation and amortisation | 257 | 328 | 279 | 283 | 1,147 | |
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Share-based compensation and other non-cash charges (c) | 73 | 87 | 64 | 89 | 313 | |
Within non-underlying items: | ||||||
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Impairment and other non-cash charges(d) | (6) | 4 | (40) | (18) | (60) |
\u20ac million United Kingdom | \u20ac million United States | \u20ac million India | \u20ac million Others | \u20ac million Total | |
2025 | |||||
Turnover | 2,226 | 10,497 | 6,217 | 31,563 | 50,503 |
Non-current assets(b) | 3,575 | 16,807 | 5,444 | 18,906 | 44,732 |
2024 | |||||
Turnover (a) | 2,202 | 10,393 | 6,492 | 33,392 | 52,479 |
Non-current assets(b) | 3,830 | 19,715 | 6,700 | 23,296 | 53,541 |
2023 | |||||
Turnover (a) | 2,106 | 10,315 | 6,516 | 32,743 | 51,680 |
Non-current assets(b) | 3,567 | 18,205 | 6,436 | 22,876 | 51,084 |
\u20ac million 2025 | \u20ac million 2024(a) | \u20ac million 2023(a) | |
Asia Pacific Africa | 22,427 | 23,448 | 23,805 |
The Americas(b) | 18,622 | 19,605 | 18,799 |
Europe | 9,454 | 9,426 | 9,076 |
Total | 50,503 | 52,479 | 51,680 |
\u20ac million 2025 | \u20ac million 2024(a) | \u20ac million 2023(a) | |
Emerging markets | 30,008 | 32,033 | 31,570 |
Developed markets | 20,495 | 20,446 | 20,110 |
Segmental reporting Following the demerger of the Ice Cream business, the Group\u2019s operating and reportable segments are the four Business Groups of Beauty & Wellbeing, Personal Care, Home Care and Foods (previously reported as Nutrition). The segmental disclosure provided is consistent with information reviewed by our chief operating decision-maker, the Unilever Leadership Executive. | |
Beauty & Wellbeing | \u25a0 primarily sales of hair care (shampoo, conditioner, styling), skin care (face, hand and body moisturisers), and includes Prestige\u00a0Beauty and Wellbeing. |
Personal Care | \u25a0 primarily sales of skin cleansing (soap, shower), deodorant and oral care (toothpaste, toothbrush, mouthwash)\u00a0products. |
Home Care | \u25a0 primarily sales of fabric care (washing powders and liquids, rinse conditioners) and a wide range of home and hygiene cleaning\u00a0products. |
Foods (previously Nutrition) | \u25a0 primarily sales of cooking aids & mini-meals (soups, bouillons, seasonings), condiments (mayonnaise, ketchup) and Unilever Food Solutions. |
Revenue Turnover comprises sales of goods after the deduction of discounts, sales taxes and estimated returns. It does not include sales between group companies. Discounts given by Unilever include rebates, price reductions and incentives given to customers, promotional couponing and trade communication costs, and are based on the contractual arrangements with each customer. Discounts can either be immediately deducted from the sales value on the invoice or off-invoice and settled later through credit notes when the precise amounts are known. Amounts provided for discounts at the end of a period require estimation; historical data and accumulated experience are used to assess the provision using the most likely amount method and in most instances, the discount can be recognised using known facts with a high level of accuracy. Any differences between actual amounts settled and the amounts provided are recognised in the subsequent reporting period and are not material year-on-year. Rebate accruals, representing the unsettled portion of variable consideration due back to customers not yet invoiced, totalled \u20ac3,481 million at 31 December 2025 (2024: \u20ac3,815 million; 2023: \u20ac3,816 million). Customer contracts generally contain a single performance obligation and turnover is recognised when control of the products being sold has transferred to our customer, as there are no longer any unfulfilled obligations to the customer. This is generally on delivery to the customer but depending on individual customer terms, this can be at the time of dispatch, delivery or upon formal customer acceptance. This is considered the appropriate point where the performance obligations in our contracts are satisfied as Unilever no longer has control over the inventory. Our customers have the contractual right to return goods only when authorised by Unilever. If material, an estimate is made of goods that will be\u00a0returned, and a liability is recognised for this amount. An asset is then recorded for the corresponding inventory that is estimated to return to\u00a0Unilever using a best estimate based on accumulated experience. Our customers are distributors who may be able to return unsold goods in consignment arrangements. Underlying operating profit Underlying operating profit means operating profit before the impact of non-underlying items within operating profit. Underlying operating profit represents our measure of segment profit or loss as it is the primary measure used for the purpose of making decisions about allocating resources and\u00a0assessing performance of segments. Items are classified as non-underlying due to their nature and/or frequency of occurrence. |
Category | Segment | 2025 | 2024(a) | 2023(a) |
Fabric | Home Care | 17% | 17% | 18% |
Hair Care | Beauty & Wellbeing | 12% | 12% | 12% |
Skin Cleansing | Personal Care | 12% | 12% | 12% |
Cooking Aids* | Foods | 12% | 12% | 11% |
Deodorant | Personal Care | 11% | 11% | 10% |
Condiments* | Foods | 8% | 8% | 8% |
Skin Care | Beauty & Wellbeing | 8% | 8% | 8% |
Home & Hygiene | Home Care | 5% | 5% | 5% |
Other | 15% | 15% | 16% |
Notes | \u20ac million Beauty & Wellbeing | \u20ac million Personal Care | \u20ac million Home Care | \u20ac million Foods | \u20ac million Total | |
2025 | ||||||
Turnover | 12,848 | 13,161 | 11,565 | 12,929 | 50,503 | |
Operating profit | 3 | 2,077 | 2,700 | 1,512 | 2,748 | 9,037 |
Non-underlying items (b) | 394 | 273 | 206 | 174 | 1,047 | |
Underlying operating profit | 2,471 | 2,973 | 1,718 | 2,922 | 10,084 | |
Share of net profit/(loss) of joint ventures and associates | 5 | 8 | 8 | 224 | 245 | |
Significant non-cash charges: | ||||||
Within underlying operating profit: | ||||||
Depreciation and amortisation | 293 | 386 | 296 | 335 | 1,310 | |
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Share-based compensation and other non-cash charges (c) | 83 | 142 | 82 | 90 | 397 | |
Within non-underlying items: | ||||||
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Impairment and other non-cash charges(d) | 54 | 72 | 18 | 17 | 161 | |
2024(a) | ||||||
Turnover | 13,157 | 13,618 | 12,352 | 13,352 | 52,479 | |
Operating profit | 3 | 1,970 | 2,739 | 1,521 | 2,599 | 8,829 |
Non-underlying items (b) | 582 | 275 | 264 | 248 | 1,369 | |
Underlying operating profit | 2,552 | 3,014 | 1,785 | 2,847 | 10,198 | |
Share of net profit/(loss) of joint ventures and associates | 3 | 5 | 6 | 236 | 250 | |
Significant non-cash charges: | ||||||
Within underlying operating profit: | ||||||
Depreciation and amortisation | 271 | 362 | 286 | 318 | 1,237 | |
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Share-based compensation and other non-cash charges (c) | 111 | 113 | 100 | 105 | 429 | |
Within non-underlying items: | ||||||
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Impairment and other non-cash charges(d) | 65 | 75 | 195 | 105 | 440 | |
2023(a) | ||||||
Turnover | 12,466 | 13,829 | 12,181 | 13,204 | 51,680 | |
Operating profit | 3 | 2,209 | 2,957 | 1,419 | 2,413 | 8,998 |
Non-underlying items (b) | 122 | (165) | 77 | 47 | 81 | |
Underlying operating profit | 2,331 | 2,792 | 1,496 | 2,460 | 9,079 | |
Share of net profit/(loss) of joint ventures and associates | 1 | 3 | 3 | 221 | 228 | |
Significant non-cash charges: | ||||||
Within underlying operating profit: | ||||||
Depreciation and amortisation | 257 | 328 | 279 | 283 | 1,147 | |
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Share-based compensation and other non-cash charges (c) | 73 | 87 | 64 | 89 | 313 | |
Within non-underlying items: | ||||||
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Impairment and other non-cash charges(d) | (6) | 4 | (40) | (18) | (60) |
\u20ac million United Kingdom | \u20ac million United States | \u20ac million India | \u20ac million Others | \u20ac million Total | |
2025 | |||||
Turnover | 2,226 | 10,497 | 6,217 | 31,563 | 50,503 |
Non-current assets(b) | 3,575 | 16,807 | 5,444 | 18,906 | 44,732 |
2024 | |||||
Turnover (a) | 2,202 | 10,393 | 6,492 | 33,392 | 52,479 |
Non-current assets(b) | 3,830 | 19,715 | 6,700 | 23,296 | 53,541 |
2023 | |||||
Turnover (a) | 2,106 | 10,315 | 6,516 | 32,743 | 51,680 |
Non-current assets(b) | 3,567 | 18,205 | 6,436 | 22,876 | 51,084 |
\u20ac million 2025 | \u20ac million 2024(a) | \u20ac million 2023(a) | |
Asia Pacific Africa | 22,427 | 23,448 | 23,805 |
The Americas(b) | 18,622 | 19,605 | 18,799 |
Europe | 9,454 | 9,426 | 9,076 |
Total | 50,503 | 52,479 | 51,680 |
\u20ac million 2025 | \u20ac million 2024(a) | \u20ac million 2023(a) | |
Emerging markets | 30,008 | 32,033 | 31,570 |
Developed markets | 20,495 | 20,446 | 20,110 |
Segmental reporting Following the demerger of the Ice Cream business, the Group\u2019s operating and reportable segments are the four Business Groups of Beauty & Wellbeing, Personal Care, Home Care and Foods (previously reported as Nutrition). The segmental disclosure provided is consistent with information reviewed by our chief operating decision-maker, the Unilever Leadership Executive. | |
Beauty & Wellbeing | \u25a0 primarily sales of hair care (shampoo, conditioner, styling), skin care (face, hand and body moisturisers), and includes Prestige\u00a0Beauty and Wellbeing. |
Personal Care | \u25a0 primarily sales of skin cleansing (soap, shower), deodorant and oral care (toothpaste, toothbrush, mouthwash)\u00a0products. |
Home Care | \u25a0 primarily sales of fabric care (washing powders and liquids, rinse conditioners) and a wide range of home and hygiene cleaning\u00a0products. |
Foods (previously Nutrition) | \u25a0 primarily sales of cooking aids & mini-meals (soups, bouillons, seasonings), condiments (mayonnaise, ketchup) and Unilever Food Solutions. |
Revenue Turnover comprises sales of goods after the deduction of discounts, sales taxes and estimated returns. It does not include sales between group companies. Discounts given by Unilever include rebates, price reductions and incentives given to customers, promotional couponing and trade communication costs, and are based on the contractual arrangements with each customer. Discounts can either be immediately deducted from the sales value on the invoice or off-invoice and settled later through credit notes when the precise amounts are known. Amounts provided for discounts at the end of a period require estimation; historical data and accumulated experience are used to assess the provision using the most likely amount method and in most instances, the discount can be recognised using known facts with a high level of accuracy. Any differences between actual amounts settled and the amounts provided are recognised in the subsequent reporting period and are not material year-on-year. Rebate accruals, representing the unsettled portion of variable consideration due back to customers not yet invoiced, totalled \u20ac3,481 million at 31 December 2025 (2024: \u20ac3,815 million; 2023: \u20ac3,816 million). Customer contracts generally contain a single performance obligation and turnover is recognised when control of the products being sold has transferred to our customer, as there are no longer any unfulfilled obligations to the customer. This is generally on delivery to the customer but depending on individual customer terms, this can be at the time of dispatch, delivery or upon formal customer acceptance. This is considered the appropriate point where the performance obligations in our contracts are satisfied as Unilever no longer has control over the inventory. Our customers have the contractual right to return goods only when authorised by Unilever. If material, an estimate is made of goods that will be\u00a0returned, and a liability is recognised for this amount. An asset is then recorded for the corresponding inventory that is estimated to return to\u00a0Unilever using a best estimate based on accumulated experience. Our customers are distributors who may be able to return unsold goods in consignment arrangements. Underlying operating profit Underlying operating profit means operating profit before the impact of non-underlying items within operating profit. Underlying operating profit represents our measure of segment profit or loss as it is the primary measure used for the purpose of making decisions about allocating resources and\u00a0assessing performance of segments. Items are classified as non-underlying due to their nature and/or frequency of occurrence. |
Category | Segment | 2025 | 2024(a) | 2023(a) |
Fabric | Home Care | 17% | 17% | 18% |
Hair Care | Beauty & Wellbeing | 12% | 12% | 12% |
Skin Cleansing | Personal Care | 12% | 12% | 12% |
Cooking Aids* | Foods | 12% | 12% | 11% |
Deodorant | Personal Care | 11% | 11% | 10% |
Condiments* | Foods | 8% | 8% | 8% |
Skin Care | Beauty & Wellbeing | 8% | 8% | 8% |
Home & Hygiene | Home Care | 5% | 5% | 5% |
Other | 15% | 15% | 16% |
Notes | \u20ac million Beauty & Wellbeing | \u20ac million Personal Care | \u20ac million Home Care | \u20ac million Foods | \u20ac million Total | |
2025 | ||||||
Turnover | 12,848 | 13,161 | 11,565 | 12,929 | 50,503 | |
Operating profit | 3 | 2,077 | 2,700 | 1,512 | 2,748 | 9,037 |
Non-underlying items (b) | 394 | 273 | 206 | 174 | 1,047 | |
Underlying operating profit | 2,471 | 2,973 | 1,718 | 2,922 | 10,084 | |
Share of net profit/(loss) of joint ventures and associates | 5 | 8 | 8 | 224 | 245 | |
Significant non-cash charges: | ||||||
Within underlying operating profit: | ||||||
Depreciation and amortisation | 293 | 386 | 296 | 335 | 1,310 | |
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Share-based compensation and other non-cash charges (c) | 83 | 142 | 82 | 90 | 397 | |
Within non-underlying items: | ||||||
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Impairment and other non-cash charges(d) | 54 | 72 | 18 | 17 | 161 | |
2024(a) | ||||||
Turnover | 13,157 | 13,618 | 12,352 | 13,352 | 52,479 | |
Operating profit | 3 | 1,970 | 2,739 | 1,521 | 2,599 | 8,829 |
Non-underlying items (b) | 582 | 275 | 264 | 248 | 1,369 | |
Underlying operating profit | 2,552 | 3,014 | 1,785 | 2,847 | 10,198 | |
Share of net profit/(loss) of joint ventures and associates | 3 | 5 | 6 | 236 | 250 | |
Significant non-cash charges: | ||||||
Within underlying operating profit: | ||||||
Depreciation and amortisation | 271 | 362 | 286 | 318 | 1,237 | |
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Share-based compensation and other non-cash charges (c) | 111 | 113 | 100 | 105 | 429 | |
Within non-underlying items: | ||||||
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Impairment and other non-cash charges(d) | 65 | 75 | 195 | 105 | 440 | |
2023(a) | ||||||
Turnover | 12,466 | 13,829 | 12,181 | 13,204 | 51,680 | |
Operating profit | 3 | 2,209 | 2,957 | 1,419 | 2,413 | 8,998 |
Non-underlying items (b) | 122 | (165) | 77 | 47 | 81 | |
Underlying operating profit | 2,331 | 2,792 | 1,496 | 2,460 | 9,079 | |
Share of net profit/(loss) of joint ventures and associates | 1 | 3 | 3 | 221 | 228 | |
Significant non-cash charges: | ||||||
Within underlying operating profit: | ||||||
Depreciation and amortisation | 257 | 328 | 279 | 283 | 1,147 | |
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Share-based compensation and other non-cash charges (c) | 73 | 87 | 64 | 89 | 313 | |
Within non-underlying items: | ||||||
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Impairment and other non-cash charges(d) | (6) | 4 | (40) | (18) | (60) |
\u20ac million United Kingdom | \u20ac million United States | \u20ac million India | \u20ac million Others | \u20ac million Total | |
2025 | |||||
Turnover | 2,226 | 10,497 | 6,217 | 31,563 | 50,503 |
Non-current assets(b) | 3,575 | 16,807 | 5,444 | 18,906 | 44,732 |
2024 | |||||
Turnover (a) | 2,202 | 10,393 | 6,492 | 33,392 | 52,479 |
Non-current assets(b) | 3,830 | 19,715 | 6,700 | 23,296 | 53,541 |
2023 | |||||
Turnover (a) | 2,106 | 10,315 | 6,516 | 32,743 | 51,680 |
Non-current assets(b) | 3,567 | 18,205 | 6,436 | 22,876 | 51,084 |
\u20ac million 2025 | \u20ac million 2024(a) | \u20ac million 2023(a) | |
Asia Pacific Africa | 22,427 | 23,448 | 23,805 |
The Americas(b) | 18,622 | 19,605 | 18,799 |
Europe | 9,454 | 9,426 | 9,076 |
Total | 50,503 | 52,479 | 51,680 |
\u20ac million 2025 | \u20ac million 2024(a) | \u20ac million 2023(a) | |
Emerging markets | 30,008 | 32,033 | 31,570 |
Developed markets | 20,495 | 20,446 | 20,110 |
Segmental reporting Following the demerger of the Ice Cream business, the Group\u2019s operating and reportable segments are the four Business Groups of Beauty & Wellbeing, Personal Care, Home Care and Foods (previously reported as Nutrition). The segmental disclosure provided is consistent with information reviewed by our chief operating decision-maker, the Unilever Leadership Executive. | |
Beauty & Wellbeing | \u25a0 primarily sales of hair care (shampoo, conditioner, styling), skin care (face, hand and body moisturisers), and includes Prestige\u00a0Beauty and Wellbeing. |
Personal Care | \u25a0 primarily sales of skin cleansing (soap, shower), deodorant and oral care (toothpaste, toothbrush, mouthwash)\u00a0products. |
Home Care | \u25a0 primarily sales of fabric care (washing powders and liquids, rinse conditioners) and a wide range of home and hygiene cleaning\u00a0products. |
Foods (previously Nutrition) | \u25a0 primarily sales of cooking aids & mini-meals (soups, bouillons, seasonings), condiments (mayonnaise, ketchup) and Unilever Food Solutions. |
Revenue Turnover comprises sales of goods after the deduction of discounts, sales taxes and estimated returns. It does not include sales between group companies. Discounts given by Unilever include rebates, price reductions and incentives given to customers, promotional couponing and trade communication costs, and are based on the contractual arrangements with each customer. Discounts can either be immediately deducted from the sales value on the invoice or off-invoice and settled later through credit notes when the precise amounts are known. Amounts provided for discounts at the end of a period require estimation; historical data and accumulated experience are used to assess the provision using the most likely amount method and in most instances, the discount can be recognised using known facts with a high level of accuracy. Any differences between actual amounts settled and the amounts provided are recognised in the subsequent reporting period and are not material year-on-year. Rebate accruals, representing the unsettled portion of variable consideration due back to customers not yet invoiced, totalled \u20ac3,481 million at 31 December 2025 (2024: \u20ac3,815 million; 2023: \u20ac3,816 million). Customer contracts generally contain a single performance obligation and turnover is recognised when control of the products being sold has transferred to our customer, as there are no longer any unfulfilled obligations to the customer. This is generally on delivery to the customer but depending on individual customer terms, this can be at the time of dispatch, delivery or upon formal customer acceptance. This is considered the appropriate point where the performance obligations in our contracts are satisfied as Unilever no longer has control over the inventory. Our customers have the contractual right to return goods only when authorised by Unilever. If material, an estimate is made of goods that will be\u00a0returned, and a liability is recognised for this amount. An asset is then recorded for the corresponding inventory that is estimated to return to\u00a0Unilever using a best estimate based on accumulated experience. Our customers are distributors who may be able to return unsold goods in consignment arrangements. Underlying operating profit Underlying operating profit means operating profit before the impact of non-underlying items within operating profit. Underlying operating profit represents our measure of segment profit or loss as it is the primary measure used for the purpose of making decisions about allocating resources and\u00a0assessing performance of segments. Items are classified as non-underlying due to their nature and/or frequency of occurrence. |
Segmental reporting Following the demerger of the Ice Cream business, the Group\u2019s operating and reportable segments are the four Business Groups of Beauty & Wellbeing, Personal Care, Home Care and Foods (previously reported as Nutrition). The segmental disclosure provided is consistent with information reviewed by our chief operating decision-maker, the Unilever Leadership Executive. | |
Beauty & Wellbeing | \u25a0 primarily sales of hair care (shampoo, conditioner, styling), skin care (face, hand and body moisturisers), and includes Prestige\u00a0Beauty and Wellbeing. |
Personal Care | \u25a0 primarily sales of skin cleansing (soap, shower), deodorant and oral care (toothpaste, toothbrush, mouthwash)\u00a0products. |
Home Care | \u25a0 primarily sales of fabric care (washing powders and liquids, rinse conditioners) and a wide range of home and hygiene cleaning\u00a0products. |
Foods (previously Nutrition) | \u25a0 primarily sales of cooking aids & mini-meals (soups, bouillons, seasonings), condiments (mayonnaise, ketchup) and Unilever Food Solutions. |
Revenue Turnover comprises sales of goods after the deduction of discounts, sales taxes and estimated returns. It does not include sales between group companies. Discounts given by Unilever include rebates, price reductions and incentives given to customers, promotional couponing and trade communication costs, and are based on the contractual arrangements with each customer. Discounts can either be immediately deducted from the sales value on the invoice or off-invoice and settled later through credit notes when the precise amounts are known. Amounts provided for discounts at the end of a period require estimation; historical data and accumulated experience are used to assess the provision using the most likely amount method and in most instances, the discount can be recognised using known facts with a high level of accuracy. Any differences between actual amounts settled and the amounts provided are recognised in the subsequent reporting period and are not material year-on-year. Rebate accruals, representing the unsettled portion of variable consideration due back to customers not yet invoiced, totalled \u20ac3,481 million at 31 December 2025 (2024: \u20ac3,815 million; 2023: \u20ac3,816 million). Customer contracts generally contain a single performance obligation and turnover is recognised when control of the products being sold has transferred to our customer, as there are no longer any unfulfilled obligations to the customer. This is generally on delivery to the customer but depending on individual customer terms, this can be at the time of dispatch, delivery or upon formal customer acceptance. This is considered the appropriate point where the performance obligations in our contracts are satisfied as Unilever no longer has control over the inventory. Our customers have the contractual right to return goods only when authorised by Unilever. If material, an estimate is made of goods that will be\u00a0returned, and a liability is recognised for this amount. An asset is then recorded for the corresponding inventory that is estimated to return to\u00a0Unilever using a best estimate based on accumulated experience. Our customers are distributors who may be able to return unsold goods in consignment arrangements. Underlying operating profit Underlying operating profit means operating profit before the impact of non-underlying items within operating profit. Underlying operating profit represents our measure of segment profit or loss as it is the primary measure used for the purpose of making decisions about allocating resources and\u00a0assessing performance of segments. Items are classified as non-underlying due to their nature and/or frequency of occurrence. |
Segmental reporting Following the demerger of the Ice Cream business, the Group\u2019s operating and reportable segments are the four Business Groups of Beauty & Wellbeing, Personal Care, Home Care and Foods (previously reported as Nutrition). The segmental disclosure provided is consistent with information reviewed by our chief operating decision-maker, the Unilever Leadership Executive. | |
Beauty & Wellbeing | \u25a0 primarily sales of hair care (shampoo, conditioner, styling), skin care (face, hand and body moisturisers), and includes Prestige\u00a0Beauty and Wellbeing. |
Personal Care | \u25a0 primarily sales of skin cleansing (soap, shower), deodorant and oral care (toothpaste, toothbrush, mouthwash)\u00a0products. |
Home Care | \u25a0 primarily sales of fabric care (washing powders and liquids, rinse conditioners) and a wide range of home and hygiene cleaning\u00a0products. |
Foods (previously Nutrition) | \u25a0 primarily sales of cooking aids & mini-meals (soups, bouillons, seasonings), condiments (mayonnaise, ketchup) and Unilever Food Solutions. |
Revenue Turnover comprises sales of goods after the deduction of discounts, sales taxes and estimated returns. It does not include sales between group companies. Discounts given by Unilever include rebates, price reductions and incentives given to customers, promotional couponing and trade communication costs, and are based on the contractual arrangements with each customer. Discounts can either be immediately deducted from the sales value on the invoice or off-invoice and settled later through credit notes when the precise amounts are known. Amounts provided for discounts at the end of a period require estimation; historical data and accumulated experience are used to assess the provision using the most likely amount method and in most instances, the discount can be recognised using known facts with a high level of accuracy. Any differences between actual amounts settled and the amounts provided are recognised in the subsequent reporting period and are not material year-on-year. Rebate accruals, representing the unsettled portion of variable consideration due back to customers not yet invoiced, totalled \u20ac3,481 million at 31 December 2025 (2024: \u20ac3,815 million; 2023: \u20ac3,816 million). Customer contracts generally contain a single performance obligation and turnover is recognised when control of the products being sold has transferred to our customer, as there are no longer any unfulfilled obligations to the customer. This is generally on delivery to the customer but depending on individual customer terms, this can be at the time of dispatch, delivery or upon formal customer acceptance. This is considered the appropriate point where the performance obligations in our contracts are satisfied as Unilever no longer has control over the inventory. Our customers have the contractual right to return goods only when authorised by Unilever. If material, an estimate is made of goods that will be\u00a0returned, and a liability is recognised for this amount. An asset is then recorded for the corresponding inventory that is estimated to return to\u00a0Unilever using a best estimate based on accumulated experience. Our customers are distributors who may be able to return unsold goods in consignment arrangements. Underlying operating profit Underlying operating profit means operating profit before the impact of non-underlying items within operating profit. Underlying operating profit represents our measure of segment profit or loss as it is the primary measure used for the purpose of making decisions about allocating resources and\u00a0assessing performance of segments. Items are classified as non-underlying due to their nature and/or frequency of occurrence. |
Operating costs Operating costs include cost of sales, brand and marketing investment, overheads and other items including gains and losses on business disposals, acquisition and disposal-related costs, restructuring costs, impairments and other items within operating profit recognised separately due to their nature and/or frequency. (i) Cost of sales Cost of sales includes the cost of inventories sold during the period and distribution costs. The cost of inventories are raw and packaging materials and\u00a0related production costs. Distribution costs are charged to the income statement as incurred. (ii) Brand and marketing investment Brand and marketing investment include costs related to creating and maintaining brand equity and brand awareness. This includes media, advertising production, promotional materials and engagement with consumers. These costs are charged to the income statement as incurred. (iii) Overheads Overheads include staff costs associated with sales activities and central functions such as finance, human resources, and research and development costs. Research and development costs are staff costs, material costs, depreciation of property, plant and equipment, patent costs and other costs that are directly attributable to research and product development activities. These costs are charged to the income statement as\u00a0incurred. (iv) Restructuring costs Restructuring costs are costs that are directly attributable to a restructuring project. Management define a restructuring project as a strategic, major initiative that delivers cost savings and materially change either the scope of the business or the manner in which the business is conducted. (v) Acquisition and disposal-related costs Acquisition and disposal-related costs are costs that are directly attributable to a business acquisition or disposal project. (vi) Impairment of assets Impairment of assets including goodwill, intangible assets and property, plant and equipment. (vii) Gains or losses from the disposal of group companies Gains or losses from the disposal of group companies which arise from business disposal projects. (viii) Others Other approved one-off items are those additional matters considered by management to be significant and outside the course of normal operations. |
\u20ac million 2025 | \u20ac million 2024(a) | \u20ac million 2023(a) | |
Turnover | 50,503 | 52,479 | 51,680 |
Cost of sales | (26,794) | (27,976) | (29,180) |
of which: | |||
Distribution costs | (2,704) | (2,649) | (2,716) |
Production costs | (2,972) | (3,064) | (2,972) |
Raw and packaging materials and goods purchased for resale | (19,643) | (20,781) | (21,996) |
Other | (1,476) | (1,482) | (1,495) |
Gross profit | 23,709 | 24,503 | 22,500 |
Selling and administrative expenses | (13,624) | (14,305) | (13,421) |
of which: | |||
Brand and marketing investment | (8,142) | (8,378) | (7,563) |
Overheads | (5,482) | (5,928) | (5,858) |
of which: Research and development (b) | (836) | (892) | (853) |
(Loss)/gain on disposal of group companies(c) | (36) | (229) | 491 |
Acquisition and disposal-related costs(d) | (288) | (293) | (222) |
Restructuring costs(e) | (599) | (710) | (425) |
Impairments(f) | (43) | (134) | \u2013 |
Other (g) | (81) | (3) | 75 |
Operating profit | 9,037 | 8,829 | 8,998 |
Operating costs Operating costs include cost of sales, brand and marketing investment, overheads and other items including gains and losses on business disposals, acquisition and disposal-related costs, restructuring costs, impairments and other items within operating profit recognised separately due to their nature and/or frequency. (i) Cost of sales Cost of sales includes the cost of inventories sold during the period and distribution costs. The cost of inventories are raw and packaging materials and\u00a0related production costs. Distribution costs are charged to the income statement as incurred. (ii) Brand and marketing investment Brand and marketing investment include costs related to creating and maintaining brand equity and brand awareness. This includes media, advertising production, promotional materials and engagement with consumers. These costs are charged to the income statement as incurred. (iii) Overheads Overheads include staff costs associated with sales activities and central functions such as finance, human resources, and research and development costs. Research and development costs are staff costs, material costs, depreciation of property, plant and equipment, patent costs and other costs that are directly attributable to research and product development activities. These costs are charged to the income statement as\u00a0incurred. (iv) Restructuring costs Restructuring costs are costs that are directly attributable to a restructuring project. Management define a restructuring project as a strategic, major initiative that delivers cost savings and materially change either the scope of the business or the manner in which the business is conducted. (v) Acquisition and disposal-related costs Acquisition and disposal-related costs are costs that are directly attributable to a business acquisition or disposal project. (vi) Impairment of assets Impairment of assets including goodwill, intangible assets and property, plant and equipment. (vii) Gains or losses from the disposal of group companies Gains or losses from the disposal of group companies which arise from business disposal projects. (viii) Others Other approved one-off items are those additional matters considered by management to be significant and outside the course of normal operations. |
\u20ac million 2025 | \u20ac million 2024(a) | \u20ac million 2023(a) | |
Turnover | 50,503 | 52,479 | 51,680 |
Cost of sales | (26,794) | (27,976) | (29,180) |
of which: | |||
Distribution costs | (2,704) | (2,649) | (2,716) |
Production costs | (2,972) | (3,064) | (2,972) |
Raw and packaging materials and goods purchased for resale | (19,643) | (20,781) | (21,996) |
Other | (1,476) | (1,482) | (1,495) |
Gross profit | 23,709 | 24,503 | 22,500 |
Selling and administrative expenses | (13,624) | (14,305) | (13,421) |
of which: | |||
Brand and marketing investment | (8,142) | (8,378) | (7,563) |
Overheads | (5,482) | (5,928) | (5,858) |
of which: Research and development (b) | (836) | (892) | (853) |
(Loss)/gain on disposal of group companies(c) | (36) | (229) | 491 |
Acquisition and disposal-related costs(d) | (288) | (293) | (222) |
Restructuring costs(e) | (599) | (710) | (425) |
Impairments(f) | (43) | (134) | \u2013 |
Other (g) | (81) | (3) | 75 |
Operating profit | 9,037 | 8,829 | 8,998 |
Operating costs Operating costs include cost of sales, brand and marketing investment, overheads and other items including gains and losses on business disposals, acquisition and disposal-related costs, restructuring costs, impairments and other items within operating profit recognised separately due to their nature and/or frequency. (i) Cost of sales Cost of sales includes the cost of inventories sold during the period and distribution costs. The cost of inventories are raw and packaging materials and\u00a0related production costs. Distribution costs are charged to the income statement as incurred. (ii) Brand and marketing investment Brand and marketing investment include costs related to creating and maintaining brand equity and brand awareness. This includes media, advertising production, promotional materials and engagement with consumers. These costs are charged to the income statement as incurred. (iii) Overheads Overheads include staff costs associated with sales activities and central functions such as finance, human resources, and research and development costs. Research and development costs are staff costs, material costs, depreciation of property, plant and equipment, patent costs and other costs that are directly attributable to research and product development activities. These costs are charged to the income statement as\u00a0incurred. (iv) Restructuring costs Restructuring costs are costs that are directly attributable to a restructuring project. Management define a restructuring project as a strategic, major initiative that delivers cost savings and materially change either the scope of the business or the manner in which the business is conducted. (v) Acquisition and disposal-related costs Acquisition and disposal-related costs are costs that are directly attributable to a business acquisition or disposal project. (vi) Impairment of assets Impairment of assets including goodwill, intangible assets and property, plant and equipment. (vii) Gains or losses from the disposal of group companies Gains or losses from the disposal of group companies which arise from business disposal projects. (viii) Others Other approved one-off items are those additional matters considered by management to be significant and outside the course of normal operations. |
\u20ac million 2025 | \u20ac million 2024(a) | \u20ac million 2023(a) | |
Turnover | 50,503 | 52,479 | 51,680 |
Cost of sales | (26,794) | (27,976) | (29,180) |
of which: | |||
Distribution costs | (2,704) | (2,649) | (2,716) |
Production costs | (2,972) | (3,064) | (2,972) |
Raw and packaging materials and goods purchased for resale | (19,643) | (20,781) | (21,996) |
Other | (1,476) | (1,482) | (1,495) |
Gross profit | 23,709 | 24,503 | 22,500 |
Selling and administrative expenses | (13,624) | (14,305) | (13,421) |
of which: | |||
Brand and marketing investment | (8,142) | (8,378) | (7,563) |
Overheads | (5,482) | (5,928) | (5,858) |
of which: Research and development (b) | (836) | (892) | (853) |
(Loss)/gain on disposal of group companies(c) | (36) | (229) | 491 |
Acquisition and disposal-related costs(d) | (288) | (293) | (222) |
Restructuring costs(e) | (599) | (710) | (425) |
Impairments(f) | (43) | (134) | \u2013 |
Other (g) | (81) | (3) | 75 |
Operating profit | 9,037 | 8,829 | 8,998 |
Operating costs Operating costs include cost of sales, brand and marketing investment, overheads and other items including gains and losses on business disposals, acquisition and disposal-related costs, restructuring costs, impairments and other items within operating profit recognised separately due to their nature and/or frequency. (i) Cost of sales Cost of sales includes the cost of inventories sold during the period and distribution costs. The cost of inventories are raw and packaging materials and\u00a0related production costs. Distribution costs are charged to the income statement as incurred. (ii) Brand and marketing investment Brand and marketing investment include costs related to creating and maintaining brand equity and brand awareness. This includes media, advertising production, promotional materials and engagement with consumers. These costs are charged to the income statement as incurred. (iii) Overheads Overheads include staff costs associated with sales activities and central functions such as finance, human resources, and research and development costs. Research and development costs are staff costs, material costs, depreciation of property, plant and equipment, patent costs and other costs that are directly attributable to research and product development activities. These costs are charged to the income statement as\u00a0incurred. (iv) Restructuring costs Restructuring costs are costs that are directly attributable to a restructuring project. Management define a restructuring project as a strategic, major initiative that delivers cost savings and materially change either the scope of the business or the manner in which the business is conducted. (v) Acquisition and disposal-related costs Acquisition and disposal-related costs are costs that are directly attributable to a business acquisition or disposal project. (vi) Impairment of assets Impairment of assets including goodwill, intangible assets and property, plant and equipment. (vii) Gains or losses from the disposal of group companies Gains or losses from the disposal of group companies which arise from business disposal projects. (viii) Others Other approved one-off items are those additional matters considered by management to be significant and outside the course of normal operations. |
\u20ac million 2025 | \u20ac million 2024(a) | \u20ac million 2023(a) | |
Turnover | 50,503 | 52,479 | 51,680 |
Cost of sales | (26,794) | (27,976) | (29,180) |
of which: | |||
Distribution costs | (2,704) | (2,649) | (2,716) |
Production costs | (2,972) | (3,064) | (2,972) |
Raw and packaging materials and goods purchased for resale | (19,643) | (20,781) | (21,996) |
Other | (1,476) | (1,482) | (1,495) |
Gross profit | 23,709 | 24,503 | 22,500 |
Selling and administrative expenses | (13,624) | (14,305) | (13,421) |
of which: | |||
Brand and marketing investment | (8,142) | (8,378) | (7,563) |
Overheads | (5,482) | (5,928) | (5,858) |
of which: Research and development (b) | (836) | (892) | (853) |
(Loss)/gain on disposal of group companies(c) | (36) | (229) | 491 |
Acquisition and disposal-related costs(d) | (288) | (293) | (222) |
Restructuring costs(e) | (599) | (710) | (425) |
Impairments(f) | (43) | (134) | \u2013 |
Other (g) | (81) | (3) | 75 |
Operating profit | 9,037 | 8,829 | 8,998 |
Operating costs Operating costs include cost of sales, brand and marketing investment, overheads and other items including gains and losses on business disposals, acquisition and disposal-related costs, restructuring costs, impairments and other items within operating profit recognised separately due to their nature and/or frequency. (i) Cost of sales Cost of sales includes the cost of inventories sold during the period and distribution costs. The cost of inventories are raw and packaging materials and\u00a0related production costs. Distribution costs are charged to the income statement as incurred. (ii) Brand and marketing investment Brand and marketing investment include costs related to creating and maintaining brand equity and brand awareness. This includes media, advertising production, promotional materials and engagement with consumers. These costs are charged to the income statement as incurred. (iii) Overheads Overheads include staff costs associated with sales activities and central functions such as finance, human resources, and research and development costs. Research and development costs are staff costs, material costs, depreciation of property, plant and equipment, patent costs and other costs that are directly attributable to research and product development activities. These costs are charged to the income statement as\u00a0incurred. (iv) Restructuring costs Restructuring costs are costs that are directly attributable to a restructuring project. Management define a restructuring project as a strategic, major initiative that delivers cost savings and materially change either the scope of the business or the manner in which the business is conducted. (v) Acquisition and disposal-related costs Acquisition and disposal-related costs are costs that are directly attributable to a business acquisition or disposal project. (vi) Impairment of assets Impairment of assets including goodwill, intangible assets and property, plant and equipment. (vii) Gains or losses from the disposal of group companies Gains or losses from the disposal of group companies which arise from business disposal projects. (viii) Others Other approved one-off items are those additional matters considered by management to be significant and outside the course of normal operations. |
\u20ac million 2025 | \u20ac million 2024(a) | \u20ac million 2023(a) | |
Turnover | 50,503 | 52,479 | 51,680 |
Cost of sales | (26,794) | (27,976) | (29,180) |
of which: | |||
Distribution costs | (2,704) | (2,649) | (2,716) |
Production costs | (2,972) | (3,064) | (2,972) |
Raw and packaging materials and goods purchased for resale | (19,643) | (20,781) | (21,996) |
Other | (1,476) | (1,482) | (1,495) |
Gross profit | 23,709 | 24,503 | 22,500 |
Selling and administrative expenses | (13,624) | (14,305) | (13,421) |
of which: | |||
Brand and marketing investment | (8,142) | (8,378) | (7,563) |
Overheads | (5,482) | (5,928) | (5,858) |
of which: Research and development (b) | (836) | (892) | (853) |
(Loss)/gain on disposal of group companies(c) | (36) | (229) | 491 |
Acquisition and disposal-related costs(d) | (288) | (293) | (222) |
Restructuring costs(e) | (599) | (710) | (425) |
Impairments(f) | (43) | (134) | \u2013 |
Other (g) | (81) | (3) | 75 |
Operating profit | 9,037 | 8,829 | 8,998 |
Operating costs Operating costs include cost of sales, brand and marketing investment, overheads and other items including gains and losses on business disposals, acquisition and disposal-related costs, restructuring costs, impairments and other items within operating profit recognised separately due to their nature and/or frequency. (i) Cost of sales Cost of sales includes the cost of inventories sold during the period and distribution costs. The cost of inventories are raw and packaging materials and\u00a0related production costs. Distribution costs are charged to the income statement as incurred. (ii) Brand and marketing investment Brand and marketing investment include costs related to creating and maintaining brand equity and brand awareness. This includes media, advertising production, promotional materials and engagement with consumers. These costs are charged to the income statement as incurred. (iii) Overheads Overheads include staff costs associated with sales activities and central functions such as finance, human resources, and research and development costs. Research and development costs are staff costs, material costs, depreciation of property, plant and equipment, patent costs and other costs that are directly attributable to research and product development activities. These costs are charged to the income statement as\u00a0incurred. (iv) Restructuring costs Restructuring costs are costs that are directly attributable to a restructuring project. Management define a restructuring project as a strategic, major initiative that delivers cost savings and materially change either the scope of the business or the manner in which the business is conducted. (v) Acquisition and disposal-related costs Acquisition and disposal-related costs are costs that are directly attributable to a business acquisition or disposal project. (vi) Impairment of assets Impairment of assets including goodwill, intangible assets and property, plant and equipment. (vii) Gains or losses from the disposal of group companies Gains or losses from the disposal of group companies which arise from business disposal projects. (viii) Others Other approved one-off items are those additional matters considered by management to be significant and outside the course of normal operations. |
Operating costs Operating costs include cost of sales, brand and marketing investment, overheads and other items including gains and losses on business disposals, acquisition and disposal-related costs, restructuring costs, impairments and other items within operating profit recognised separately due to their nature and/or frequency. (i) Cost of sales Cost of sales includes the cost of inventories sold during the period and distribution costs. The cost of inventories are raw and packaging materials and\u00a0related production costs. Distribution costs are charged to the income statement as incurred. (ii) Brand and marketing investment Brand and marketing investment include costs related to creating and maintaining brand equity and brand awareness. This includes media, advertising production, promotional materials and engagement with consumers. These costs are charged to the income statement as incurred. (iii) Overheads Overheads include staff costs associated with sales activities and central functions such as finance, human resources, and research and development costs. Research and development costs are staff costs, material costs, depreciation of property, plant and equipment, patent costs and other costs that are directly attributable to research and product development activities. These costs are charged to the income statement as\u00a0incurred. (iv) Restructuring costs Restructuring costs are costs that are directly attributable to a restructuring project. Management define a restructuring project as a strategic, major initiative that delivers cost savings and materially change either the scope of the business or the manner in which the business is conducted. (v) Acquisition and disposal-related costs Acquisition and disposal-related costs are costs that are directly attributable to a business acquisition or disposal project. (vi) Impairment of assets Impairment of assets including goodwill, intangible assets and property, plant and equipment. (vii) Gains or losses from the disposal of group companies Gains or losses from the disposal of group companies which arise from business disposal projects. (viii) Others Other approved one-off items are those additional matters considered by management to be significant and outside the course of normal operations. |
\u20ac million 2025 | \u20ac million 2024(a) | \u20ac million 2023(a) | |
Turnover | 50,503 | 52,479 | 51,680 |
Cost of sales | (26,794) | (27,976) | (29,180) |
of which: | |||
Distribution costs | (2,704) | (2,649) | (2,716) |
Production costs | (2,972) | (3,064) | (2,972) |
Raw and packaging materials and goods purchased for resale | (19,643) | (20,781) | (21,996) |
Other | (1,476) | (1,482) | (1,495) |
Gross profit | 23,709 | 24,503 | 22,500 |
Selling and administrative expenses | (13,624) | (14,305) | (13,421) |
of which: | |||
Brand and marketing investment | (8,142) | (8,378) | (7,563) |
Overheads | (5,482) | (5,928) | (5,858) |
of which: Research and development (b) | (836) | (892) | (853) |
(Loss)/gain on disposal of group companies(c) | (36) | (229) | 491 |
Acquisition and disposal-related costs(d) | (288) | (293) | (222) |
Restructuring costs(e) | (599) | (710) | (425) |
Impairments(f) | (43) | (134) | \u2013 |
Other (g) | (81) | (3) | 75 |
Operating profit | 9,037 | 8,829 | 8,998 |
\u20ac million 2025 | \u20ac million 2024(a) | \u20ac million 2023(a) | |
Turnover | 50,503 | 52,479 | 51,680 |
Cost of sales | (26,794) | (27,976) | (29,180) |
of which: | |||
Distribution costs | (2,704) | (2,649) | (2,716) |
Production costs | (2,972) | (3,064) | (2,972) |
Raw and packaging materials and goods purchased for resale | (19,643) | (20,781) | (21,996) |
Other | (1,476) | (1,482) | (1,495) |
Gross profit | 23,709 | 24,503 | 22,500 |
Selling and administrative expenses | (13,624) | (14,305) | (13,421) |
of which: | |||
Brand and marketing investment | (8,142) | (8,378) | (7,563) |
Overheads | (5,482) | (5,928) | (5,858) |
of which: Research and development (b) | (836) | (892) | (853) |
(Loss)/gain on disposal of group companies(c) | (36) | (229) | 491 |
Acquisition and disposal-related costs(d) | (288) | (293) | (222) |
Restructuring costs(e) | (599) | (710) | (425) |
Impairments(f) | (43) | (134) | \u2013 |
Other (g) | (81) | (3) | 75 |
Operating profit | 9,037 | 8,829 | 8,998 |
\u20ac million 2025 | \u20ac million 2024(a) | \u20ac million 2023(a) | |
Turnover | 50,503 | 52,479 | 51,680 |
Cost of sales | (26,794) | (27,976) | (29,180) |
of which: | |||
Distribution costs | (2,704) | (2,649) | (2,716) |
Production costs | (2,972) | (3,064) | (2,972) |
Raw and packaging materials and goods purchased for resale | (19,643) | (20,781) | (21,996) |
Other | (1,476) | (1,482) | (1,495) |
Gross profit | 23,709 | 24,503 | 22,500 |
Selling and administrative expenses | (13,624) | (14,305) | (13,421) |
of which: | |||
Brand and marketing investment | (8,142) | (8,378) | (7,563) |
Overheads | (5,482) | (5,928) | (5,858) |
of which: Research and development (b) | (836) | (892) | (853) |
(Loss)/gain on disposal of group companies(c) | (36) | (229) | 491 |
Acquisition and disposal-related costs(d) | (288) | (293) | (222) |
Restructuring costs(e) | (599) | (710) | (425) |
Impairments(f) | (43) | (134) | \u2013 |
Other (g) | (81) | (3) | 75 |
Operating profit | 9,037 | 8,829 | 8,998 |
\u20ac million 2025 | \u20ac million 2024(a) | \u20ac million 2023(a) | |
Turnover | 50,503 | 52,479 | 51,680 |
Cost of sales | (26,794) | (27,976) | (29,180) |
of which: | |||
Distribution costs | (2,704) | (2,649) | (2,716) |
Production costs | (2,972) | (3,064) | (2,972) |
Raw and packaging materials and goods purchased for resale | (19,643) | (20,781) | (21,996) |
Other | (1,476) | (1,482) | (1,495) |
Gross profit | 23,709 | 24,503 | 22,500 |
Selling and administrative expenses | (13,624) | (14,305) | (13,421) |
of which: | |||
Brand and marketing investment | (8,142) | (8,378) | (7,563) |
Overheads | (5,482) | (5,928) | (5,858) |
of which: Research and development (b) | (836) | (892) | (853) |
(Loss)/gain on disposal of group companies(c) | (36) | (229) | 491 |
Acquisition and disposal-related costs(d) | (288) | (293) | (222) |
Restructuring costs(e) | (599) | (710) | (425) |
Impairments(f) | (43) | (134) | \u2013 |
Other (g) | (81) | (3) | 75 |
Operating profit | 9,037 | 8,829 | 8,998 |
Staff costs | \u20ac million 2025 | \u20ac million 2024 | \u20ac million 2023 |
Wages and salaries | (5,433) | (5,852) | (5,722) |
Social security costs | (594) | (640) | (591) |
Other pension costs | (333) | (339) | (348) |
Share-based compensation costs | (284) | (324) | (212) |
(6,644) | (7,155) | (6,873) |
Average number of employees during the year(a) | '000 2025 | '000 2024 | '000 2023 |
Asia Pacific Africa | 51 | 54 | 56 |
The Americas | 30 | 31 | 32 |
Europe | 19 | 20 | 20 |
Total continuing operations | 100 | 105 | 108 |
Discontinued operations | 18 | 20 | 20 |
Total | 118 | 125 | 128 |
Key management compensation | \u20ac million 2025(a) | \u20ac million 2024(a) | \u20ac million 2023(a) |
Salaries and short-term employee benefits | (37) | (44) | (41) |
Share-based benefits (b) | (21) | (19) | (13) |
(58) | (63) | (54) | |
Of which: Executive Directors | (9) | (14) | (13) |
\u00a0 Other (c) | (49) | (49) | (41) |
Non-Executive Directors\u2019 fees | (2) | (2) | (2) |
(60) | (65) | (56) |
For defined benefit plans, operating and finance costs are recognised separately in the income statement. The amount charged to operating cost in\u00a0the income statement is the cost of accruing pension benefits promised to employees over the year, administration costs (other than costs of managing plan assets), plus the costs of individual events such as past service benefit changes, settlements and curtailments (such events are recognised immediately in the income statement). The amount charged or credited to finance costs is a net interest expense calculated by applying the liability discount rate to the surplus or deficit. Any differences between the expected interest on assets and the return actually achieved, and any changes in the liabilities over the year due to\u00a0changes in assumptions or experience within the plans, are recognised immediately in the statement of comprehensive income. The defined benefit plan surplus or deficit on the balance sheet comprises the total for each plan of the fair value of plan assets less the present value\u00a0of the defined benefit liabilities (using a discount rate based on high-quality corporate bonds, or a suitable alternative where there is no active corporate bond market) adjusted for irrecoverable surpluses. All defined benefit plans are subject to regular actuarial review using the projected unit method by external consultants. The Group policy is that the\u00a0most material plans, representing approximately 81% of the defined benefit liabilities, are formally valued every year. Other material plans, accounting for a further 14% of the liabilities, have their liabilities updated each year. Group policy for the remaining plans requires a full actuarial valuation at least every three years. Asset values for all plans are updated every year. For defined contribution plans, the charges to the income statement are the company contributions payable, as the company\u2019s obligation is limited to\u00a0the contributions paid into the plans. The assets and liabilities of such plans are not included in the balance sheet of the Group. | ||||
31 December 2025 | 31 December 2024 | ||||
Defined benefit pension plans | Other post- employment benefit plans | Defined benefit pension plans | Other post- employment benefit plans | ||
Discount rate | 5.1% | 6.3% | 4.8% | 6.3% | |
Inflation | 2.6% | n/a | 2.8% | n/a | |
Rate of increase in salaries | 3.3% | 3.0% | 3.4% | 3.0% | |
Rate of increase for pensions in payment (where provided) | 2.5% | n/a | 2.5% | n/a | |
Rate of increase for pensions in deferment (where provided) | 2.6% | n/a | 2.8% | n/a | |
Long-term medical cost inflation | n/a | 5.6% | n/a | 5.7% |
United Kingdom | Netherlands | ||||
2025 | 2024 | 2025 | 2024 | ||
Discount rate | 5.6% | 5.6% | 4.2% | 3.4% | |
Inflation | 2.9% | 3.1% | 2.0% | 2.0% | |
Rate of increase in salaries | 3.6% | 3.8% | 2.5% | 2.5% | |
Rate of increase for pensions in payment (where provided) | 2.8% | 2.9% | 2.0% | 2.0% | |
Rate of increase for pensions in deferment (where provided) | 2.6% | 2.9% | 2.0% | 2.0% | |
Number of years a current pensioner is expected to live beyond age 65: | |||||
Men | 21.5 | 21.5 | 22.1 | 22.0 | |
Women | 23.2 | 23.1 | 24.3 | 24.2 | |
Number of years a future pensioner currently aged 45 is expected to live beyond age 65: | |||||
Men | 22.6 | 22.5 | 24.1 | 24.0 | |
Women | 24.4 | 24.3 | 26.3 | 26.2 |
Notes | \u20ac million 2025 | \u20ac million 2024(a) | \u20ac million 2023(a) | |
Charged to operating profit: | ||||
Defined benefit pension and other benefit plans: | ||||
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Gross service cost | (154) | (168) | (119) | |
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Employee contributions | 32 | 36 | 10 | |
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Special termination benefits | (5) | (5) | (14) | |
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Past service cost including (losses)/gains on curtailments(b) | 18 | 32 | 3 | |
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Settlements | 11 | 5 | 2 | |
Defined contribution plans | (196) | (197) | (186) | |
Total operating cost | 4A | (294) | (297) | (304) |
Finance income/(cost) (c) | 5 | 123 | 83 | 121 |
Net impact on the income statement (before tax) | (171) | (214) | (183) |
\u20ac million 2025 | \u20ac million 2024(a) | \u20ac million 2023(a) | |
Return on plan assets excluding amounts included in net finance income/(cost) | (196) | (653) | 87 |
Change in asset ceiling excluding amounts included in finance cost | (19) | (37) | (5) |
Actuarial gains/(losses) arising from changes in demographic assumptions | (12) | 23 | 98 |
Actuarial gains/(losses) arising from changes in financial assumptions | 574 | 880 | (544) |
Experience gains/(losses) arising on pension plan and other benefit plan liabilities | (128) | 58 | (386) |
Total of defined benefit costs recognised in other comprehensive income | 219 | 271 | (750) |
\u20ac million 2025 | \u20ac million 2024 | ||||
Pension plans | Other post- employment benefit plans | Pension plans | Other post- employment benefit plans | ||
Fair value of assets | 18,050 | 1 | 19,867 | 2 | |
Present value of liabilities | (13,934) | (282) | (16,259) | (345) | |
Computed surplus/(deficit) | 4,116 | (281) | 3,608 | (343) | |
Irrecoverable surplus (a) | (317) | \u2013 | (295) | \u2013 | |
Surplus/(deficit) | 3,799 | (281) | 3,313 | (343) | |
Of which in respect of: | |||||
Funded plans in surplus: | |||||
Liabilities | (12,969) | \u2013 | (12,909) | \u2013 | |
Assets | 17,748 | \u2013 | 17,368 | \u2013 | |
Aggregate surplus | 4,779 | \u2013 | 4,459 | \u2013 | |
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Irrecoverable surplus(a) | (317) | \u2013 | (295) | \u2013 | |
Surplus/(deficit) | 4,462 | \u2013 | 4,164 | \u2013 | |
Funded plans in deficit: | |||||
Liabilities | (368) | (35) | (2,633) | (41) | |
Assets | 302 | 1 | 2,499 | 2 | |
Surplus/(deficit) | (66) | (34) | (134) | (39) | |
Unfunded plans: | |||||
Pension liabilities | (597) | (247) | (717) | (304) |
\u20ac million UK | \u20ac million Netherlands | \u20ac million Rest of world | \u20ac million 2025 Total | \u20ac million UK | \u20ac million Netherlands | \u20ac million Rest of world | \u20ac million 2024 Total | |
1 January fair value of assets | 8,132 | 5,595 | 6,142 | 19,869 | 8,679 | 5,514 | 5,985 | 20,178 |
1 January irrecoverable surplus | \u2013 | \u2013 | (295) | (295) | \u2013 | \u2013 | (255) | (255) |
1 January (after irrecoverable surplus) | 8,132 | 5,595 | 5,847 | 19,574 | 8,679 | 5,514 | 5,730 | 19,923 |
Employee contributions | \u2013 | \u2013 | 33 | 33 | \u2013 | \u2013 | 37 | 37 |
Settlements(a) | \u2013 | \u2013 | (169) | (169) | \u2013 | \u2013 | \u2013 | \u2013 |
Actual return on plan assets (excluding amounts in net finance income/charge) | (113) | (156) | 95 | (174) | (894) | 194 | 99 | (601) |
Change in asset ceiling excluding amounts included in interest expenses | \u2013 | \u2013 | (21) | (21) | \u2013 | \u2013 | (38) | (38) |
Interest income(b) | 428 | 187 | 257 | 872 | 407 | 174 | 273 | 854 |
Employer contributions(c) | 49 | (108) | 267 | 208 | 47 | (106) | 256 | 197 |
Benefit payments | (498) | (182) | (538) | (1,218) | (492) | (181) | (535) | (1,208) |
Other(d) | \u2013 | \u2013 | (771) | (771) | \u2013 | \u2013 | (13) | (13) |
Currency retranslation | (392) | \u2013 | (208) | (600) | 385 | \u2013 | 38 | 423 |
31 December (after irrecoverable surplus) | 7,606 | 5,336 | 4,792 | 17,734 | 8,132 | 5,595 | 5,847 | 19,574 |
31 December irrecoverable surplus | \u2013 | \u2013 | (317) | (317) | \u2013 | \u2013 | (295) | (295) |
31 December fair value of assets | 7,606 | 5,336 | 5,109 | 18,051 | 8,132 | 5,595 | 6,142 | 19,869 |
\u20ac million UK | \u20ac million Netherlands | \u20ac million Rest of world | \u20ac million 2025 Total | \u20ac million UK | \u20ac million Netherlands | \u20ac million Rest of world | \u20ac million 2024 Total | |
1 January | (6,782) | (3,653) | (6,169) | (16,604) | (7,250) | (4,031) | (6,241) | (17,522) |
Gross service cost | (47) | (3) | (112) | (162) | (51) | (4) | (123) | (178) |
Special termination benefits | \u2013 | \u2013 | (5) | (5) | \u2013 | \u2013 | (5) | (5) |
Past service costs including losses/(gains) on curtailments | 6 | 1 | 10 | 17 | 27 | \u2013 | 5 | 32 |
Settlements(a) | \u2013 | \u2013 | 180 | 180 | \u2013 | \u2013 | 5 | 5 |
Interest cost | (354) | (121) | (283) | (758) | (337) | (126) | (320) | (783) |
Actuarial gain/(loss) arising from changes in demographic assumptions | \u2013 | (8) | (4) | (12) | 3 | 13 | 10 | 26 |
Actuarial gain/(loss) arising from changes in financial assumptions | 121 | 363 | 134 | 618 | 675 | 160 | 68 | 903 |
Actuarial gain/(loss) arising from experience adjustments | (167) | (17) | 59 | (125) | (14) | 154 | (112) | 28 |
Benefit payments | 498 | 182 | 538 | 1,218 | 492 | 181 | 535 | 1,208 |
Other(b) | 1 | 1 | 779 | 781 | \u2013 | \u2013 | 33 | 33 |
Currency retranslation | 324 | \u2013 | 312 | 636 | (327) | \u2013 | (24) | (351) |
31 December | (6,400) | (3,255) | (4,561) | (14,216) | (6,782) | (3,653) | (6,169) | (16,604) |
\u20ac million UK | \u20ac million Netherlands | \u20ac million Rest of world | \u20ac million 2025 Total | \u20ac million UK | \u20ac million Netherlands | \u20ac million Rest of world | \u20ac million 2024 Total | |
1 January | 1,350 | 1,942 | (322) | 2,970 | 1,429 | 1,483 | (511) | 2,401 |
Gross service cost | (47) | (3) | (112) | (162) | (51) | (4) | (123) | (178) |
Employee contributions | \u2013 | \u2013 | 33 | 33 | \u2013 | \u2013 | 37 | 37 |
Special termination benefits | \u2013 | \u2013 | (5) | (5) | \u2013 | \u2013 | (5) | (5) |
Past service costs including losses/(gains) on curtailments | 6 | 1 | 10 | 17 | 27 | \u2013 | 5 | 32 |
Settlements | \u2013 | \u2013 | 11 | 11 | \u2013 | \u2013 | 5 | 5 |
Actual return on plan assets (excluding amounts in net finance income/charge) | (113) | (156) | 95 | (174) | (894) | 194 | 99 | (601) |
Change in asset ceiling excluding amounts included in interest expenses | \u2013 | \u2013 | (21) | (21) | \u2013 | \u2013 | (38) | (38) |
Interest cost | (354) | (121) | (283) | (758) | (337) | (126) | (320) | (783) |
Interest income(a) | 428 | 187 | 257 | 872 | 407 | 174 | 273 | 854 |
Actuarial gain/(loss) arising from changes in demographic assumptions | \u2013 | (8) | (4) | (12) | 3 | 13 | 10 | 26 |
Actuarial gain/(loss) arising from changes in financial assumptions | 121 | 363 | 134 | 618 | 675 | 160 | 68 | 903 |
Actuarial gain/(loss) arising from experience adjustments | (167) | (17) | 59 | (125) | (14) | 154 | (112) | 28 |
Employer contributions(b) | 49 | (108) | 267 | 208 | 47 | (106) | 256 | 197 |
Benefit payments | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 |
Other | 1 | 1 | 8 | 10 | \u2013 | \u2013 | 20 | 20 |
Currency retranslation | (68) | \u2013 | 104 | 36 | 58 | \u2013 | 14 | 72 |
31 December | 1,206 | 2,081 | 231 | 3,518 | 1,350 | 1,942 | (322) | 2,970 |
\u20ac million UK | \u20ac million Netherlands | \u20ac million Rest of world | \u20ac million 2025 Total | \u20ac million UK | \u20ac million Netherlands | \u20ac million Rest of world | \u20ac million 2024 Total | |
1 January | \u2013 | \u2013 | (295) | (295) | \u2013 | \u2013 | (255) | (255) |
Interest income | \u2013 | \u2013 | (6) | (6) | \u2013 | \u2013 | (7) | (7) |
Change in irrecoverable surplus in excess of interest | \u2013 | \u2013 | (21) | (21) | \u2013 | \u2013 | (38) | (38) |
Currency retranslations | \u2013 | \u2013 | 5 | 5 | \u2013 | \u2013 | 5 | 5 |
31 December | \u2013 | \u2013 | (317) | (317) | \u2013 | \u2013 | (295) | (295) |
UK | Netherlands | Rest of world(a) | 2025 Total | UK | Netherlands | Rest of world(a) | 2024 Total | |
Duration (years) | 12 | 13 | 9 | 0 to 21 | 12 | 14 | 10 | 0 to 23 |
Active members | 6% | 5% | 24% | 11% | 8% | 7% | 23% | 13% |
Deferred members | 28% | 37% | 16% | 27% | 30% | 38% | 15% | 27% |
Retired members | 66% | 58% | 60% | 62% | 62% | 55% | 62% | 60% |
\u20ac million 31 December 2025 | \u20ac million 31 December 2024 | ||||||||
UK | Netherlands | Rest\u00a0of world | 2025 Total | UK | Netherlands | Rest\u00a0of world | 2024 Total | ||
Total Pension Plans Assets | 7,606 | 5,336 | 5,108 | 18,050 | 8,132 | 5,595 | 6,140 | 19,867 | |
Equities Total | 188 | 755 | 665 | 1,608 | 214 | 1,176 | 1,106 | 2,496 | |
\u2013 Europe | 37 | 98 | 226 | 361 | 37 | 148 | 346 | 531 | |
\u2013 North America | 109 | 441 | 275 | 825 | 128 | 746 | 525 | 1,399 | |
\u2013 Other | 42 | 216 | 164 | 422 | 49 | 282 | 235 | 566 | |
Fixed Income Total | 5,815 | 3,893 | 3,212 | 12,920 | 6,228 | 3,627 | 3,763 | 13,618 | |
\u2013 Government bonds | 4,021 | 1,771 | 1,731 | 7,523 | 4,296 | 1,460 | 1,814 | 7,570 | |
\u2013 Investment grade corporate bonds | 875 | 666 | 1,010 | 2,551 | 895 | 648 | 1,296 | 2,839 | |
\u2013 Other Fixed Income | 919 | 1,456 | 471 | 2,846 | 1,037 | 1,519 | 653 | 3,209 | |
Derivatives | 20 | (93) | (15) | (88) | (239) | 90 | \u2013 | (149) | |
Private Equity | 655 | 113 | 39 | 807 | 617 | 105 | 32 | 754 | |
Property and Real Estate | 551 | 353 | 383 | 1,287 | 749 | 370 | 433 | 1,552 | |
Hedge Funds | 119 | \u2013 | 76 | 195 | 123 | \u2013 | 75 | 198 | |
Other | 258 | 315 | 433 | 1,006 | 440 | 227 | 404 | 1,071 | |
Other Pension Plans | \u2013 | \u2013 | 315 | 315 | \u2013 | \u2013 | 327 | 327 | |
Other Post-Employment Benefit Plans Assets | \u2013 | \u2013 | 1 | 1 | \u2013 | \u2013 | 2 | 2 | |
Total Assets | 7,606 | 5,336 | 5,109 | 18,051 | 8,132 | 5,595 | 6,142 | 19,869 |
Change in liabilities | ||||||||
Change\u00a0in\u00a0assumption | UK | Netherlands | Total | |||||
Discount rate | Increase by 0.5% | (5)% | (6)% | (5)% | ||||
Inflation rate | Increase by 0.5% | 4% | 7% | 4% | ||||
Life expectancy | Increase by 1 year | 5% | 4% | 4% | ||||
Long-term medical cost inflation(a) | Increase by 1.0% | n/a | n/a | 4% |
\u20ac million 2026 Estimate | \u20ac million 2025 | \u20ac million 2024(a) | \u20ac million 2023(a) | |
Company contributions to funded plans: | ||||
\u00a0 \u00a0 Defined Benefit (b) | 55 | 65 | 49 | 260 |
Defined Contribution | 205 | 196 | 197 | 186 |
Benefits paid by the Company in respect of unfunded plans: | ||||
Defined Benefit | 100 | 107 | 105 | 108 |
Group cash flow in respect of pensions and similar benefits | 360 | 368 | 351 | 554 |
The fair value of awards at grant date is calculated using observable market price. This value is expensed over their vesting period, with a corresponding credit to equity. The expense is reviewed and adjusted to reflect changes to the level of awards expected to vest, except where this arises from a failure to meet a market condition. Any cancellations are recognised immediately in the income statement. | ||||
2025 Number of shares | 2024 Number of shares | 2023 Number of shares | |
Outstanding at 1 January | 19,112,255 | 21,329,938 | 17,923,890 |
Awarded | 5,433,948 | 7,508,412 | 7,479,544 |
Vested | (6,413,314) | (6,296,695) | (2,021,439) |
Forfeited | (2,504,504) | (3,429,400) | (2,052,057) |
Outstanding at 31 December | 15,628,385 | 19,112,255 | 21,329,938 |
2025 | 2024 | 2023 | |
Share award value information | |||
Fair value per share award during the year | \u20ac52.20 | \u20ac46.19 | \u20ac45.71 |
2025 | 2024 | |||
Number of options | Weighted average exercise price | Number of options | Weighted average exercise price | |
Outstanding at 1 January | 181,138 | \u20ac0.01 | \u2013 | \u20ac0.00 |
Awarded | 221,727 | \u20ac0.01 | 196,994 | \u20ac0.01 |
Vested | \u2013 | \u20ac0.00 | \u2013 | \u20ac0.00 |
Forfeited | (54,155) | \u20ac0.01 | (15,856) | \u20ac0.01 |
Outstanding at 31 December | 348,710 | \u20ac0.01 | 181,138 | \u20ac0.01 |
2025 | 2024 | |||||
Outstanding share options | Weighted average exercise price | Weighted remaining average contractual life | Outstanding share options | Weighted average exercise price | Weighted remaining average contractual life | |
HUL PSP share options | 348,710 | \u20ac0.01 | 20 months | 181,138 | \u20ac0.01 | 25 months |
Staff costs | \u20ac million 2025 | \u20ac million 2024 | \u20ac million 2023 |
Wages and salaries | (5,433) | (5,852) | (5,722) |
Social security costs | (594) | (640) | (591) |
Other pension costs | (333) | (339) | (348) |
Share-based compensation costs | (284) | (324) | (212) |
(6,644) | (7,155) | (6,873) |
Average number of employees during the year(a) | '000 2025 | '000 2024 | '000 2023 |
Asia Pacific Africa | 51 | 54 | 56 |
The Americas | 30 | 31 | 32 |
Europe | 19 | 20 | 20 |
Total continuing operations | 100 | 105 | 108 |
Discontinued operations | 18 | 20 | 20 |
Total | 118 | 125 | 128 |
Key management compensation | \u20ac million 2025(a) | \u20ac million 2024(a) | \u20ac million 2023(a) |
Salaries and short-term employee benefits | (37) | (44) | (41) |
Share-based benefits (b) | (21) | (19) | (13) |
(58) | (63) | (54) | |
Of which: Executive Directors | (9) | (14) | (13) |
\u00a0 Other (c) | (49) | (49) | (41) |
Non-Executive Directors\u2019 fees | (2) | (2) | (2) |
(60) | (65) | (56) |
For defined benefit plans, operating and finance costs are recognised separately in the income statement. The amount charged to operating cost in\u00a0the income statement is the cost of accruing pension benefits promised to employees over the year, administration costs (other than costs of managing plan assets), plus the costs of individual events such as past service benefit changes, settlements and curtailments (such events are recognised immediately in the income statement). The amount charged or credited to finance costs is a net interest expense calculated by applying the liability discount rate to the surplus or deficit. Any differences between the expected interest on assets and the return actually achieved, and any changes in the liabilities over the year due to\u00a0changes in assumptions or experience within the plans, are recognised immediately in the statement of comprehensive income. The defined benefit plan surplus or deficit on the balance sheet comprises the total for each plan of the fair value of plan assets less the present value\u00a0of the defined benefit liabilities (using a discount rate based on high-quality corporate bonds, or a suitable alternative where there is no active corporate bond market) adjusted for irrecoverable surpluses. All defined benefit plans are subject to regular actuarial review using the projected unit method by external consultants. The Group policy is that the\u00a0most material plans, representing approximately 81% of the defined benefit liabilities, are formally valued every year. Other material plans, accounting for a further 14% of the liabilities, have their liabilities updated each year. Group policy for the remaining plans requires a full actuarial valuation at least every three years. Asset values for all plans are updated every year. For defined contribution plans, the charges to the income statement are the company contributions payable, as the company\u2019s obligation is limited to\u00a0the contributions paid into the plans. The assets and liabilities of such plans are not included in the balance sheet of the Group. | ||||
31 December 2025 | 31 December 2024 | ||||
Defined benefit pension plans | Other post- employment benefit plans | Defined benefit pension plans | Other post- employment benefit plans | ||
Discount rate | 5.1% | 6.3% | 4.8% | 6.3% | |
Inflation | 2.6% | n/a | 2.8% | n/a | |
Rate of increase in salaries | 3.3% | 3.0% | 3.4% | 3.0% | |
Rate of increase for pensions in payment (where provided) | 2.5% | n/a | 2.5% | n/a | |
Rate of increase for pensions in deferment (where provided) | 2.6% | n/a | 2.8% | n/a | |
Long-term medical cost inflation | n/a | 5.6% | n/a | 5.7% |
United Kingdom | Netherlands | ||||
2025 | 2024 | 2025 | 2024 | ||
Discount rate | 5.6% | 5.6% | 4.2% | 3.4% | |
Inflation | 2.9% | 3.1% | 2.0% | 2.0% | |
Rate of increase in salaries | 3.6% | 3.8% | 2.5% | 2.5% | |
Rate of increase for pensions in payment (where provided) | 2.8% | 2.9% | 2.0% | 2.0% | |
Rate of increase for pensions in deferment (where provided) | 2.6% | 2.9% | 2.0% | 2.0% | |
Number of years a current pensioner is expected to live beyond age 65: | |||||
Men | 21.5 | 21.5 | 22.1 | 22.0 | |
Women | 23.2 | 23.1 | 24.3 | 24.2 | |
Number of years a future pensioner currently aged 45 is expected to live beyond age 65: | |||||
Men | 22.6 | 22.5 | 24.1 | 24.0 | |
Women | 24.4 | 24.3 | 26.3 | 26.2 |
Notes | \u20ac million 2025 | \u20ac million 2024(a) | \u20ac million 2023(a) | |
Charged to operating profit: | ||||
Defined benefit pension and other benefit plans: | ||||
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Gross service cost | (154) | (168) | (119) | |
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Employee contributions | 32 | 36 | 10 | |
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Special termination benefits | (5) | (5) | (14) | |
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Past service cost including (losses)/gains on curtailments(b) | 18 | 32 | 3 | |
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Settlements | 11 | 5 | 2 | |
Defined contribution plans | (196) | (197) | (186) | |
Total operating cost | 4A | (294) | (297) | (304) |
Finance income/(cost) (c) | 5 | 123 | 83 | 121 |
Net impact on the income statement (before tax) | (171) | (214) | (183) |
\u20ac million 2025 | \u20ac million 2024(a) | \u20ac million 2023(a) | |
Return on plan assets excluding amounts included in net finance income/(cost) | (196) | (653) | 87 |
Change in asset ceiling excluding amounts included in finance cost | (19) | (37) | (5) |
Actuarial gains/(losses) arising from changes in demographic assumptions | (12) | 23 | 98 |
Actuarial gains/(losses) arising from changes in financial assumptions | 574 | 880 | (544) |
Experience gains/(losses) arising on pension plan and other benefit plan liabilities | (128) | 58 | (386) |
Total of defined benefit costs recognised in other comprehensive income | 219 | 271 | (750) |
\u20ac million 2025 | \u20ac million 2024 | ||||
Pension plans | Other post- employment benefit plans | Pension plans | Other post- employment benefit plans | ||
Fair value of assets | 18,050 | 1 | 19,867 | 2 | |
Present value of liabilities | (13,934) | (282) | (16,259) | (345) | |
Computed surplus/(deficit) | 4,116 | (281) | 3,608 | (343) | |
Irrecoverable surplus (a) | (317) | \u2013 | (295) | \u2013 | |
Surplus/(deficit) | 3,799 | (281) | 3,313 | (343) | |
Of which in respect of: | |||||
Funded plans in surplus: | |||||
Liabilities | (12,969) | \u2013 | (12,909) | \u2013 | |
Assets | 17,748 | \u2013 | 17,368 | \u2013 | |
Aggregate surplus | 4,779 | \u2013 | 4,459 | \u2013 | |
\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 Irrecoverable surplus(a) | (317) | \u2013 | (295) | \u2013 | |
Surplus/(deficit) | 4,462 | \u2013 | 4,164 | \u2013 | |
Funded plans in deficit: | |||||
Liabilities | (368) | (35) | (2,633) | (41) | |
Assets | 302 | 1 | 2,499 | 2 | |
Surplus/(deficit) | (66) | (34) | (134) | (39) | |
Unfunded plans: | |||||
Pension liabilities | (597) | (247) | (717) | (304) |
\u20ac million UK | \u20ac million Netherlands | \u20ac million Rest of world | \u20ac million 2025 Total | \u20ac million UK | \u20ac million Netherlands | \u20ac million Rest of world | \u20ac million 2024 Total | |
1 January fair value of assets | 8,132 | 5,595 | 6,142 | 19,869 | 8,679 | 5,514 | 5,985 | 20,178 |
1 January irrecoverable surplus | \u2013 | \u2013 | (295) | (295) | \u2013 | \u2013 | (255) | (255) |
1 January (after irrecoverable surplus) | 8,132 | 5,595 | 5,847 | 19,574 | 8,679 | 5,514 | 5,730 | 19,923 |
Employee contributions | \u2013 | \u2013 | 33 | 33 | \u2013 | \u2013 | 37 | 37 |
Settlements(a) | \u2013 | \u2013 | (169) | (169) | \u2013 | \u2013 | \u2013 | \u2013 |
Actual return on plan assets (excluding amounts in net finance income/charge) | (113) | (156) | 95 | (174) | (894) | 194 | 99 | (601) |
Change in asset ceiling excluding amounts included in interest expenses | \u2013 | \u2013 | (21) | (21) | \u2013 | \u2013 | (38) | (38) |
Interest income(b) | 428 | 187 | 257 | 872 | 407 | 174 | 273 | 854 |
Employer contributions(c) | 49 | (108) | 267 | 208 | 47 | (106) | 256 | 197 |
Benefit payments | (498) | (182) | (538) | (1,218) | (492) | (181) | (535) | (1,208) |
Other(d) | \u2013 | \u2013 | (771) | (771) | \u2013 | \u2013 | (13) | (13) |
Currency retranslation | (392) | \u2013 | (208) | (600) | 385 | \u2013 | 38 | 423 |
31 December (after irrecoverable surplus) | 7,606 | 5,336 | 4,792 | 17,734 | 8,132 | 5,595 | 5,847 | 19,574 |
31 December irrecoverable surplus | \u2013 | \u2013 | (317) | (317) | \u2013 | \u2013 | (295) | (295) |
31 December fair value of assets | 7,606 | 5,336 | 5,109 | 18,051 | 8,132 | 5,595 | 6,142 | 19,869 |
\u20ac million UK | \u20ac million Netherlands | \u20ac million Rest of world | \u20ac million 2025 Total | \u20ac million UK | \u20ac million Netherlands | \u20ac million Rest of world | \u20ac million 2024 Total | |
1 January | (6,782) | (3,653) | (6,169) | (16,604) | (7,250) | (4,031) | (6,241) | (17,522) |
Gross service cost | (47) | (3) | (112) | (162) | (51) | (4) | (123) | (178) |
Special termination benefits | \u2013 | \u2013 | (5) | (5) | \u2013 | \u2013 | (5) | (5) |
Past service costs including losses/(gains) on curtailments | 6 | 1 | 10 | 17 | 27 | \u2013 | 5 | 32 |
Settlements(a) | \u2013 | \u2013 | 180 | 180 | \u2013 | \u2013 | 5 | 5 |
Interest cost | (354) | (121) | (283) | (758) | (337) | (126) | (320) | (783) |
Actuarial gain/(loss) arising from changes in demographic assumptions | \u2013 | (8) | (4) | (12) | 3 | 13 | 10 | 26 |
Actuarial gain/(loss) arising from changes in financial assumptions | 121 | 363 | 134 | 618 | 675 | 160 | 68 | 903 |
Actuarial gain/(loss) arising from experience adjustments | (167) | (17) | 59 | (125) | (14) | 154 | (112) | 28 |
Benefit payments | 498 | 182 | 538 | 1,218 | 492 | 181 | 535 | 1,208 |
Other(b) | 1 | 1 | 779 | 781 | \u2013 | \u2013 | 33 | 33 |
Currency retranslation | 324 | \u2013 | 312 | 636 | (327) | \u2013 | (24) | (351) |
31 December | (6,400) | (3,255) | (4,561) | (14,216) | (6,782) | (3,653) | (6,169) | (16,604) |
\u20ac million UK | \u20ac million Netherlands | \u20ac million Rest of world | \u20ac million 2025 Total | \u20ac million UK | \u20ac million Netherlands | \u20ac million Rest of world | \u20ac million 2024 Total | |
1 January | 1,350 | 1,942 | (322) | 2,970 | 1,429 | 1,483 | (511) | 2,401 |
Gross service cost | (47) | (3) | (112) | (162) | (51) | (4) | (123) | (178) |
Employee contributions | \u2013 | \u2013 | 33 | 33 | \u2013 | \u2013 | 37 | 37 |
Special termination benefits | \u2013 | \u2013 | (5) | (5) | \u2013 | \u2013 | (5) | (5) |
Past service costs including losses/(gains) on curtailments | 6 | 1 | 10 | 17 | 27 | \u2013 | 5 | 32 |
Settlements | \u2013 | \u2013 | 11 | 11 | \u2013 | \u2013 | 5 | 5 |
Actual return on plan assets (excluding amounts in net finance income/charge) | (113) | (156) | 95 | (174) | (894) | 194 | 99 | (601) |
Change in asset ceiling excluding amounts included in interest expenses | \u2013 | \u2013 | (21) | (21) | \u2013 | \u2013 | (38) | (38) |
Interest cost | (354) | (121) | (283) | (758) | (337) | (126) | (320) | (783) |
Interest income(a) | 428 | 187 | 257 | 872 | 407 | 174 | 273 | 854 |
Actuarial gain/(loss) arising from changes in demographic assumptions | \u2013 | (8) | (4) | (12) | 3 | 13 | 10 | 26 |
Actuarial gain/(loss) arising from changes in financial assumptions | 121 | 363 | 134 | 618 | 675 | 160 | 68 | 903 |
Actuarial gain/(loss) arising from experience adjustments | (167) | (17) | 59 | (125) | (14) | 154 | (112) | 28 |
Employer contributions(b) | 49 | (108) | 267 | 208 | 47 | (106) | 256 | 197 |
Benefit payments | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 |
Other | 1 | 1 | 8 | 10 | \u2013 | \u2013 | 20 | 20 |
Currency retranslation | (68) | \u2013 | 104 | 36 | 58 | \u2013 | 14 | 72 |
31 December | 1,206 | 2,081 | 231 | 3,518 | 1,350 | 1,942 | (322) | 2,970 |
\u20ac million UK | \u20ac million Netherlands | \u20ac million Rest of world | \u20ac million 2025 Total | \u20ac million UK | \u20ac million Netherlands | \u20ac million Rest of world | \u20ac million 2024 Total | |
1 January | \u2013 | \u2013 | (295) | (295) | \u2013 | \u2013 | (255) | (255) |
Interest income | \u2013 | \u2013 | (6) | (6) | \u2013 | \u2013 | (7) | (7) |
Change in irrecoverable surplus in excess of interest | \u2013 | \u2013 | (21) | (21) | \u2013 | \u2013 | (38) | (38) |
Currency retranslations | \u2013 | \u2013 | 5 | 5 | \u2013 | \u2013 | 5 | 5 |
31 December | \u2013 | \u2013 | (317) | (317) | \u2013 | \u2013 | (295) | (295) |
UK | Netherlands | Rest of world(a) | 2025 Total | UK | Netherlands | Rest of world(a) | 2024 Total | |
Duration (years) | 12 | 13 | 9 | 0 to 21 | 12 | 14 | 10 | 0 to 23 |
Active members | 6% | 5% | 24% | 11% | 8% | 7% | 23% | 13% |
Deferred members | 28% | 37% | 16% | 27% | 30% | 38% | 15% | 27% |
Retired members | 66% | 58% | 60% | 62% | 62% | 55% | 62% | 60% |
\u20ac million 31 December 2025 | \u20ac million 31 December 2024 | ||||||||
UK | Netherlands | Rest\u00a0of world | 2025 Total | UK | Netherlands | Rest\u00a0of world | 2024 Total | ||
Total Pension Plans Assets | 7,606 | 5,336 | 5,108 | 18,050 | 8,132 | 5,595 | 6,140 | 19,867 | |
Equities Total | 188 | 755 | 665 | 1,608 | 214 | 1,176 | 1,106 | 2,496 | |
\u2013 Europe | 37 | 98 | 226 | 361 | 37 | 148 | 346 | 531 | |
\u2013 North America | 109 | 441 | 275 | 825 | 128 | 746 | 525 | 1,399 | |
\u2013 Other | 42 | 216 | 164 | 422 | 49 | 282 | 235 | 566 | |
Fixed Income Total | 5,815 | 3,893 | 3,212 | 12,920 | 6,228 | 3,627 | 3,763 | 13,618 | |
\u2013 Government bonds | 4,021 | 1,771 | 1,731 | 7,523 | 4,296 | 1,460 | 1,814 | 7,570 | |
\u2013 Investment grade corporate bonds | 875 | 666 | 1,010 | 2,551 | 895 | 648 | 1,296 | 2,839 | |
\u2013 Other Fixed Income | 919 | 1,456 | 471 | 2,846 | 1,037 | 1,519 | 653 | 3,209 | |
Derivatives | 20 | (93) | (15) | (88) | (239) | 90 | \u2013 | (149) | |
Private Equity | 655 | 113 | 39 | 807 | 617 | 105 | 32 | 754 | |
Property and Real Estate | 551 | 353 | 383 | 1,287 | 749 | 370 | 433 | 1,552 | |
Hedge Funds | 119 | \u2013 | 76 | 195 | 123 | \u2013 | 75 | 198 | |
Other | 258 | 315 | 433 | 1,006 | 440 | 227 | 404 | 1,071 | |
Other Pension Plans | \u2013 | \u2013 | 315 | 315 | \u2013 | \u2013 | 327 | 327 | |
Other Post-Employment Benefit Plans Assets | \u2013 | \u2013 | 1 | 1 | \u2013 | \u2013 | 2 | 2 | |
Total Assets | 7,606 | 5,336 | 5,109 | 18,051 | 8,132 | 5,595 | 6,142 | 19,869 |
Change in liabilities | ||||||||
Change\u00a0in\u00a0assumption | UK | Netherlands | Total | |||||
Discount rate | Increase by 0.5% | (5)% | (6)% | (5)% | ||||
Inflation rate | Increase by 0.5% | 4% | 7% | 4% | ||||
Life expectancy | Increase by 1 year | 5% | 4% | 4% | ||||
Long-term medical cost inflation(a) | Increase by 1.0% | n/a | n/a | 4% |
\u20ac million 2026 Estimate | \u20ac million 2025 | \u20ac million 2024(a) | \u20ac million 2023(a) | |
Company contributions to funded plans: | ||||
\u00a0 \u00a0 Defined Benefit (b) | 55 | 65 | 49 | 260 |
Defined Contribution | 205 | 196 | 197 | 186 |
Benefits paid by the Company in respect of unfunded plans: | ||||
Defined Benefit | 100 | 107 | 105 | 108 |
Group cash flow in respect of pensions and similar benefits | 360 | 368 | 351 | 554 |
The fair value of awards at grant date is calculated using observable market price. This value is expensed over their vesting period, with a corresponding credit to equity. The expense is reviewed and adjusted to reflect changes to the level of awards expected to vest, except where this arises from a failure to meet a market condition. Any cancellations are recognised immediately in the income statement. | ||||
2025 Number of shares | 2024 Number of shares | 2023 Number of shares | |
Outstanding at 1 January | 19,112,255 | 21,329,938 | 17,923,890 |
Awarded | 5,433,948 | 7,508,412 | 7,479,544 |
Vested | (6,413,314) | (6,296,695) | (2,021,439) |
Forfeited | (2,504,504) | (3,429,400) | (2,052,057) |
Outstanding at 31 December | 15,628,385 | 19,112,255 | 21,329,938 |
2025 | 2024 | 2023 | |
Share award value information | |||
Fair value per share award during the year | \u20ac52.20 | \u20ac46.19 | \u20ac45.71 |
2025 | 2024 | |||
Number of options | Weighted average exercise price | Number of options | Weighted average exercise price | |
Outstanding at 1 January | 181,138 | \u20ac0.01 | \u2013 | \u20ac0.00 |
Awarded | 221,727 | \u20ac0.01 | 196,994 | \u20ac0.01 |
Vested | \u2013 | \u20ac0.00 | \u2013 | \u20ac0.00 |
Forfeited | (54,155) | \u20ac0.01 | (15,856) | \u20ac0.01 |
Outstanding at 31 December | 348,710 | \u20ac0.01 | 181,138 | \u20ac0.01 |
2025 | 2024 | |||||
Outstanding share options | Weighted average exercise price | Weighted remaining average contractual life | Outstanding share options | Weighted average exercise price | Weighted remaining average contractual life | |
HUL PSP share options | 348,710 | \u20ac0.01 | 20 months | 181,138 | \u20ac0.01 | 25 months |
Staff costs | \u20ac million 2025 | \u20ac million 2024 | \u20ac million 2023 |
Wages and salaries | (5,433) | (5,852) | (5,722) |
Social security costs | (594) | (640) | (591) |
Other pension costs | (333) | (339) | (348) |
Share-based compensation costs | (284) | (324) | (212) |
(6,644) | (7,155) | (6,873) |
Average number of employees during the year(a) | '000 2025 | '000 2024 | '000 2023 |
Asia Pacific Africa | 51 | 54 | 56 |
The Americas | 30 | 31 | 32 |
Europe | 19 | 20 | 20 |
Total continuing operations | 100 | 105 | 108 |
Discontinued operations | 18 | 20 | 20 |
Total | 118 | 125 | 128 |
Key management compensation | \u20ac million 2025(a) | \u20ac million 2024(a) | \u20ac million 2023(a) |
Salaries and short-term employee benefits | (37) | (44) | (41) |
Share-based benefits (b) | (21) | (19) | (13) |
(58) | (63) | (54) | |
Of which: Executive Directors | (9) | (14) | (13) |
\u00a0 Other (c) | (49) | (49) | (41) |
Non-Executive Directors\u2019 fees | (2) | (2) | (2) |
(60) | (65) | (56) |
For defined benefit plans, operating and finance costs are recognised separately in the income statement. The amount charged to operating cost in\u00a0the income statement is the cost of accruing pension benefits promised to employees over the year, administration costs (other than costs of managing plan assets), plus the costs of individual events such as past service benefit changes, settlements and curtailments (such events are recognised immediately in the income statement). The amount charged or credited to finance costs is a net interest expense calculated by applying the liability discount rate to the surplus or deficit. Any differences between the expected interest on assets and the return actually achieved, and any changes in the liabilities over the year due to\u00a0changes in assumptions or experience within the plans, are recognised immediately in the statement of comprehensive income. The defined benefit plan surplus or deficit on the balance sheet comprises the total for each plan of the fair value of plan assets less the present value\u00a0of the defined benefit liabilities (using a discount rate based on high-quality corporate bonds, or a suitable alternative where there is no active corporate bond market) adjusted for irrecoverable surpluses. All defined benefit plans are subject to regular actuarial review using the projected unit method by external consultants. The Group policy is that the\u00a0most material plans, representing approximately 81% of the defined benefit liabilities, are formally valued every year. Other material plans, accounting for a further 14% of the liabilities, have their liabilities updated each year. Group policy for the remaining plans requires a full actuarial valuation at least every three years. Asset values for all plans are updated every year. For defined contribution plans, the charges to the income statement are the company contributions payable, as the company\u2019s obligation is limited to\u00a0the contributions paid into the plans. The assets and liabilities of such plans are not included in the balance sheet of the Group. | ||||
\u20ac million 2026 Estimate | \u20ac million 2025 | \u20ac million 2024(a) | \u20ac million 2023(a) | |
Company contributions to funded plans: | ||||
\u00a0 \u00a0 Defined Benefit (b) | 55 | 65 | 49 | 260 |
Defined Contribution | 205 | 196 | 197 | 186 |
Benefits paid by the Company in respect of unfunded plans: | ||||
Defined Benefit | 100 | 107 | 105 | 108 |
Group cash flow in respect of pensions and similar benefits | 360 | 368 | 351 | 554 |
The fair value of awards at grant date is calculated using observable market price. This value is expensed over their vesting period, with a corresponding credit to equity. The expense is reviewed and adjusted to reflect changes to the level of awards expected to vest, except where this arises from a failure to meet a market condition. Any cancellations are recognised immediately in the income statement. | ||||
2025 Number of shares | 2024 Number of shares | 2023 Number of shares | |
Outstanding at 1 January | 19,112,255 | 21,329,938 | 17,923,890 |
Awarded | 5,433,948 | 7,508,412 | 7,479,544 |
Vested | (6,413,314) | (6,296,695) | (2,021,439) |
Forfeited | (2,504,504) | (3,429,400) | (2,052,057) |
Outstanding at 31 December | 15,628,385 | 19,112,255 | 21,329,938 |
2025 | 2024 | 2023 | |
Share award value information | |||
Fair value per share award during the year | \u20ac52.20 | \u20ac46.19 | \u20ac45.71 |
2025 | 2024 | |||
Number of options | Weighted average exercise price | Number of options | Weighted average exercise price | |
Outstanding at 1 January | 181,138 | \u20ac0.01 | \u2013 | \u20ac0.00 |
Awarded | 221,727 | \u20ac0.01 | 196,994 | \u20ac0.01 |
Vested | \u2013 | \u20ac0.00 | \u2013 | \u20ac0.00 |
Forfeited | (54,155) | \u20ac0.01 | (15,856) | \u20ac0.01 |
Outstanding at 31 December | 348,710 | \u20ac0.01 | 181,138 | \u20ac0.01 |
2025 | 2024 | |||||
Outstanding share options | Weighted average exercise price | Weighted remaining average contractual life | Outstanding share options | Weighted average exercise price | Weighted remaining average contractual life | |
HUL PSP share options | 348,710 | \u20ac0.01 | 20 months | 181,138 | \u20ac0.01 | 25 months |
The fair value of awards at grant date is calculated using observable market price. This value is expensed over their vesting period, with a corresponding credit to equity. The expense is reviewed and adjusted to reflect changes to the level of awards expected to vest, except where this arises from a failure to meet a market condition. Any cancellations are recognised immediately in the income statement. | ||||
Net finance costs comprise finance costs and finance income, including net finance income in relation to pensions and similar obligations. Finance income includes income on cash and cash equivalents and income on other financial assets. Finance costs include interest costs in\u00a0relation to\u00a0financial liabilities. This includes interest on lease liabilities which represents the unwind of the discount rate applied to lease\u00a0liabilities. Borrowing costs are recognised based on the effective interest method. |
Net finance costs | Notes | \u20ac million 2025 | \u20ac million 2024(c) | \u20ac million 2023(c) |
Finance costs | (1,024) | (994) | (922) | |
Bank loans and overdrafts | (52) | (73) | (73) | |
Interest on bonds and other loans (a) | (967) | (857) | (818) | |
Interest on lease liabilities | (79) | (69) | (64) | |
Net gain/(loss) on transactions for which hedge accounting is not applied (b) | 74 | 5 | 33 | |
On foreign exchange derivatives | 24 | (80) | 77 | |
Exchange difference on underlying items | 50 | 85 | (44) | |
Finance income | 398 | 391 | 392 | |
Pensions and similar obligations | 4B | 123 | 83 | 121 |
(503) | (520) | (409) |
Net finance costs comprise finance costs and finance income, including net finance income in relation to pensions and similar obligations. Finance income includes income on cash and cash equivalents and income on other financial assets. Finance costs include interest costs in\u00a0relation to\u00a0financial liabilities. This includes interest on lease liabilities which represents the unwind of the discount rate applied to lease\u00a0liabilities. Borrowing costs are recognised based on the effective interest method. |
Net finance costs | Notes | \u20ac million 2025 | \u20ac million 2024(c) | \u20ac million 2023(c) |
Finance costs | (1,024) | (994) | (922) | |
Bank loans and overdrafts | (52) | (73) | (73) | |
Interest on bonds and other loans (a) | (967) | (857) | (818) | |
Interest on lease liabilities | (79) | (69) | (64) | |
Net gain/(loss) on transactions for which hedge accounting is not applied (b) | 74 | 5 | 33 | |
On foreign exchange derivatives | 24 | (80) | 77 | |
Exchange difference on underlying items | 50 | 85 | (44) | |
Finance income | 398 | 391 | 392 | |
Pensions and similar obligations | 4B | 123 | 83 | 121 |
(503) | (520) | (409) |
Net finance costs comprise finance costs and finance income, including net finance income in relation to pensions and similar obligations. Finance income includes income on cash and cash equivalents and income on other financial assets. Finance costs include interest costs in\u00a0relation to\u00a0financial liabilities. This includes interest on lease liabilities which represents the unwind of the discount rate applied to lease\u00a0liabilities. Borrowing costs are recognised based on the effective interest method. |
Net finance costs | Notes | \u20ac million 2025 | \u20ac million 2024(c) | \u20ac million 2023(c) |
Finance costs | (1,024) | (994) | (922) | |
Bank loans and overdrafts | (52) | (73) | (73) | |
Interest on bonds and other loans (a) | (967) | (857) | (818) | |
Interest on lease liabilities | (79) | (69) | (64) | |
Net gain/(loss) on transactions for which hedge accounting is not applied (b) | 74 | 5 | 33 | |
On foreign exchange derivatives | 24 | (80) | 77 | |
Exchange difference on underlying items | 50 | 85 | (44) | |
Finance income | 398 | 391 | 392 | |
Pensions and similar obligations | 4B | 123 | 83 | 121 |
(503) | (520) | (409) |
Net finance costs comprise finance costs and finance income, including net finance income in relation to pensions and similar obligations. Finance income includes income on cash and cash equivalents and income on other financial assets. Finance costs include interest costs in\u00a0relation to\u00a0financial liabilities. This includes interest on lease liabilities which represents the unwind of the discount rate applied to lease\u00a0liabilities. Borrowing costs are recognised based on the effective interest method. |
Net finance costs | Notes | \u20ac million 2025 | \u20ac million 2024(c) | \u20ac million 2023(c) |
Finance costs | (1,024) | (994) | (922) | |
Bank loans and overdrafts | (52) | (73) | (73) | |
Interest on bonds and other loans (a) | (967) | (857) | (818) | |
Interest on lease liabilities | (79) | (69) | (64) | |
Net gain/(loss) on transactions for which hedge accounting is not applied (b) | 74 | 5 | 33 | |
On foreign exchange derivatives | 24 | (80) | 77 | |
Exchange difference on underlying items | 50 | 85 | (44) | |
Finance income | 398 | 391 | 392 | |
Pensions and similar obligations | 4B | 123 | 83 | 121 |
(503) | (520) | (409) |
Net finance costs comprise finance costs and finance income, including net finance income in relation to pensions and similar obligations. Finance income includes income on cash and cash equivalents and income on other financial assets. Finance costs include interest costs in\u00a0relation to\u00a0financial liabilities. This includes interest on lease liabilities which represents the unwind of the discount rate applied to lease\u00a0liabilities. Borrowing costs are recognised based on the effective interest method. |
Net finance costs | Notes | \u20ac million 2025 | \u20ac million 2024(c) | \u20ac million 2023(c) |
Finance costs | (1,024) | (994) | (922) | |
Bank loans and overdrafts | (52) | (73) | (73) | |
Interest on bonds and other loans (a) | (967) | (857) | (818) | |
Interest on lease liabilities | (79) | (69) | (64) | |
Net gain/(loss) on transactions for which hedge accounting is not applied (b) | 74 | 5 | 33 | |
On foreign exchange derivatives | 24 | (80) | 77 | |
Exchange difference on underlying items | 50 | 85 | (44) | |
Finance income | 398 | 391 | 392 | |
Pensions and similar obligations | 4B | 123 | 83 | 121 |
(503) | (520) | (409) |
Net finance costs comprise finance costs and finance income, including net finance income in relation to pensions and similar obligations. Finance income includes income on cash and cash equivalents and income on other financial assets. Finance costs include interest costs in\u00a0relation to\u00a0financial liabilities. This includes interest on lease liabilities which represents the unwind of the discount rate applied to lease\u00a0liabilities. Borrowing costs are recognised based on the effective interest method. |
Net finance costs | Notes | \u20ac million 2025 | \u20ac million 2024(c) | \u20ac million 2023(c) |
Finance costs | (1,024) | (994) | (922) | |
Bank loans and overdrafts | (52) | (73) | (73) | |
Interest on bonds and other loans (a) | (967) | (857) | (818) | |
Interest on lease liabilities | (79) | (69) | (64) | |
Net gain/(loss) on transactions for which hedge accounting is not applied (b) | 74 | 5 | 33 | |
On foreign exchange derivatives | 24 | (80) | 77 | |
Exchange difference on underlying items | 50 | 85 | (44) | |
Finance income | 398 | 391 | 392 | |
Pensions and similar obligations | 4B | 123 | 83 | 121 |
(503) | (520) | (409) |
Net finance costs comprise finance costs and finance income, including net finance income in relation to pensions and similar obligations. Finance income includes income on cash and cash equivalents and income on other financial assets. Finance costs include interest costs in\u00a0relation to\u00a0financial liabilities. This includes interest on lease liabilities which represents the unwind of the discount rate applied to lease\u00a0liabilities. Borrowing costs are recognised based on the effective interest method. |
Net finance costs | Notes | \u20ac million 2025 | \u20ac million 2024(c) | \u20ac million 2023(c) |
Finance costs | (1,024) | (994) | (922) | |
Bank loans and overdrafts | (52) | (73) | (73) | |
Interest on bonds and other loans (a) | (967) | (857) | (818) | |
Interest on lease liabilities | (79) | (69) | (64) | |
Net gain/(loss) on transactions for which hedge accounting is not applied (b) | 74 | 5 | 33 | |
On foreign exchange derivatives | 24 | (80) | 77 | |
Exchange difference on underlying items | 50 | 85 | (44) | |
Finance income | 398 | 391 | 392 | |
Pensions and similar obligations | 4B | 123 | 83 | 121 |
(503) | (520) | (409) |
Net finance costs comprise finance costs and finance income, including net finance income in relation to pensions and similar obligations. Finance income includes income on cash and cash equivalents and income on other financial assets. Finance costs include interest costs in\u00a0relation to\u00a0financial liabilities. This includes interest on lease liabilities which represents the unwind of the discount rate applied to lease\u00a0liabilities. Borrowing costs are recognised based on the effective interest method. |
Net finance costs comprise finance costs and finance income, including net finance income in relation to pensions and similar obligations. Finance income includes income on cash and cash equivalents and income on other financial assets. Finance costs include interest costs in\u00a0relation to\u00a0financial liabilities. This includes interest on lease liabilities which represents the unwind of the discount rate applied to lease\u00a0liabilities. Borrowing costs are recognised based on the effective interest method. |
Net finance costs comprise finance costs and finance income, including net finance income in relation to pensions and similar obligations. Finance income includes income on cash and cash equivalents and income on other financial assets. Finance costs include interest costs in\u00a0relation to\u00a0financial liabilities. This includes interest on lease liabilities which represents the unwind of the discount rate applied to lease\u00a0liabilities. Borrowing costs are recognised based on the effective interest method. |
Net finance costs comprise finance costs and finance income, including net finance income in relation to pensions and similar obligations. Finance income includes income on cash and cash equivalents and income on other financial assets. Finance costs include interest costs in\u00a0relation to\u00a0financial liabilities. This includes interest on lease liabilities which represents the unwind of the discount rate applied to lease\u00a0liabilities. Borrowing costs are recognised based on the effective interest method. |
Income tax on the profit for the year comprises current and deferred tax. Income tax is recognised in the income statement except to the extent that it relates to items recognised directly in equity. Current tax is the expected tax payable on the taxable income for the year, using tax rates enacted or substantively enacted at the balance sheet date, and any adjustments to tax payable in respect of previous years. Current tax in the consolidated income statement will differ from the income tax paid in the consolidated cash flow statement primarily because of deferred tax arising on temporary differences and payment dates for income tax occurring after the balance sheet date. Unilever is subject to taxation in the many countries in which it operates. The tax legislation of these countries differs, is often complex and is subject to interpretation by management and the government authorities. These matters of judgement give rise to the need to create provisions for tax payments that may arise in future years with respect to transactions already undertaken. Provisions are made against individual exposures and take into account the\u00a0specific circumstances of each case, including the strength of technical arguments, recent case law decisions or rulings on similar issues and relevant external advice. The provision is estimated based on one of two methods, the expected value method (the sum of the probability-weighted amounts in a range of possible outcomes) or the single most likely amount method, depending on which is expected to better predict the resolution of the uncertainty. |
Tax charge in income statement | \u20ac million 2025 | \u20ac million 2024(a) | \u20ac million 2023(a) |
Current tax | |||
Current year | (3,387) | (2,651) | (2,035) |
Pillar 2 income taxes | (21) | (9) | \u2013 |
Over/(under) provided in prior years | 54 | 160 | 31 |
(3,354) | (2,500) | (2,004) | |
Deferred tax | |||
Origination and reversal of temporary differences | 828 | 136 | (16) |
Changes in tax rates | (12) | (2) | 6 |
Recognition of previously unrecognised losses brought forward | 57 | 34 | 24 |
873 | 168 | 14 | |
(2,481) | (2,332) | (1,990) |
Reconciliation of effective tax rate | % 2025 | % 2024(a) | % 2023(a) |
Computed rate of tax (b) | 24 | 25 | 25 |
Differences between computed rate of tax and effective tax rate due to: | |||
\u00a0 \u00a0 Incentive tax credits | (2) | (2) | (2) |
\u00a0 \u00a0 Withholding tax on dividends | 2 | 3 | 2 |
\u00a0 \u00a0 Expenses not deductible for tax purposes | 1 | 2 | 1 |
\u00a0 \u00a0 Irrecoverable withholding tax | 1 | 1 | 1 |
\u00a0 \u00a0 Income tax reserve adjustments \u2013 current and prior year | \u2013 | \u2013 | (1) |
\u00a0 \u00a0 Impact of disposals | 3 | 1 | (2) |
\u00a0 \u00a0 Others | \u2013 | (1) | \u2013 |
Effective tax rate | 29 | 29 | 24 |
Deferred tax is recognised using the liability method on taxable temporary differences between the tax base and the accounting base of items included in the balance sheet of the Group. Certain temporary differences are not provided for as follows: \u25a0 goodwill not deductible for tax purposes; \u25a0 the initial recognition of assets or liabilities that affect neither accounting nor taxable profit; and \u25a0 differences relating to investments in subsidiaries to the extent that it is probable that they will not reverse in the foreseeable future. The amount of deferred tax provided is based on the expected manner of realisation or settlement of the carrying amount of assets and liabilities, using tax rates enacted, or substantively enacted, at the year end. The Group has applied the exemption to not recognise or disclose any deferred tax related to Pillar 2 income taxes. A deferred tax asset is recognised only to the extent that it is probable that future taxable profits will be available against which the asset can\u00a0be\u00a0utilised. Deferred tax assets are reduced to the extent that it is no longer probable that the related tax benefit will be realised. |
Movements in 2025 and 2024 | \u20ac million As at 1 January 2025 | \u20ac million Income statement | \u20ac million Other | \u20ac million As at 31 December 2025 | \u20ac million As at 1 January 2024 | \u20ac million Income statement | \u20ac million Other | \u20ac million As at 31 December 2024 |
Pensions and similar obligations | (630) | (37) | (70) | (737) | (514) | (12) | (104) | (630) |
Provisions and accruals | 938 | 1 | (67) | 872 | 805 | 168 | (35) | 938 |
Goodwill and intangible assets | (3,863) | 668 | (194) | (3,389) | (3,697) | (45) | (121) | (3,863) |
Accelerated tax depreciation | (584) | 48 | 148 | (388) | (572) | (20) | 8 | (584) |
Tax losses | 415 | 101 | (37) | 479 | 234 | 190 | (9) | 415 |
Fair value gains/losses | (54) | 2 | 76 | 24 | (17) | 6 | (43) | (54) |
Share-based payments | 273 | (5) | (22) | 246 | 246 | (2) | 29 | 273 |
Lease liability | 181 | 13 | (49) | 145 | 189 | (16) | 8 | 181 |
Right of use asset | (161) | 9 | 40 | (112) | (166) | 8 | (3) | (161) |
Other | 423 | 73(a) | (93)(a) | 403 | 610 | (124) | (63) | 423 |
(3,062) | 873 | (268) | (2,457) | (2,882) | 153(b) | (333) | (3,062) |
Deferred tax assets and liabilities | \u20ac million Assets 2025 | \u20ac million Assets 2024 | \u20ac million Liabilities 2025 | \u20ac million Liabilities 2024 | \u20ac million Total 2025 | \u20ac million Total 2024 |
Pensions and similar obligations | (194) | (158) | (543) | (472) | (737) | (630) |
Provisions and accruals | 413 | 510 | 459 | 428 | 872 | 938 |
Goodwill and intangible assets | 211 | 286 | (3,600) | (4,149) | (3,389) | (3,863) |
Accelerated tax depreciation | 29 | (38) | (417) | (546) | (388) | (584) |
Tax losses | 455 | 395 | 24 | 20 | 479 | 415 |
Fair value gains/(losses) | 6 | (22) | 18 | (32) | 24 | (54) |
Share-based payments | 98 | 118 | 148 | 155 | 246 | 273 |
Lease liability | 35 | 81 | 110 | 100 | 145 | 181 |
Right of use asset | (46) | (83) | (66) | (78) | (112) | (161) |
Other | 139 | 191 | 264 | 232 | 403 | 423 |
1,146 | 1,280 | (3,603) | (4,342) | (2,457) | (3,062) | |
Of which deferred tax to be recovered/(settled) after more than 12 months | 873 | 879 | (3,084) | (4,581) | (2,211) | (3,702) |
Income tax is recognised in equity or other comprehensive income for items recognised directly in equity or other comprehensive income. |
Movements in 2025 and 2024 | \u20ac million Before tax 2025 | \u20ac million Tax (charge)/ credit 2025 | \u20ac million After tax 2025 | \u20ac million Before tax 2024(a) | \u20ac million Tax (charge)/ credit 2024(a) | \u20ac million After tax 2024(a) |
Gains/(losses) on: | ||||||
Equity instruments at fair value through other comprehensive income | (17) | 3 | (14) | 60 | \u2014 | 60 |
Cash flow hedges | (166) | 55 | (111) | 147 | (25) | 122 |
Remeasurement of defined benefit pension plans | 219 | (82) | 137 | 271 | (45) | 226 |
Currency retranslation gains/(losses) | (2,312) | 73 | (2,239) | 1,136 | (23) | 1,113 |
(2,276) | 49 | (2,227) | 1,614 | (93) | 1,521 |
Income tax on the profit for the year comprises current and deferred tax. Income tax is recognised in the income statement except to the extent that it relates to items recognised directly in equity. Current tax is the expected tax payable on the taxable income for the year, using tax rates enacted or substantively enacted at the balance sheet date, and any adjustments to tax payable in respect of previous years. Current tax in the consolidated income statement will differ from the income tax paid in the consolidated cash flow statement primarily because of deferred tax arising on temporary differences and payment dates for income tax occurring after the balance sheet date. Unilever is subject to taxation in the many countries in which it operates. The tax legislation of these countries differs, is often complex and is subject to interpretation by management and the government authorities. These matters of judgement give rise to the need to create provisions for tax payments that may arise in future years with respect to transactions already undertaken. Provisions are made against individual exposures and take into account the\u00a0specific circumstances of each case, including the strength of technical arguments, recent case law decisions or rulings on similar issues and relevant external advice. The provision is estimated based on one of two methods, the expected value method (the sum of the probability-weighted amounts in a range of possible outcomes) or the single most likely amount method, depending on which is expected to better predict the resolution of the uncertainty. |
Income tax is recognised in equity or other comprehensive income for items recognised directly in equity or other comprehensive income. |
Deferred tax is recognised using the liability method on taxable temporary differences between the tax base and the accounting base of items included in the balance sheet of the Group. Certain temporary differences are not provided for as follows: \u25a0 goodwill not deductible for tax purposes; \u25a0 the initial recognition of assets or liabilities that affect neither accounting nor taxable profit; and \u25a0 differences relating to investments in subsidiaries to the extent that it is probable that they will not reverse in the foreseeable future. The amount of deferred tax provided is based on the expected manner of realisation or settlement of the carrying amount of assets and liabilities, using tax rates enacted, or substantively enacted, at the year end. The Group has applied the exemption to not recognise or disclose any deferred tax related to Pillar 2 income taxes. A deferred tax asset is recognised only to the extent that it is probable that future taxable profits will be available against which the asset can\u00a0be\u00a0utilised. Deferred tax assets are reduced to the extent that it is no longer probable that the related tax benefit will be realised. |
Movements in 2025 and 2024 | \u20ac million As at 1 January 2025 | \u20ac million Income statement | \u20ac million Other | \u20ac million As at 31 December 2025 | \u20ac million As at 1 January 2024 | \u20ac million Income statement | \u20ac million Other | \u20ac million As at 31 December 2024 |
Pensions and similar obligations | (630) | (37) | (70) | (737) | (514) | (12) | (104) | (630) |
Provisions and accruals | 938 | 1 | (67) | 872 | 805 | 168 | (35) | 938 |
Goodwill and intangible assets | (3,863) | 668 | (194) | (3,389) | (3,697) | (45) | (121) | (3,863) |
Accelerated tax depreciation | (584) | 48 | 148 | (388) | (572) | (20) | 8 | (584) |
Tax losses | 415 | 101 | (37) | 479 | 234 | 190 | (9) | 415 |
Fair value gains/losses | (54) | 2 | 76 | 24 | (17) | 6 | (43) | (54) |
Share-based payments | 273 | (5) | (22) | 246 | 246 | (2) | 29 | 273 |
Lease liability | 181 | 13 | (49) | 145 | 189 | (16) | 8 | 181 |
Right of use asset | (161) | 9 | 40 | (112) | (166) | 8 | (3) | (161) |
Other | 423 | 73(a) | (93)(a) | 403 | 610 | (124) | (63) | 423 |
(3,062) | 873 | (268) | (2,457) | (2,882) | 153(b) | (333) | (3,062) |
Deferred tax assets and liabilities | \u20ac million Assets 2025 | \u20ac million Assets 2024 | \u20ac million Liabilities 2025 | \u20ac million Liabilities 2024 | \u20ac million Total 2025 | \u20ac million Total 2024 |
Pensions and similar obligations | (194) | (158) | (543) | (472) | (737) | (630) |
Provisions and accruals | 413 | 510 | 459 | 428 | 872 | 938 |
Goodwill and intangible assets | 211 | 286 | (3,600) | (4,149) | (3,389) | (3,863) |
Accelerated tax depreciation | 29 | (38) | (417) | (546) | (388) | (584) |
Tax losses | 455 | 395 | 24 | 20 | 479 | 415 |
Fair value gains/(losses) | 6 | (22) | 18 | (32) | 24 | (54) |
Share-based payments | 98 | 118 | 148 | 155 | 246 | 273 |
Lease liability | 35 | 81 | 110 | 100 | 145 | 181 |
Right of use asset | (46) | (83) | (66) | (78) | (112) | (161) |
Other | 139 | 191 | 264 | 232 | 403 | 423 |
1,146 | 1,280 | (3,603) | (4,342) | (2,457) | (3,062) | |
Of which deferred tax to be recovered/(settled) after more than 12 months | 873 | 879 | (3,084) | (4,581) | (2,211) | (3,702) |
Deferred tax is recognised using the liability method on taxable temporary differences between the tax base and the accounting base of items included in the balance sheet of the Group. Certain temporary differences are not provided for as follows: \u25a0 goodwill not deductible for tax purposes; \u25a0 the initial recognition of assets or liabilities that affect neither accounting nor taxable profit; and \u25a0 differences relating to investments in subsidiaries to the extent that it is probable that they will not reverse in the foreseeable future. The amount of deferred tax provided is based on the expected manner of realisation or settlement of the carrying amount of assets and liabilities, using tax rates enacted, or substantively enacted, at the year end. The Group has applied the exemption to not recognise or disclose any deferred tax related to Pillar 2 income taxes. A deferred tax asset is recognised only to the extent that it is probable that future taxable profits will be available against which the asset can\u00a0be\u00a0utilised. Deferred tax assets are reduced to the extent that it is no longer probable that the related tax benefit will be realised. |
\u20ac 2025 | \u20ac 2024 | \u20ac 2023 | |
Basic earnings per share from continuing operations | 2.60 | 2.45 | 2.68 |
Basic earnings per share from discontinued operations | 1.73 | 0.14 | 0.22 |
Total basic earnings per share | 4.33 | 2.59 | 2.90 |
\u20ac 2025 | \u20ac 2024 | \u20ac 2023 | |
Diluted earnings per share from continuing operations | 2.59 | 2.44 | 2.67 |
Diluted earnings per share from discontinued operations | 1.73 | 0.14 | 0.22 |
Total diluted earnings per share | 4.32 | 2.58 | 2.89 |
Millions of share units | |||
Calculation of average number of share units | 2025 | 2024 | 2023 |
Average number of shares pre consolidation | 2,515.6 | 2,520.9 | 2,587.0 |
Less: treasury shares held by employee share trusts and companies | (58.6) | (28.3) | (71.1) |
Impact of share consolidation | (273.0) | (277.0) | (279.5) |
Average number of shares \u2013 used for basic earnings per share | 2,184.0 | 2,215.6 | 2,236.4 |
Add: dilutive effect of share-based compensation plans | 11.3 | 12.9 | 14.6 |
Diluted average number of shares \u2013 used for diluted earnings per share | 2,195.3 | 2,228.5 | 2,251.0 |
Calculation of earnings \u2013 continuing operations | \u20ac million 2025 | \u20ac million 2024 | \u20ac million 2023 |
Net profit | 6,213 | 6,039 | 6,637 |
Non-controlling interests | (531) | (609) | (635) |
Net profit attributable to shareholders\u2019 equity \u2013 used for basic and diluted earnings per share | 5,682 | 5,430 | 6,002 |
Calculation of earnings \u2013 discontinued operations | \u20ac million 2025 | \u20ac million 2024 | \u20ac million 2023 |
Net profit | 3,798 | 330 | 503 |
Non-controlling interests | (11) | (16) | (18) |
Net profit attributable to shareholders\u2019 equity \u2013 used for basic and diluted earnings per share | 3,787 | 314 | 485 |
Dividends are recognised on the date that the shareholder\u2019s right to receive payment is established. This is generally the date when the dividend is\u00a0declared. |
\u20ac million 2025 | \u20ac million 2024 | \u20ac million 2023 | |
Dividends on ordinary capital during the year | (4,453) | (4,320) | (4,327) |
Dividends in specie to shareholders in The Magnum Ice Cream Company shares | (6,752) | \u2013 | \u2013 |
Total | (11,205) | (4,320) | (4,327) |
Dividends are recognised on the date that the shareholder\u2019s right to receive payment is established. This is generally the date when the dividend is\u00a0declared. |
Goodwill Goodwill is initially recognised based on the accounting policy for business combinations (see note 22). Goodwill is subsequently measured at cost less amounts provided for impairment. Goodwill acquired in a business combination is assessed to determine whether new cash-generating units (CGUs) are created, and if not, is allocated to the Group\u2019s CGUs, or groups of CGUs (GCGUs) in line with the structure detailed below. These might not always be the same as the CGUs or GCGUs that include the assets and liabilities of the acquired business. | ||||
Intangible assets Separately purchased intangible assets are initially measured at cost, being the purchase price as at the date of acquisition. On acquisition of new interests in group companies, Unilever recognises any specifically identifiable intangible assets separately from goodwill. These intangible assets are initially measured at fair value as at the date of acquisition. Expenditure to support development of internally produced intangible assets is recognised in profit or loss as incurred. Indefinite-life intangibles mainly comprise trademarks and brands, for which there is no foreseeable limit to the period over which they are expected to generate net cash inflows. These are considered to have an indefinite life, given the strength and durability of our brands and the level of marketing support. These assets are not amortised but are subject to a review for impairment annually, or more frequently if events or circumstances indicate this is necessary. Finite-life intangible assets mainly comprise software, patented and non-patented technology, know-how and customer lists. These assets are amortised on a straight-line basis in the income statement over the period of their expected useful lives, or the period of legal rights if shorter. None of\u00a0the amortisation periods exceeds ten years. | ||||
Cash-generating units The Group\u2019s assets are grouped into cash-generating units (CGUs), which are the smallest identifiable group of assets that generate largely independent cash inflows. The Group\u2019s CGUs are aligned with our organisation structure of Business Units and Global Business Units. For impairment testing purposes, goodwill is allocated to groups of CGUs (GCGUs), which are based on the four Business Groups, since the synergies acquired through a business combination benefit a Business Group as a whole rather than a specific Business Unit or Global Business Unit. Cash inflows relating to indefinite-life intangible assets are identifiable at Business Unit or Global Business Unit level and are therefore allocated to individual CGUs. | ||||
Impairment review The impairment test is performed by comparing the carrying value of the CGUs or GCGUs with their recoverable value. The recoverable value is\u00a0primarily based on value in use but also considers fair value less costs of disposal where relevant. Any impairment is charged to the income statement as it arises. |
\u20ac\u00a0million | Goodwill | Indefinite-life intangible\u00a0assets | Finite-life\u00a0intangible\u00a0assets | Total | |
Movements during 2025 | Software | Other | |||
Cost | |||||
1 January 2025 | 23,471 | 18,337 | 3,801 | 1,156 | 46,765 |
Additions through business combinations(a) | 764 | 1,108 | 1 | \u2013 | 1,873 |
Disposal of businesses | (4) | (49) | (1) | \u2013 | (54) |
Distributed through demerger | (3,322) | (712) | (43) | (32) | (4,109) |
Additions | \u2013 | 6 | 170 | 1 | 177 |
Disposals and other movements | (6) | 9 | (72) | (65) | (134) |
Hyperinflationary adjustment | (108) | (12) | \u2013 | \u2013 | (120) |
Currency retranslation | (1,929) | (1,722) | (217) | (58) | (3,926) |
31 December 2025 | 18,866 | 16,965 | 3,639 | 1,002 | 40,472 |
Accumulated amortisation and impairment | |||||
1 January 2025 | (1,160) | (481) | (3,123) | (1,100) | (5,864) |
Amortisation/impairment for the year | \u2013 | (48) | (222) | (28) | (298) |
Distributed through demerger | \u2013 | \u2013 | 34 | 24 | 58 |
Disposals and other movements | \u2013 | 1 | 71 | 61 | 133 |
Currency retranslation | 3 | 18 | 186 | 56 | 263 |
31 December 2025 | (1,157) | (510) | (3,054) | (987) | (5,708) |
Net book value 31 December 2025(c) | 17,709 | 16,455 | 585 | 15 | 34,764 |
\u20ac\u00a0million | Goodwill | Indefinite-life intangible\u00a0assets | Finite-life\u00a0intangible\u00a0assets | Total | |
Movements during 2024 | Software | Other | |||
Cost | |||||
1 January 2024 | 22,266 | 17,967 | 3,483 | 1,124 | 44,840 |
Additions through business combinations(a) | 310 | 382 | \u2013 | \u2013 | 692 |
Disposal of businesses | (60) | (510) | (26) | (4) | (600) |
Reclassification to held for sale (b) | (47) | (47) | (5) | \u2013 | (99) |
Additions | \u2013 | 3 | 229 | 1 | 233 |
Disposals and other movements | 132 | 2 | (23) | 9 | 120 |
Hyperinflationary adjustment | 284 | 34 | \u2013 | \u2013 | 318 |
Currency retranslation | 586 | 506 | 143 | 26 | 1,261 |
31 December 2024 | 23,471 | 18,337 | 3,801 | 1,156 | 46,765 |
Accumulated amortisation and impairment | |||||
1 January 2024 | (1,157) | (345) | (2,841) | (1,031) | (5,374) |
Amortisation/impairment for the year | \u2013 | (127) | (213) | (35) | (375) |
Disposals and other movements | (3) | \u2013 | 47 | (8) | 36 |
Currency retranslation | \u2013 | (9) | (116) | (26) | (151) |
31 December 2024 | (1,160) | (481) | (3,123) | (1,100) | (5,864) |
Net book value 31 December 2024(c) | 22,311 | 17,856 | 678 | 56 | 40,901 |
2025 GCGUs | 2024 GCGUs | |
\u20ac billion Goodwill | \u20ac billion Goodwill | |
Beauty & Wellbeing | 4.5 | 5.0 |
Personal Care | 4.5 | 4.2 |
Home Care | 0.8 | 0.9 |
Foods | 7.9 | 8.6 |
Ice Cream(a) | \u2013 | 3.6 |
Total GCGUs | 17.7 | 22.3 |
2025 CGUs | 2024 CGUs | |
\u20ac billion Indefinite-life intangible assets | \u20ac billion Indefinite-life intangible assets | |
Foods India and Nepal | 2.5 | 3.0 |
Prestige | 2.9 | 3.2 |
Wellbeing | 1.5 | 1.7 |
Beauty & Wellbeing North America | 0.9 | 1.0 |
Total Significant CGUs | 7.8 | 8.9 |
Others (b) | 8.7 | 9.0 |
Total CGUs | 16.5 | 17.9 |
Group of CGUs | Beauty & Wellbeing | Personal Care | Home Care | Foods |
Longer-term sustainable growth rates | 3% | 3% | 4% | 3% |
Discount rate | 12% | 12% | 12% | 11% |
Significant CGUs | Foods India and Nepal | Prestige | Wellbeing | Beauty & Wellbeing North America |
Longer-term sustainable growth rates | 6% | 2% | 2% | 2% |
Group of CGUs | Beauty & Wellbeing | Personal Care | Home Care | Foods |
Longer-term sustainable growth rates | 3% | 2% | 3% | 3% |
Average near-term nominal growth rates(a) | 5% | 3% | 3% | 3% |
Discount rate | 11% | 11% | 12% | 11% |
Significant CGUs | Foods India and Nepal | Prestige | Wellbeing | Beauty & Wellbeing North America |
Longer-term sustainable growth rates | 7% | 2% | 2% | 2% |
Average near-term nominal growth rates(a) | 7% | 8% | 11% | 1% |
Goodwill Goodwill is initially recognised based on the accounting policy for business combinations (see note 22). Goodwill is subsequently measured at cost less amounts provided for impairment. Goodwill acquired in a business combination is assessed to determine whether new cash-generating units (CGUs) are created, and if not, is allocated to the Group\u2019s CGUs, or groups of CGUs (GCGUs) in line with the structure detailed below. These might not always be the same as the CGUs or GCGUs that include the assets and liabilities of the acquired business. | ||||
Intangible assets Separately purchased intangible assets are initially measured at cost, being the purchase price as at the date of acquisition. On acquisition of new interests in group companies, Unilever recognises any specifically identifiable intangible assets separately from goodwill. These intangible assets are initially measured at fair value as at the date of acquisition. Expenditure to support development of internally produced intangible assets is recognised in profit or loss as incurred. Indefinite-life intangibles mainly comprise trademarks and brands, for which there is no foreseeable limit to the period over which they are expected to generate net cash inflows. These are considered to have an indefinite life, given the strength and durability of our brands and the level of marketing support. These assets are not amortised but are subject to a review for impairment annually, or more frequently if events or circumstances indicate this is necessary. Finite-life intangible assets mainly comprise software, patented and non-patented technology, know-how and customer lists. These assets are amortised on a straight-line basis in the income statement over the period of their expected useful lives, or the period of legal rights if shorter. None of\u00a0the amortisation periods exceeds ten years. | ||||
Cash-generating units The Group\u2019s assets are grouped into cash-generating units (CGUs), which are the smallest identifiable group of assets that generate largely independent cash inflows. The Group\u2019s CGUs are aligned with our organisation structure of Business Units and Global Business Units. For impairment testing purposes, goodwill is allocated to groups of CGUs (GCGUs), which are based on the four Business Groups, since the synergies acquired through a business combination benefit a Business Group as a whole rather than a specific Business Unit or Global Business Unit. Cash inflows relating to indefinite-life intangible assets are identifiable at Business Unit or Global Business Unit level and are therefore allocated to individual CGUs. | ||||
Impairment review The impairment test is performed by comparing the carrying value of the CGUs or GCGUs with their recoverable value. The recoverable value is\u00a0primarily based on value in use but also considers fair value less costs of disposal where relevant. Any impairment is charged to the income statement as it arises. |
\u20ac\u00a0million | Goodwill | Indefinite-life intangible\u00a0assets | Finite-life\u00a0intangible\u00a0assets | Total | |
Movements during 2025 | Software | Other | |||
Cost | |||||
1 January 2025 | 23,471 | 18,337 | 3,801 | 1,156 | 46,765 |
Additions through business combinations(a) | 764 | 1,108 | 1 | \u2013 | 1,873 |
Disposal of businesses | (4) | (49) | (1) | \u2013 | (54) |
Distributed through demerger | (3,322) | (712) | (43) | (32) | (4,109) |
Additions | \u2013 | 6 | 170 | 1 | 177 |
Disposals and other movements | (6) | 9 | (72) | (65) | (134) |
Hyperinflationary adjustment | (108) | (12) | \u2013 | \u2013 | (120) |
Currency retranslation | (1,929) | (1,722) | (217) | (58) | (3,926) |
31 December 2025 | 18,866 | 16,965 | 3,639 | 1,002 | 40,472 |
Accumulated amortisation and impairment | |||||
1 January 2025 | (1,160) | (481) | (3,123) | (1,100) | (5,864) |
Amortisation/impairment for the year | \u2013 | (48) | (222) | (28) | (298) |
Distributed through demerger | \u2013 | \u2013 | 34 | 24 | 58 |
Disposals and other movements | \u2013 | 1 | 71 | 61 | 133 |
Currency retranslation | 3 | 18 | 186 | 56 | 263 |
31 December 2025 | (1,157) | (510) | (3,054) | (987) | (5,708) |
Net book value 31 December 2025(c) | 17,709 | 16,455 | 585 | 15 | 34,764 |
\u20ac\u00a0million | Goodwill | Indefinite-life intangible\u00a0assets | Finite-life\u00a0intangible\u00a0assets | Total | |
Movements during 2024 | Software | Other | |||
Cost | |||||
1 January 2024 | 22,266 | 17,967 | 3,483 | 1,124 | 44,840 |
Additions through business combinations(a) | 310 | 382 | \u2013 | \u2013 | 692 |
Disposal of businesses | (60) | (510) | (26) | (4) | (600) |
Reclassification to held for sale (b) | (47) | (47) | (5) | \u2013 | (99) |
Additions | \u2013 | 3 | 229 | 1 | 233 |
Disposals and other movements | 132 | 2 | (23) | 9 | 120 |
Hyperinflationary adjustment | 284 | 34 | \u2013 | \u2013 | 318 |
Currency retranslation | 586 | 506 | 143 | 26 | 1,261 |
31 December 2024 | 23,471 | 18,337 | 3,801 | 1,156 | 46,765 |
Accumulated amortisation and impairment | |||||
1 January 2024 | (1,157) | (345) | (2,841) | (1,031) | (5,374) |
Amortisation/impairment for the year | \u2013 | (127) | (213) | (35) | (375) |
Disposals and other movements | (3) | \u2013 | 47 | (8) | 36 |
Currency retranslation | \u2013 | (9) | (116) | (26) | (151) |
31 December 2024 | (1,160) | (481) | (3,123) | (1,100) | (5,864) |
Net book value 31 December 2024(c) | 22,311 | 17,856 | 678 | 56 | 40,901 |
2025 GCGUs | 2024 GCGUs | |
\u20ac billion Goodwill | \u20ac billion Goodwill | |
Beauty & Wellbeing | 4.5 | 5.0 |
Personal Care | 4.5 | 4.2 |
Home Care | 0.8 | 0.9 |
Foods | 7.9 | 8.6 |
Ice Cream(a) | \u2013 | 3.6 |
Total GCGUs | 17.7 | 22.3 |
2025 CGUs | 2024 CGUs | |
\u20ac billion Indefinite-life intangible assets | \u20ac billion Indefinite-life intangible assets | |
Foods India and Nepal | 2.5 | 3.0 |
Prestige | 2.9 | 3.2 |
Wellbeing | 1.5 | 1.7 |
Beauty & Wellbeing North America | 0.9 | 1.0 |
Total Significant CGUs | 7.8 | 8.9 |
Others (b) | 8.7 | 9.0 |
Total CGUs | 16.5 | 17.9 |
Group of CGUs | Beauty & Wellbeing | Personal Care | Home Care | Foods |
Longer-term sustainable growth rates | 3% | 3% | 4% | 3% |
Discount rate | 12% | 12% | 12% | 11% |
Significant CGUs | Foods India and Nepal | Prestige | Wellbeing | Beauty & Wellbeing North America |
Longer-term sustainable growth rates | 6% | 2% | 2% | 2% |
Group of CGUs | Beauty & Wellbeing | Personal Care | Home Care | Foods |
Longer-term sustainable growth rates | 3% | 2% | 3% | 3% |
Average near-term nominal growth rates(a) | 5% | 3% | 3% | 3% |
Discount rate | 11% | 11% | 12% | 11% |
Significant CGUs | Foods India and Nepal | Prestige | Wellbeing | Beauty & Wellbeing North America |
Longer-term sustainable growth rates | 7% | 2% | 2% | 2% |
Average near-term nominal growth rates(a) | 7% | 8% | 11% | 1% |
Goodwill Goodwill is initially recognised based on the accounting policy for business combinations (see note 22). Goodwill is subsequently measured at cost less amounts provided for impairment. Goodwill acquired in a business combination is assessed to determine whether new cash-generating units (CGUs) are created, and if not, is allocated to the Group\u2019s CGUs, or groups of CGUs (GCGUs) in line with the structure detailed below. These might not always be the same as the CGUs or GCGUs that include the assets and liabilities of the acquired business. | ||||
Intangible assets Separately purchased intangible assets are initially measured at cost, being the purchase price as at the date of acquisition. On acquisition of new interests in group companies, Unilever recognises any specifically identifiable intangible assets separately from goodwill. These intangible assets are initially measured at fair value as at the date of acquisition. Expenditure to support development of internally produced intangible assets is recognised in profit or loss as incurred. Indefinite-life intangibles mainly comprise trademarks and brands, for which there is no foreseeable limit to the period over which they are expected to generate net cash inflows. These are considered to have an indefinite life, given the strength and durability of our brands and the level of marketing support. These assets are not amortised but are subject to a review for impairment annually, or more frequently if events or circumstances indicate this is necessary. Finite-life intangible assets mainly comprise software, patented and non-patented technology, know-how and customer lists. These assets are amortised on a straight-line basis in the income statement over the period of their expected useful lives, or the period of legal rights if shorter. None of\u00a0the amortisation periods exceeds ten years. | ||||
Cash-generating units The Group\u2019s assets are grouped into cash-generating units (CGUs), which are the smallest identifiable group of assets that generate largely independent cash inflows. The Group\u2019s CGUs are aligned with our organisation structure of Business Units and Global Business Units. For impairment testing purposes, goodwill is allocated to groups of CGUs (GCGUs), which are based on the four Business Groups, since the synergies acquired through a business combination benefit a Business Group as a whole rather than a specific Business Unit or Global Business Unit. Cash inflows relating to indefinite-life intangible assets are identifiable at Business Unit or Global Business Unit level and are therefore allocated to individual CGUs. | ||||
Impairment review The impairment test is performed by comparing the carrying value of the CGUs or GCGUs with their recoverable value. The recoverable value is\u00a0primarily based on value in use but also considers fair value less costs of disposal where relevant. Any impairment is charged to the income statement as it arises. |
\u20ac\u00a0million | Goodwill | Indefinite-life intangible\u00a0assets | Finite-life\u00a0intangible\u00a0assets | Total | |
Movements during 2025 | Software | Other | |||
Cost | |||||
1 January 2025 | 23,471 | 18,337 | 3,801 | 1,156 | 46,765 |
Additions through business combinations(a) | 764 | 1,108 | 1 | \u2013 | 1,873 |
Disposal of businesses | (4) | (49) | (1) | \u2013 | (54) |
Distributed through demerger | (3,322) | (712) | (43) | (32) | (4,109) |
Additions | \u2013 | 6 | 170 | 1 | 177 |
Disposals and other movements | (6) | 9 | (72) | (65) | (134) |
Hyperinflationary adjustment | (108) | (12) | \u2013 | \u2013 | (120) |
Currency retranslation | (1,929) | (1,722) | (217) | (58) | (3,926) |
31 December 2025 | 18,866 | 16,965 | 3,639 | 1,002 | 40,472 |
Accumulated amortisation and impairment | |||||
1 January 2025 | (1,160) | (481) | (3,123) | (1,100) | (5,864) |
Amortisation/impairment for the year | \u2013 | (48) | (222) | (28) | (298) |
Distributed through demerger | \u2013 | \u2013 | 34 | 24 | 58 |
Disposals and other movements | \u2013 | 1 | 71 | 61 | 133 |
Currency retranslation | 3 | 18 | 186 | 56 | 263 |
31 December 2025 | (1,157) | (510) | (3,054) | (987) | (5,708) |
Net book value 31 December 2025(c) | 17,709 | 16,455 | 585 | 15 | 34,764 |
\u20ac\u00a0million | Goodwill | Indefinite-life intangible\u00a0assets | Finite-life\u00a0intangible\u00a0assets | Total | |
Movements during 2024 | Software | Other | |||
Cost | |||||
1 January 2024 | 22,266 | 17,967 | 3,483 | 1,124 | 44,840 |
Additions through business combinations(a) | 310 | 382 | \u2013 | \u2013 | 692 |
Disposal of businesses | (60) | (510) | (26) | (4) | (600) |
Reclassification to held for sale (b) | (47) | (47) | (5) | \u2013 | (99) |
Additions | \u2013 | 3 | 229 | 1 | 233 |
Disposals and other movements | 132 | 2 | (23) | 9 | 120 |
Hyperinflationary adjustment | 284 | 34 | \u2013 | \u2013 | 318 |
Currency retranslation | 586 | 506 | 143 | 26 | 1,261 |
31 December 2024 | 23,471 | 18,337 | 3,801 | 1,156 | 46,765 |
Accumulated amortisation and impairment | |||||
1 January 2024 | (1,157) | (345) | (2,841) | (1,031) | (5,374) |
Amortisation/impairment for the year | \u2013 | (127) | (213) | (35) | (375) |
Disposals and other movements | (3) | \u2013 | 47 | (8) | 36 |
Currency retranslation | \u2013 | (9) | (116) | (26) | (151) |
31 December 2024 | (1,160) | (481) | (3,123) | (1,100) | (5,864) |
Net book value 31 December 2024(c) | 22,311 | 17,856 | 678 | 56 | 40,901 |
2025 GCGUs | 2024 GCGUs | |
\u20ac billion Goodwill | \u20ac billion Goodwill | |
Beauty & Wellbeing | 4.5 | 5.0 |
Personal Care | 4.5 | 4.2 |
Home Care | 0.8 | 0.9 |
Foods | 7.9 | 8.6 |
Ice Cream(a) | \u2013 | 3.6 |
Total GCGUs | 17.7 | 22.3 |
2025 CGUs | 2024 CGUs | |
\u20ac billion Indefinite-life intangible assets | \u20ac billion Indefinite-life intangible assets | |
Foods India and Nepal | 2.5 | 3.0 |
Prestige | 2.9 | 3.2 |
Wellbeing | 1.5 | 1.7 |
Beauty & Wellbeing North America | 0.9 | 1.0 |
Total Significant CGUs | 7.8 | 8.9 |
Others (b) | 8.7 | 9.0 |
Total CGUs | 16.5 | 17.9 |
Group of CGUs | Beauty & Wellbeing | Personal Care | Home Care | Foods |
Longer-term sustainable growth rates | 3% | 3% | 4% | 3% |
Discount rate | 12% | 12% | 12% | 11% |
Significant CGUs | Foods India and Nepal | Prestige | Wellbeing | Beauty & Wellbeing North America |
Longer-term sustainable growth rates | 6% | 2% | 2% | 2% |
Group of CGUs | Beauty & Wellbeing | Personal Care | Home Care | Foods |
Longer-term sustainable growth rates | 3% | 2% | 3% | 3% |
Average near-term nominal growth rates(a) | 5% | 3% | 3% | 3% |
Discount rate | 11% | 11% | 12% | 11% |
Significant CGUs | Foods India and Nepal | Prestige | Wellbeing | Beauty & Wellbeing North America |
Longer-term sustainable growth rates | 7% | 2% | 2% | 2% |
Average near-term nominal growth rates(a) | 7% | 8% | 11% | 1% |
Goodwill Goodwill is initially recognised based on the accounting policy for business combinations (see note 22). Goodwill is subsequently measured at cost less amounts provided for impairment. Goodwill acquired in a business combination is assessed to determine whether new cash-generating units (CGUs) are created, and if not, is allocated to the Group\u2019s CGUs, or groups of CGUs (GCGUs) in line with the structure detailed below. These might not always be the same as the CGUs or GCGUs that include the assets and liabilities of the acquired business. | ||||
Intangible assets Separately purchased intangible assets are initially measured at cost, being the purchase price as at the date of acquisition. On acquisition of new interests in group companies, Unilever recognises any specifically identifiable intangible assets separately from goodwill. These intangible assets are initially measured at fair value as at the date of acquisition. Expenditure to support development of internally produced intangible assets is recognised in profit or loss as incurred. Indefinite-life intangibles mainly comprise trademarks and brands, for which there is no foreseeable limit to the period over which they are expected to generate net cash inflows. These are considered to have an indefinite life, given the strength and durability of our brands and the level of marketing support. These assets are not amortised but are subject to a review for impairment annually, or more frequently if events or circumstances indicate this is necessary. Finite-life intangible assets mainly comprise software, patented and non-patented technology, know-how and customer lists. These assets are amortised on a straight-line basis in the income statement over the period of their expected useful lives, or the period of legal rights if shorter. None of\u00a0the amortisation periods exceeds ten years. | ||||
Cash-generating units The Group\u2019s assets are grouped into cash-generating units (CGUs), which are the smallest identifiable group of assets that generate largely independent cash inflows. The Group\u2019s CGUs are aligned with our organisation structure of Business Units and Global Business Units. For impairment testing purposes, goodwill is allocated to groups of CGUs (GCGUs), which are based on the four Business Groups, since the synergies acquired through a business combination benefit a Business Group as a whole rather than a specific Business Unit or Global Business Unit. Cash inflows relating to indefinite-life intangible assets are identifiable at Business Unit or Global Business Unit level and are therefore allocated to individual CGUs. | ||||
Impairment review The impairment test is performed by comparing the carrying value of the CGUs or GCGUs with their recoverable value. The recoverable value is\u00a0primarily based on value in use but also considers fair value less costs of disposal where relevant. Any impairment is charged to the income statement as it arises. |
Business combinations are accounted for using the acquisition accounting method as at the acquisition date, which is the date at which control is transferred to the Group. Goodwill is measured at the acquisition date as the fair value of consideration transferred, plus non-controlling interests and the fair value of\u00a0any previously held equity interests less the net recognised amount (which is generally fair value) of the identifiable assets and liabilities assumed. Goodwill is subject to an annual review for impairment (or more frequently if necessary) in accordance with our accounting policies. Any impairment is charged to the income statement as it arises. Detailed information relating to goodwill is provided in note 9 on pages 152 to\u00a0154. Non-controlling interests are valued based on the proportion of net assets of the acquired company at the date of acquisition. Transaction costs are expensed as incurred. Changes in ownership that do not result in a change of control are accounted for as equity transactions and therefore do not have any impact on goodwill. The difference between consideration and the non-controlling share of net assets acquired is recognised within equity. |
Goodwill Goodwill is initially recognised based on the accounting policy for business combinations (see note 22). Goodwill is subsequently measured at cost less amounts provided for impairment. Goodwill acquired in a business combination is assessed to determine whether new cash-generating units (CGUs) are created, and if not, is allocated to the Group\u2019s CGUs, or groups of CGUs (GCGUs) in line with the structure detailed below. These might not always be the same as the CGUs or GCGUs that include the assets and liabilities of the acquired business. | ||||
Intangible assets Separately purchased intangible assets are initially measured at cost, being the purchase price as at the date of acquisition. On acquisition of new interests in group companies, Unilever recognises any specifically identifiable intangible assets separately from goodwill. These intangible assets are initially measured at fair value as at the date of acquisition. Expenditure to support development of internally produced intangible assets is recognised in profit or loss as incurred. Indefinite-life intangibles mainly comprise trademarks and brands, for which there is no foreseeable limit to the period over which they are expected to generate net cash inflows. These are considered to have an indefinite life, given the strength and durability of our brands and the level of marketing support. These assets are not amortised but are subject to a review for impairment annually, or more frequently if events or circumstances indicate this is necessary. Finite-life intangible assets mainly comprise software, patented and non-patented technology, know-how and customer lists. These assets are amortised on a straight-line basis in the income statement over the period of their expected useful lives, or the period of legal rights if shorter. None of\u00a0the amortisation periods exceeds ten years. | ||||
Cash-generating units The Group\u2019s assets are grouped into cash-generating units (CGUs), which are the smallest identifiable group of assets that generate largely independent cash inflows. The Group\u2019s CGUs are aligned with our organisation structure of Business Units and Global Business Units. For impairment testing purposes, goodwill is allocated to groups of CGUs (GCGUs), which are based on the four Business Groups, since the synergies acquired through a business combination benefit a Business Group as a whole rather than a specific Business Unit or Global Business Unit. Cash inflows relating to indefinite-life intangible assets are identifiable at Business Unit or Global Business Unit level and are therefore allocated to individual CGUs. | ||||
Impairment review The impairment test is performed by comparing the carrying value of the CGUs or GCGUs with their recoverable value. The recoverable value is\u00a0primarily based on value in use but also considers fair value less costs of disposal where relevant. Any impairment is charged to the income statement as it arises. |
Goodwill Goodwill is initially recognised based on the accounting policy for business combinations (see note 22). Goodwill is subsequently measured at cost less amounts provided for impairment. Goodwill acquired in a business combination is assessed to determine whether new cash-generating units (CGUs) are created, and if not, is allocated to the Group\u2019s CGUs, or groups of CGUs (GCGUs) in line with the structure detailed below. These might not always be the same as the CGUs or GCGUs that include the assets and liabilities of the acquired business. | ||||
Intangible assets Separately purchased intangible assets are initially measured at cost, being the purchase price as at the date of acquisition. On acquisition of new interests in group companies, Unilever recognises any specifically identifiable intangible assets separately from goodwill. These intangible assets are initially measured at fair value as at the date of acquisition. Expenditure to support development of internally produced intangible assets is recognised in profit or loss as incurred. Indefinite-life intangibles mainly comprise trademarks and brands, for which there is no foreseeable limit to the period over which they are expected to generate net cash inflows. These are considered to have an indefinite life, given the strength and durability of our brands and the level of marketing support. These assets are not amortised but are subject to a review for impairment annually, or more frequently if events or circumstances indicate this is necessary. Finite-life intangible assets mainly comprise software, patented and non-patented technology, know-how and customer lists. These assets are amortised on a straight-line basis in the income statement over the period of their expected useful lives, or the period of legal rights if shorter. None of\u00a0the amortisation periods exceeds ten years. | ||||
Cash-generating units The Group\u2019s assets are grouped into cash-generating units (CGUs), which are the smallest identifiable group of assets that generate largely independent cash inflows. The Group\u2019s CGUs are aligned with our organisation structure of Business Units and Global Business Units. For impairment testing purposes, goodwill is allocated to groups of CGUs (GCGUs), which are based on the four Business Groups, since the synergies acquired through a business combination benefit a Business Group as a whole rather than a specific Business Unit or Global Business Unit. Cash inflows relating to indefinite-life intangible assets are identifiable at Business Unit or Global Business Unit level and are therefore allocated to individual CGUs. | ||||
Impairment review The impairment test is performed by comparing the carrying value of the CGUs or GCGUs with their recoverable value. The recoverable value is\u00a0primarily based on value in use but also considers fair value less costs of disposal where relevant. Any impairment is charged to the income statement as it arises. |
The Group\u2019s property, plant and equipment is comprised of owned assets (note 10A) and leased assets (note 10B). Property, plant and equipment is measured at cost including eligible borrowing costs less depreciation and accumulated impairment losses. Property, plant and equipment is subject to review for impairment if triggering events or circumstances indicate that this is necessary. If an indication of impairment exists, the asset\u2019s or cash-generating unit\u2019s recoverable amount is estimated and any impairment loss is charged\u00a0to the income statement as it arises. | ||||
Owned assets Owned assets are initially measured at historical cost. Depreciation is provided on a straight-line basis over the expected average useful lives of\u00a0the assets. Residual values and useful lives are reviewed at least annually. The review of residual values and useful lives has taken into consideration the impacts of climate change and the actions we undertake to mitigate and adapt against these climate-related risks. There is no material impact on the income statement for this year. Estimated useful lives by major class of assets are as follows: | ||||
\u25a0 freehold buildings (no depreciation on freehold land) | 40 years | |||
\u25a0 leasehold land and buildings | 40 years (or life of lease if less) | |||
\u25a0 plant and equipment | 2-20 years | |||
Leased assets The cost of a leased asset is measured as the lease liability at inception of the lease contract and other direct costs less any incentives granted by the\u00a0lessor. The Group has not capitalised leases which are less than 12 months or leases of low-value assets. These mainly relate to IT equipment, office\u00a0equipment, furniture and fitting and other peripheral items. When a lease liability is remeasured, the related lease asset is adjusted by the same\u00a0amount. Depreciation is provided on a straight-line basis from the commencement date of the lease to the end of the lease term. |
Goodwill Goodwill is initially recognised based on the accounting policy for business combinations (see note 22). Goodwill is subsequently measured at cost less amounts provided for impairment. Goodwill acquired in a business combination is assessed to determine whether new cash-generating units (CGUs) are created, and if not, is allocated to the Group\u2019s CGUs, or groups of CGUs (GCGUs) in line with the structure detailed below. These might not always be the same as the CGUs or GCGUs that include the assets and liabilities of the acquired business. | ||||
Intangible assets Separately purchased intangible assets are initially measured at cost, being the purchase price as at the date of acquisition. On acquisition of new interests in group companies, Unilever recognises any specifically identifiable intangible assets separately from goodwill. These intangible assets are initially measured at fair value as at the date of acquisition. Expenditure to support development of internally produced intangible assets is recognised in profit or loss as incurred. Indefinite-life intangibles mainly comprise trademarks and brands, for which there is no foreseeable limit to the period over which they are expected to generate net cash inflows. These are considered to have an indefinite life, given the strength and durability of our brands and the level of marketing support. These assets are not amortised but are subject to a review for impairment annually, or more frequently if events or circumstances indicate this is necessary. Finite-life intangible assets mainly comprise software, patented and non-patented technology, know-how and customer lists. These assets are amortised on a straight-line basis in the income statement over the period of their expected useful lives, or the period of legal rights if shorter. None of\u00a0the amortisation periods exceeds ten years. | ||||
Cash-generating units The Group\u2019s assets are grouped into cash-generating units (CGUs), which are the smallest identifiable group of assets that generate largely independent cash inflows. The Group\u2019s CGUs are aligned with our organisation structure of Business Units and Global Business Units. For impairment testing purposes, goodwill is allocated to groups of CGUs (GCGUs), which are based on the four Business Groups, since the synergies acquired through a business combination benefit a Business Group as a whole rather than a specific Business Unit or Global Business Unit. Cash inflows relating to indefinite-life intangible assets are identifiable at Business Unit or Global Business Unit level and are therefore allocated to individual CGUs. | ||||
Impairment review The impairment test is performed by comparing the carrying value of the CGUs or GCGUs with their recoverable value. The recoverable value is\u00a0primarily based on value in use but also considers fair value less costs of disposal where relevant. Any impairment is charged to the income statement as it arises. |
The Group\u2019s property, plant and equipment is comprised of owned assets (note 10A) and leased assets (note 10B). Property, plant and equipment is measured at cost including eligible borrowing costs less depreciation and accumulated impairment losses. Property, plant and equipment is subject to review for impairment if triggering events or circumstances indicate that this is necessary. If an indication of impairment exists, the asset\u2019s or cash-generating unit\u2019s recoverable amount is estimated and any impairment loss is charged\u00a0to the income statement as it arises. | ||||
Owned assets Owned assets are initially measured at historical cost. Depreciation is provided on a straight-line basis over the expected average useful lives of\u00a0the assets. Residual values and useful lives are reviewed at least annually. The review of residual values and useful lives has taken into consideration the impacts of climate change and the actions we undertake to mitigate and adapt against these climate-related risks. There is no material impact on the income statement for this year. Estimated useful lives by major class of assets are as follows: | ||||
\u25a0 freehold buildings (no depreciation on freehold land) | 40 years | |||
\u25a0 leasehold land and buildings | 40 years (or life of lease if less) | |||
\u25a0 plant and equipment | 2-20 years | |||
Leased assets The cost of a leased asset is measured as the lease liability at inception of the lease contract and other direct costs less any incentives granted by the\u00a0lessor. The Group has not capitalised leases which are less than 12 months or leases of low-value assets. These mainly relate to IT equipment, office\u00a0equipment, furniture and fitting and other peripheral items. When a lease liability is remeasured, the related lease asset is adjusted by the same\u00a0amount. Depreciation is provided on a straight-line basis from the commencement date of the lease to the end of the lease term. |
Goodwill Goodwill is initially recognised based on the accounting policy for business combinations (see note 22). Goodwill is subsequently measured at cost less amounts provided for impairment. Goodwill acquired in a business combination is assessed to determine whether new cash-generating units (CGUs) are created, and if not, is allocated to the Group\u2019s CGUs, or groups of CGUs (GCGUs) in line with the structure detailed below. These might not always be the same as the CGUs or GCGUs that include the assets and liabilities of the acquired business. | ||||
Intangible assets Separately purchased intangible assets are initially measured at cost, being the purchase price as at the date of acquisition. On acquisition of new interests in group companies, Unilever recognises any specifically identifiable intangible assets separately from goodwill. These intangible assets are initially measured at fair value as at the date of acquisition. Expenditure to support development of internally produced intangible assets is recognised in profit or loss as incurred. Indefinite-life intangibles mainly comprise trademarks and brands, for which there is no foreseeable limit to the period over which they are expected to generate net cash inflows. These are considered to have an indefinite life, given the strength and durability of our brands and the level of marketing support. These assets are not amortised but are subject to a review for impairment annually, or more frequently if events or circumstances indicate this is necessary. Finite-life intangible assets mainly comprise software, patented and non-patented technology, know-how and customer lists. These assets are amortised on a straight-line basis in the income statement over the period of their expected useful lives, or the period of legal rights if shorter. None of\u00a0the amortisation periods exceeds ten years. | ||||
Cash-generating units The Group\u2019s assets are grouped into cash-generating units (CGUs), which are the smallest identifiable group of assets that generate largely independent cash inflows. The Group\u2019s CGUs are aligned with our organisation structure of Business Units and Global Business Units. For impairment testing purposes, goodwill is allocated to groups of CGUs (GCGUs), which are based on the four Business Groups, since the synergies acquired through a business combination benefit a Business Group as a whole rather than a specific Business Unit or Global Business Unit. Cash inflows relating to indefinite-life intangible assets are identifiable at Business Unit or Global Business Unit level and are therefore allocated to individual CGUs. | ||||
Impairment review The impairment test is performed by comparing the carrying value of the CGUs or GCGUs with their recoverable value. The recoverable value is\u00a0primarily based on value in use but also considers fair value less costs of disposal where relevant. Any impairment is charged to the income statement as it arises. |
Goodwill Goodwill is initially recognised based on the accounting policy for business combinations (see note 22). Goodwill is subsequently measured at cost less amounts provided for impairment. Goodwill acquired in a business combination is assessed to determine whether new cash-generating units (CGUs) are created, and if not, is allocated to the Group\u2019s CGUs, or groups of CGUs (GCGUs) in line with the structure detailed below. These might not always be the same as the CGUs or GCGUs that include the assets and liabilities of the acquired business. | ||||
Intangible assets Separately purchased intangible assets are initially measured at cost, being the purchase price as at the date of acquisition. On acquisition of new interests in group companies, Unilever recognises any specifically identifiable intangible assets separately from goodwill. These intangible assets are initially measured at fair value as at the date of acquisition. Expenditure to support development of internally produced intangible assets is recognised in profit or loss as incurred. Indefinite-life intangibles mainly comprise trademarks and brands, for which there is no foreseeable limit to the period over which they are expected to generate net cash inflows. These are considered to have an indefinite life, given the strength and durability of our brands and the level of marketing support. These assets are not amortised but are subject to a review for impairment annually, or more frequently if events or circumstances indicate this is necessary. Finite-life intangible assets mainly comprise software, patented and non-patented technology, know-how and customer lists. These assets are amortised on a straight-line basis in the income statement over the period of their expected useful lives, or the period of legal rights if shorter. None of\u00a0the amortisation periods exceeds ten years. | ||||
Cash-generating units The Group\u2019s assets are grouped into cash-generating units (CGUs), which are the smallest identifiable group of assets that generate largely independent cash inflows. The Group\u2019s CGUs are aligned with our organisation structure of Business Units and Global Business Units. For impairment testing purposes, goodwill is allocated to groups of CGUs (GCGUs), which are based on the four Business Groups, since the synergies acquired through a business combination benefit a Business Group as a whole rather than a specific Business Unit or Global Business Unit. Cash inflows relating to indefinite-life intangible assets are identifiable at Business Unit or Global Business Unit level and are therefore allocated to individual CGUs. | ||||
Impairment review The impairment test is performed by comparing the carrying value of the CGUs or GCGUs with their recoverable value. The recoverable value is\u00a0primarily based on value in use but also considers fair value less costs of disposal where relevant. Any impairment is charged to the income statement as it arises. |
The Group\u2019s property, plant and equipment is comprised of owned assets (note 10A) and leased assets (note 10B). Property, plant and equipment is measured at cost including eligible borrowing costs less depreciation and accumulated impairment losses. Property, plant and equipment is subject to review for impairment if triggering events or circumstances indicate that this is necessary. If an indication of impairment exists, the asset\u2019s or cash-generating unit\u2019s recoverable amount is estimated and any impairment loss is charged\u00a0to the income statement as it arises. | ||||
Owned assets Owned assets are initially measured at historical cost. Depreciation is provided on a straight-line basis over the expected average useful lives of\u00a0the assets. Residual values and useful lives are reviewed at least annually. The review of residual values and useful lives has taken into consideration the impacts of climate change and the actions we undertake to mitigate and adapt against these climate-related risks. There is no material impact on the income statement for this year. Estimated useful lives by major class of assets are as follows: | ||||
\u25a0 freehold buildings (no depreciation on freehold land) | 40 years | |||
\u25a0 leasehold land and buildings | 40 years (or life of lease if less) | |||
\u25a0 plant and equipment | 2-20 years | |||
Leased assets The cost of a leased asset is measured as the lease liability at inception of the lease contract and other direct costs less any incentives granted by the\u00a0lessor. The Group has not capitalised leases which are less than 12 months or leases of low-value assets. These mainly relate to IT equipment, office\u00a0equipment, furniture and fitting and other peripheral items. When a lease liability is remeasured, the related lease asset is adjusted by the same\u00a0amount. Depreciation is provided on a straight-line basis from the commencement date of the lease to the end of the lease term. |
Cash and cash equivalents Cash and cash equivalents in the balance sheet include deposits, investments in money market funds and highly liquid investments. To be classified as cash and cash equivalents, an asset must: \u25a0 be readily convertible into cash; \u25a0 have an insignificant risk of changes in value; and \u25a0 have a maturity period of typically three months or less at acquisition. Cash and cash equivalents in the cash flow statement also include bank overdrafts and are recorded at amortised cost. | ||||
Other financial assets The Group classifies its financial assets into the following measurement categories: \u25a0 those to be measured subsequently at fair value (either through other comprehensive income, or through profit or loss), and \u25a0 those to be measured at amortised cost. This classification depends on our business model for managing the financial asset and the contractual terms of the cash flows. At initial recognition, the Group measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs that are directly attributable to the acquisition of the financial asset. Transaction costs of financial assets carried at fair value through profit or loss are expensed in the income statement. All financial assets are either debt instruments or equity instruments. Debt instruments are those that provide the Group with a contractual right to receive cash or another asset. Equity instruments are those where the Group has no contractual right to receive cash or another asset. | ||||
Debt instruments The subsequent measurement of debt instruments depends on the Group\u2019s business model for managing the asset and the cash flow characteristics of the asset. There are three measurement categories that debt instruments are classified as: \u25a0 financial assets at amortised cost; \u25a0 financial assets at fair value through other comprehensive income; or \u25a0 financial assets at fair value through profit or loss. (i) Amortised cost Assets measured at amortised cost are those which are held to collect contractual cash flows on the repayment of principal or interest (SPPI). A\u00a0gain or loss on a debt investment recognised at amortised cost on derecognition or impairment is recognised in the income statement. Interest income is recognised within finance income using the effective interest rate method. (ii) Fair value through other comprehensive income Assets that are held at fair value through other comprehensive income are those that are held to collect contractual cash flows on the repayment of principal and interest and which are held to recognise a capital gain through the sale of the asset. Movements in the carrying amount are recognised in other comprehensive income except for the recognition of impairment, interest income and foreign exchange gains or losses which are recognised in the income statement. On derecognition, the cumulative gain or loss recognised in other comprehensive income is reclassified from equity to the income statement. Interest income is included in finance income using the effective interest rate method. (iii) Fair value through profit or loss Assets that do not meet the criteria for either amortised cost or fair value through other comprehensive income are measured as fair value through profit or loss. Related transaction costs are expensed as incurred. Unless they form part of a hedging relationship, these assets are held at fair value, with changes being recognised in the income statement. Interest income from these assets is included within finance income. | ||||
Equity instruments The Group subsequently measures all equity instruments at fair value. Where the Group has elected to present fair value gains and losses on equity investments in other comprehensive income, there is no subsequent reclassification of fair value gains or losses to profit or loss. Dividends from these investments continue to be recognised in the income statement. | ||||
Impairment of financial assets Financial instruments classified as amortised cost and debt instruments classified as fair value through other comprehensive income are assessed for impairment. The Group assesses the probability of default of an asset at initial recognition and then whether there has been a significant increase in credit risk on an ongoing basis. To assess whether there is a significant increase in credit risk, the Group compares the risk of a default occurring on the asset as at the reporting date with the risk of default as at the date of initial recognition. It considers available reasonable and supportive forward-looking information. Macroeconomic information (such as market interest rates or growth rates) is also considered. Financial assets are written off when there is no reasonable expectation of recovery, such as a debtor failing to engage in a repayment plan with the company. Impairment losses on assets classified as amortised cost are recognised in the income statement. When a later event causes the impairment losses to decrease, the reduction in impairment loss is also recognised in the income statement. Permanent impairment losses on debt instruments classified as fair value through other comprehensive income are recognised in the income statement. |
\u20ac\u00a0million | Goodwill | Indefinite-life intangible\u00a0assets | Finite-life\u00a0intangible\u00a0assets | Total | |
Movements during 2025 | Software | Other | |||
Cost | |||||
1 January 2025 | 23,471 | 18,337 | 3,801 | 1,156 | 46,765 |
Additions through business combinations(a) | 764 | 1,108 | 1 | \u2013 | 1,873 |
Disposal of businesses | (4) | (49) | (1) | \u2013 | (54) |
Distributed through demerger | (3,322) | (712) | (43) | (32) | (4,109) |
Additions | \u2013 | 6 | 170 | 1 | 177 |
Disposals and other movements | (6) | 9 | (72) | (65) | (134) |
Hyperinflationary adjustment | (108) | (12) | \u2013 | \u2013 | (120) |
Currency retranslation | (1,929) | (1,722) | (217) | (58) | (3,926) |
31 December 2025 | 18,866 | 16,965 | 3,639 | 1,002 | 40,472 |
Accumulated amortisation and impairment | |||||
1 January 2025 | (1,160) | (481) | (3,123) | (1,100) | (5,864) |
Amortisation/impairment for the year | \u2013 | (48) | (222) | (28) | (298) |
Distributed through demerger | \u2013 | \u2013 | 34 | 24 | 58 |
Disposals and other movements | \u2013 | 1 | 71 | 61 | 133 |
Currency retranslation | 3 | 18 | 186 | 56 | 263 |
31 December 2025 | (1,157) | (510) | (3,054) | (987) | (5,708) |
Net book value 31 December 2025(c) | 17,709 | 16,455 | 585 | 15 | 34,764 |
\u20ac\u00a0million | Goodwill | Indefinite-life intangible\u00a0assets | Finite-life\u00a0intangible\u00a0assets | Total | |
Movements during 2024 | Software | Other | |||
Cost | |||||
1 January 2024 | 22,266 | 17,967 | 3,483 | 1,124 | 44,840 |
Additions through business combinations(a) | 310 | 382 | \u2013 | \u2013 | 692 |
Disposal of businesses | (60) | (510) | (26) | (4) | (600) |
Reclassification to held for sale (b) | (47) | (47) | (5) | \u2013 | (99) |
Additions | \u2013 | 3 | 229 | 1 | 233 |
Disposals and other movements | 132 | 2 | (23) | 9 | 120 |
Hyperinflationary adjustment | 284 | 34 | \u2013 | \u2013 | 318 |
Currency retranslation | 586 | 506 | 143 | 26 | 1,261 |
31 December 2024 | 23,471 | 18,337 | 3,801 | 1,156 | 46,765 |
Accumulated amortisation and impairment | |||||
1 January 2024 | (1,157) | (345) | (2,841) | (1,031) | (5,374) |
Amortisation/impairment for the year | \u2013 | (127) | (213) | (35) | (375) |
Disposals and other movements | (3) | \u2013 | 47 | (8) | 36 |
Currency retranslation | \u2013 | (9) | (116) | (26) | (151) |
31 December 2024 | (1,160) | (481) | (3,123) | (1,100) | (5,864) |
Net book value 31 December 2024(c) | 22,311 | 17,856 | 678 | 56 | 40,901 |
Movements during 2025 | \u20ac\u00a0million Land and buildings | \u20ac\u00a0million Plant and equipment | \u20ac\u00a0million Total |
Cost | |||
1 January 2025 | 5,104 | 15,800 | 20,904 |
Additions through business combinations | \u2013 | 15 | 15 |
Additions | 345 | 1,356 | 1,701 |
Disposals and other movements | (134) | (412) | (546) |
Hyperinflationary adjustment | (59) | (122) | (181) |
Distributed through demerger | (1,035) | (4,006) | (5,041) |
Reclassification as held for sale | (10) | (113) | (123) |
Currency retranslation | (327) | (1,033) | (1,360) |
31 December 2025 | 3,884 | 11,485 | 15,369 |
Accumulated depreciation | |||
1 January 2025 | (1,717) | (8,928) | (10,645) |
Depreciation charge for the year | (125) | (872) | (997) |
Disposals and other movements | 25 | 348 | 373 |
Hyperinflationary adjustment | 13 | 118 | 131 |
Distributed through demerger | 426 | 2,498 | 2,924 |
Reclassification as held for sale | 2 | 43 | 45 |
Currency retranslation | 99 | 527 | 626 |
31 December 2025 | (1,277) | (6,266) | (7,543) |
Net book value 31 December 2025(a) | 2,607 | 5,219 | 7,826 |
Includes capital expenditures for assets under construction | 262 | 1,399 | 1,661 |
Movements during 2024 | \u20ac million Land\u00a0and buildings | \u20ac million Plant and equipment | \u20ac million Total |
Cost | |||
1 January 2024 | 4,671 | 14,957 | 19,628 |
Additions through business combinations | \u2013 | 1 | 1 |
Additions | 319 | 1,421 | 1,740 |
Disposals and other movements | (116) | (1,073) | (1,189) |
Hyperinflationary adjustment | 223 | 441 | 664 |
Reclassification as held for sale | (27) | (69) | (96) |
Currency retranslation | 34 | 122 | 156 |
31 December 2024 | 5,104 | 15,800 | 20,904 |
Accumulated depreciation | |||
1 January 2024 | (1,599) | (8,652) | (10,251) |
Depreciation charge for the year | (119) | (886) | (1,005) |
Disposals and other movements | 45 | 893 | 938 |
Hyperinflationary adjustment | (33) | (246) | (279) |
Reclassification as held for sale | 15 | 50 | 65 |
Currency retranslation | (26) | (87) | (113) |
31 December 2024 | (1,717) | (8,928) | (10,645) |
Net book value 31 December 2024(a) | 3,387 | 6,872 | 10,259 |
Includes capital expenditures for assets under construction | 234 | 1,368 | 1,602 |
Movements during 2025 | \u20ac\u00a0million Land\u00a0and buildings | \u20ac\u00a0million Plant and equipment | \u20ac\u00a0million Total |
Cost | |||
1 January 2025 | 2,706 | 587 | 3,293 |
Additions through business combinations | 18 | \u2013 | 18 |
Additions | 333 | 130 | 463 |
Disposals and other movements | (316) | (79) | (395) |
Hyperinflationary adjustment | 8 | \u2013 | 8 |
Distributed through demerger | (310) | (47) | (357) |
Reclassification as held for sale | (11) | (35) | (46) |
Currency retranslation | (194) | (59) | (253) |
31 December 2025 | 2,234 | 497 | 2,731 |
Accumulated depreciation | |||
1 January 2025 | (1,592) | (291) | (1,883) |
Depreciation/Impairment charge for the year | (258) | (109) | (367) |
Disposals and other movements | 238 | 66 | 304 |
Distributed through demerger | 211 | 29 | 240 |
Reclassification as held for sale | 1 | 6 | 7 |
Currency retranslation | 108 | 26 | 134 |
31 December 2025 | (1,292) | (273) | (1,565) |
Net book value 31 December 2025 | 942 | 224 | 1,166 |
Movements during 2024 | \u20ac million Land\u00a0and buildings | \u20ac million Plant and equipment | \u20ac million Total |
Cost | |||
1 January 2024 | 2,625 | 583 | 3,208 |
Additions | 404 | 143 | 547 |
Disposals and other movements | (373) | (149) | (522) |
Hyperinflationary adjustment | (4) | \u2013 | (4) |
Reclassification as held for sale | (2) | (1) | (3) |
Currency retranslation | 56 | 11 | 67 |
31 December 2024 | 2,706 | 587 | 3,293 |
Accumulated depreciation | |||
1 January 2024 | (1,578) | (300) | (1,878) |
Depreciation/Impairment charge for the year | (271) | (106) | (377) |
Disposals and other movements | 292 | 120 | 412 |
Reclassification as held for sale | \u2013 | 1 | 1 |
Currency retranslation | (35) | (6) | (41) |
31 December 2024 | (1,592) | (291) | (1,883) |
Net book value 31 December 2024 | 1,114 | 296 | 1,410 |
The Group\u2019s property, plant and equipment is comprised of owned assets (note 10A) and leased assets (note 10B). Property, plant and equipment is measured at cost including eligible borrowing costs less depreciation and accumulated impairment losses. Property, plant and equipment is subject to review for impairment if triggering events or circumstances indicate that this is necessary. If an indication of impairment exists, the asset\u2019s or cash-generating unit\u2019s recoverable amount is estimated and any impairment loss is charged\u00a0to the income statement as it arises. | ||||
Owned assets Owned assets are initially measured at historical cost. Depreciation is provided on a straight-line basis over the expected average useful lives of\u00a0the assets. Residual values and useful lives are reviewed at least annually. The review of residual values and useful lives has taken into consideration the impacts of climate change and the actions we undertake to mitigate and adapt against these climate-related risks. There is no material impact on the income statement for this year. Estimated useful lives by major class of assets are as follows: | ||||
\u25a0 freehold buildings (no depreciation on freehold land) | 40 years | |||
\u25a0 leasehold land and buildings | 40 years (or life of lease if less) | |||
\u25a0 plant and equipment | 2-20 years | |||
Leased assets The cost of a leased asset is measured as the lease liability at inception of the lease contract and other direct costs less any incentives granted by the\u00a0lessor. The Group has not capitalised leases which are less than 12 months or leases of low-value assets. These mainly relate to IT equipment, office\u00a0equipment, furniture and fitting and other peripheral items. When a lease liability is remeasured, the related lease asset is adjusted by the same\u00a0amount. Depreciation is provided on a straight-line basis from the commencement date of the lease to the end of the lease term. |
Property, plant and equipment | Notes | \u20ac million 2025 | \u20ac million 2024 |
Owned assets | 10A | 7,826 | 10,259 |
Leased assets | 10B | 1,166 | 1,410 |
Total | 8,992 | 11,669 |
Movements during 2025 | \u20ac\u00a0million Land and buildings | \u20ac\u00a0million Plant and equipment | \u20ac\u00a0million Total |
Cost | |||
1 January 2025 | 5,104 | 15,800 | 20,904 |
Additions through business combinations | \u2013 | 15 | 15 |
Additions | 345 | 1,356 | 1,701 |
Disposals and other movements | (134) | (412) | (546) |
Hyperinflationary adjustment | (59) | (122) | (181) |
Distributed through demerger | (1,035) | (4,006) | (5,041) |
Reclassification as held for sale | (10) | (113) | (123) |
Currency retranslation | (327) | (1,033) | (1,360) |
31 December 2025 | 3,884 | 11,485 | 15,369 |
Accumulated depreciation | |||
1 January 2025 | (1,717) | (8,928) | (10,645) |
Depreciation charge for the year | (125) | (872) | (997) |
Disposals and other movements | 25 | 348 | 373 |
Hyperinflationary adjustment | 13 | 118 | 131 |
Distributed through demerger | 426 | 2,498 | 2,924 |
Reclassification as held for sale | 2 | 43 | 45 |
Currency retranslation | 99 | 527 | 626 |
31 December 2025 | (1,277) | (6,266) | (7,543) |
Net book value 31 December 2025(a) | 2,607 | 5,219 | 7,826 |
Includes capital expenditures for assets under construction | 262 | 1,399 | 1,661 |
Movements during 2024 | \u20ac million Land\u00a0and buildings | \u20ac million Plant and equipment | \u20ac million Total |
Cost | |||
1 January 2024 | 4,671 | 14,957 | 19,628 |
Additions through business combinations | \u2013 | 1 | 1 |
Additions | 319 | 1,421 | 1,740 |
Disposals and other movements | (116) | (1,073) | (1,189) |
Hyperinflationary adjustment | 223 | 441 | 664 |
Reclassification as held for sale | (27) | (69) | (96) |
Currency retranslation | 34 | 122 | 156 |
31 December 2024 | 5,104 | 15,800 | 20,904 |
Accumulated depreciation | |||
1 January 2024 | (1,599) | (8,652) | (10,251) |
Depreciation charge for the year | (119) | (886) | (1,005) |
Disposals and other movements | 45 | 893 | 938 |
Hyperinflationary adjustment | (33) | (246) | (279) |
Reclassification as held for sale | 15 | 50 | 65 |
Currency retranslation | (26) | (87) | (113) |
31 December 2024 | (1,717) | (8,928) | (10,645) |
Net book value 31 December 2024(a) | 3,387 | 6,872 | 10,259 |
Includes capital expenditures for assets under construction | 234 | 1,368 | 1,602 |
Movements during 2025 | \u20ac\u00a0million Land\u00a0and buildings | \u20ac\u00a0million Plant and equipment | \u20ac\u00a0million Total |
Cost | |||
1 January 2025 | 2,706 | 587 | 3,293 |
Additions through business combinations | 18 | \u2013 | 18 |
Additions | 333 | 130 | 463 |
Disposals and other movements | (316) | (79) | (395) |
Hyperinflationary adjustment | 8 | \u2013 | 8 |
Distributed through demerger | (310) | (47) | (357) |
Reclassification as held for sale | (11) | (35) | (46) |
Currency retranslation | (194) | (59) | (253) |
31 December 2025 | 2,234 | 497 | 2,731 |
Accumulated depreciation | |||
1 January 2025 | (1,592) | (291) | (1,883) |
Depreciation/Impairment charge for the year | (258) | (109) | (367) |
Disposals and other movements | 238 | 66 | 304 |
Distributed through demerger | 211 | 29 | 240 |
Reclassification as held for sale | 1 | 6 | 7 |
Currency retranslation | 108 | 26 | 134 |
31 December 2025 | (1,292) | (273) | (1,565) |
Net book value 31 December 2025 | 942 | 224 | 1,166 |
Movements during 2024 | \u20ac million Land\u00a0and buildings | \u20ac million Plant and equipment | \u20ac million Total |
Cost | |||
1 January 2024 | 2,625 | 583 | 3,208 |
Additions | 404 | 143 | 547 |
Disposals and other movements | (373) | (149) | (522) |
Hyperinflationary adjustment | (4) | \u2013 | (4) |
Reclassification as held for sale | (2) | (1) | (3) |
Currency retranslation | 56 | 11 | 67 |
31 December 2024 | 2,706 | 587 | 3,293 |
Accumulated depreciation | |||
1 January 2024 | (1,578) | (300) | (1,878) |
Depreciation/Impairment charge for the year | (271) | (106) | (377) |
Disposals and other movements | 292 | 120 | 412 |
Reclassification as held for sale | \u2013 | 1 | 1 |
Currency retranslation | (35) | (6) | (41) |
31 December 2024 | (1,592) | (291) | (1,883) |
Net book value 31 December 2024 | 1,114 | 296 | 1,410 |
The Group\u2019s property, plant and equipment is comprised of owned assets (note 10A) and leased assets (note 10B). Property, plant and equipment is measured at cost including eligible borrowing costs less depreciation and accumulated impairment losses. Property, plant and equipment is subject to review for impairment if triggering events or circumstances indicate that this is necessary. If an indication of impairment exists, the asset\u2019s or cash-generating unit\u2019s recoverable amount is estimated and any impairment loss is charged\u00a0to the income statement as it arises. | ||||
Owned assets Owned assets are initially measured at historical cost. Depreciation is provided on a straight-line basis over the expected average useful lives of\u00a0the assets. Residual values and useful lives are reviewed at least annually. The review of residual values and useful lives has taken into consideration the impacts of climate change and the actions we undertake to mitigate and adapt against these climate-related risks. There is no material impact on the income statement for this year. Estimated useful lives by major class of assets are as follows: | ||||
\u25a0 freehold buildings (no depreciation on freehold land) | 40 years | |||
\u25a0 leasehold land and buildings | 40 years (or life of lease if less) | |||
\u25a0 plant and equipment | 2-20 years | |||
Leased assets The cost of a leased asset is measured as the lease liability at inception of the lease contract and other direct costs less any incentives granted by the\u00a0lessor. The Group has not capitalised leases which are less than 12 months or leases of low-value assets. These mainly relate to IT equipment, office\u00a0equipment, furniture and fitting and other peripheral items. When a lease liability is remeasured, the related lease asset is adjusted by the same\u00a0amount. Depreciation is provided on a straight-line basis from the commencement date of the lease to the end of the lease term. |
Ordinary shares Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of ordinary shares are recognised as a deduction from equity, net of any tax effects. | ||||
Unification reserve The Group recognised a separate Unification Reserve within Equity as a result of PLC Share Premium that arose from Unification. | ||||
Other reserves Other reserves include the fair value reserve, the foreign currency translation reserve, the capital redemption reserve and treasury shares. | ||||
Shares held by employee share trusts and group companies An employee share trust and group companies purchase and hold shares to satisfy performance shares granted and other share awards (see note 4C). The assets and liabilities of the trust and shares held by the trust and group companies are included in the consolidated financial statements. The book value of shares held is deducted from other reserves, and the trust\u2019s borrowings are included in the Group\u2019s liabilities. The costs of the trust are included in the results of the Group. The shares held by the trust and group companies are excluded from the calculation of earnings per share. | ||||
Financial liabilities Financial liabilities are initially recognised at fair value, less any directly related transaction costs. When bonds are designated as being part of\u00a0a\u00a0fair value hedge relationship, in those cases bonds are carried at amortised cost, adjusted for the fair value of the risk being hedged, with changes in value shown in the income statement. Put options are initially recognised at the present value of the expected gross obligation, with changes in value being recognised in the income statement. Other financial liabilities, which includes put options, are subsequently carried at amortised cost, with the exception of: \u25a0 financial liabilities which the Group has elected to measure at fair value through profit or loss; \u25a0 contingent consideration recognised by an acquirer in a business combination to which IFRS 3 applies. Such contingent consideration is subsequently measured at fair value through profit or loss. | ||||
Lease liabilities Lease liabilities are initially measured at the present value of the lease payments that are not yet paid at the start of the lease term. This is discounted using an appropriate borrowing rate determined by the Group, where none is readily available in the lease contract. The lease liability is subsequently reduced by cash payments and increased by interest costs. The lease liability is remeasured when the Group assesses that there will be a change in the amount expected to be paid during the lease term. |
The Group\u2019s property, plant and equipment is comprised of owned assets (note 10A) and leased assets (note 10B). Property, plant and equipment is measured at cost including eligible borrowing costs less depreciation and accumulated impairment losses. Property, plant and equipment is subject to review for impairment if triggering events or circumstances indicate that this is necessary. If an indication of impairment exists, the asset\u2019s or cash-generating unit\u2019s recoverable amount is estimated and any impairment loss is charged\u00a0to the income statement as it arises. | ||||
Owned assets Owned assets are initially measured at historical cost. Depreciation is provided on a straight-line basis over the expected average useful lives of\u00a0the assets. Residual values and useful lives are reviewed at least annually. The review of residual values and useful lives has taken into consideration the impacts of climate change and the actions we undertake to mitigate and adapt against these climate-related risks. There is no material impact on the income statement for this year. Estimated useful lives by major class of assets are as follows: | ||||
\u25a0 freehold buildings (no depreciation on freehold land) | 40 years | |||
\u25a0 leasehold land and buildings | 40 years (or life of lease if less) | |||
\u25a0 plant and equipment | 2-20 years | |||
Leased assets The cost of a leased asset is measured as the lease liability at inception of the lease contract and other direct costs less any incentives granted by the\u00a0lessor. The Group has not capitalised leases which are less than 12 months or leases of low-value assets. These mainly relate to IT equipment, office\u00a0equipment, furniture and fitting and other peripheral items. When a lease liability is remeasured, the related lease asset is adjusted by the same\u00a0amount. Depreciation is provided on a straight-line basis from the commencement date of the lease to the end of the lease term. |
Movements during 2025 | \u20ac\u00a0million Land\u00a0and buildings | \u20ac\u00a0million Plant and equipment | \u20ac\u00a0million Total |
Cost | |||
1 January 2025 | 2,706 | 587 | 3,293 |
Additions through business combinations | 18 | \u2013 | 18 |
Additions | 333 | 130 | 463 |
Disposals and other movements | (316) | (79) | (395) |
Hyperinflationary adjustment | 8 | \u2013 | 8 |
Distributed through demerger | (310) | (47) | (357) |
Reclassification as held for sale | (11) | (35) | (46) |
Currency retranslation | (194) | (59) | (253) |
31 December 2025 | 2,234 | 497 | 2,731 |
Accumulated depreciation | |||
1 January 2025 | (1,592) | (291) | (1,883) |
Depreciation/Impairment charge for the year | (258) | (109) | (367) |
Disposals and other movements | 238 | 66 | 304 |
Distributed through demerger | 211 | 29 | 240 |
Reclassification as held for sale | 1 | 6 | 7 |
Currency retranslation | 108 | 26 | 134 |
31 December 2025 | (1,292) | (273) | (1,565) |
Net book value 31 December 2025 | 942 | 224 | 1,166 |
Movements during 2024 | \u20ac million Land\u00a0and buildings | \u20ac million Plant and equipment | \u20ac million Total |
Cost | |||
1 January 2024 | 2,625 | 583 | 3,208 |
Additions | 404 | 143 | 547 |
Disposals and other movements | (373) | (149) | (522) |
Hyperinflationary adjustment | (4) | \u2013 | (4) |
Reclassification as held for sale | (2) | (1) | (3) |
Currency retranslation | 56 | 11 | 67 |
31 December 2024 | 2,706 | 587 | 3,293 |
Accumulated depreciation | |||
1 January 2024 | (1,578) | (300) | (1,878) |
Depreciation/Impairment charge for the year | (271) | (106) | (377) |
Disposals and other movements | 292 | 120 | 412 |
Reclassification as held for sale | \u2013 | 1 | 1 |
Currency retranslation | (35) | (6) | (41) |
31 December 2024 | (1,592) | (291) | (1,883) |
Net book value 31 December 2024 | 1,114 | 296 | 1,410 |
Joint ventures are undertakings in which the Group has an interest and which are jointly controlled by the Group and one or more other parties. Associates are undertakings where the Group has an investment in which it does not have control or joint control but can exercise significant\u00a0influence. Interests in joint ventures and associates are accounted for using the equity method and are stated in the consolidated balance sheet at cost, adjusted for the movement in the Group\u2019s share of their net assets and liabilities. The Group\u2019s share of the profit or loss after tax of joint ventures and associates is included in the Group\u2019s consolidated profit before taxation. Where the Group\u2019s share of losses exceeds its interest in the equity-accounted investee, the carrying amount of the investment is reduced to zero and the recognition of further losses is discontinued, except to the extent that the Group has an obligation to make payments on behalf of the\u00a0investee. | ||||
\u20ac million 2025 | \u20ac million 2024 | |
Interest in net assets of joint ventures | 94 | 80 |
Interest in net assets of associates | 15 | 14 |
Long-term trade and other receivables(a) | 302 | 344 |
Other non-current assets(b) | 565 | 533 |
976 | 971 |
Movements during 2025 and 2024 | \u20ac million 2025 | \u20ac million 2024 |
Joint ventures (a) | ||
1 January | 80 | 70 |
Additions | 1 | \u2014 |
Dividends received/reductions | (229) | (245) |
Share of net profit/(loss) | 245 | 255 |
Currency retranslation | (3) | \u2014 |
31 December | 94 | 80 |
Associates | ||
1 January | 14 | 24 |
Additions | \u2013 | 0 |
Dividend received/reductions | \u2014 | (2) |
Share of net profit/(loss) | \u2013 | \u2014 |
Currency retranslation | 1 | (8) |
31 December | 15 | 14 |
Related party balances | \u20ac million Total 2025 | \u20ac million Total 2024 |
Sales to joint ventures | 1,018 | 1,168 |
Purchases from joint ventures | 128 | 110 |
Receivables from joint ventures | 90 | 112 |
Payables to joint ventures | 149 | 111 |
Loans to joint ventures | 205 | 227 |
Royalties and service fees | 23 | 9 |
Joint ventures are undertakings in which the Group has an interest and which are jointly controlled by the Group and one or more other parties. Associates are undertakings where the Group has an investment in which it does not have control or joint control but can exercise significant\u00a0influence. Interests in joint ventures and associates are accounted for using the equity method and are stated in the consolidated balance sheet at cost, adjusted for the movement in the Group\u2019s share of their net assets and liabilities. The Group\u2019s share of the profit or loss after tax of joint ventures and associates is included in the Group\u2019s consolidated profit before taxation. Where the Group\u2019s share of losses exceeds its interest in the equity-accounted investee, the carrying amount of the investment is reduced to zero and the recognition of further losses is discontinued, except to the extent that the Group has an obligation to make payments on behalf of the\u00a0investee. | ||||
\u20ac million 2025 | \u20ac million 2024 | |
Interest in net assets of joint ventures | 94 | 80 |
Interest in net assets of associates | 15 | 14 |
Long-term trade and other receivables(a) | 302 | 344 |
Other non-current assets(b) | 565 | 533 |
976 | 971 |
Movements during 2025 and 2024 | \u20ac million 2025 | \u20ac million 2024 |
Joint ventures (a) | ||
1 January | 80 | 70 |
Additions | 1 | \u2014 |
Dividends received/reductions | (229) | (245) |
Share of net profit/(loss) | 245 | 255 |
Currency retranslation | (3) | \u2014 |
31 December | 94 | 80 |
Associates | ||
1 January | 14 | 24 |
Additions | \u2013 | 0 |
Dividend received/reductions | \u2014 | (2) |
Share of net profit/(loss) | \u2013 | \u2014 |
Currency retranslation | 1 | (8) |
31 December | 15 | 14 |
Related party balances | \u20ac million Total 2025 | \u20ac million Total 2024 |
Sales to joint ventures | 1,018 | 1,168 |
Purchases from joint ventures | 128 | 110 |
Receivables from joint ventures | 90 | 112 |
Payables to joint ventures | 149 | 111 |
Loans to joint ventures | 205 | 227 |
Royalties and service fees | 23 | 9 |
Joint ventures are undertakings in which the Group has an interest and which are jointly controlled by the Group and one or more other parties. Associates are undertakings where the Group has an investment in which it does not have control or joint control but can exercise significant\u00a0influence. Interests in joint ventures and associates are accounted for using the equity method and are stated in the consolidated balance sheet at cost, adjusted for the movement in the Group\u2019s share of their net assets and liabilities. The Group\u2019s share of the profit or loss after tax of joint ventures and associates is included in the Group\u2019s consolidated profit before taxation. Where the Group\u2019s share of losses exceeds its interest in the equity-accounted investee, the carrying amount of the investment is reduced to zero and the recognition of further losses is discontinued, except to the extent that the Group has an obligation to make payments on behalf of the\u00a0investee. | ||||
\u20ac million 2025 | \u20ac million 2024 | |
Interest in net assets of joint ventures | 94 | 80 |
Interest in net assets of associates | 15 | 14 |
Long-term trade and other receivables(a) | 302 | 344 |
Other non-current assets(b) | 565 | 533 |
976 | 971 |
Movements during 2025 and 2024 | \u20ac million 2025 | \u20ac million 2024 |
Joint ventures (a) | ||
1 January | 80 | 70 |
Additions | 1 | \u2014 |
Dividends received/reductions | (229) | (245) |
Share of net profit/(loss) | 245 | 255 |
Currency retranslation | (3) | \u2014 |
31 December | 94 | 80 |
Associates | ||
1 January | 14 | 24 |
Additions | \u2013 | 0 |
Dividend received/reductions | \u2014 | (2) |
Share of net profit/(loss) | \u2013 | \u2014 |
Currency retranslation | 1 | (8) |
31 December | 15 | 14 |
Joint ventures are undertakings in which the Group has an interest and which are jointly controlled by the Group and one or more other parties. Associates are undertakings where the Group has an investment in which it does not have control or joint control but can exercise significant\u00a0influence. Interests in joint ventures and associates are accounted for using the equity method and are stated in the consolidated balance sheet at cost, adjusted for the movement in the Group\u2019s share of their net assets and liabilities. The Group\u2019s share of the profit or loss after tax of joint ventures and associates is included in the Group\u2019s consolidated profit before taxation. Where the Group\u2019s share of losses exceeds its interest in the equity-accounted investee, the carrying amount of the investment is reduced to zero and the recognition of further losses is discontinued, except to the extent that the Group has an obligation to make payments on behalf of the\u00a0investee. | ||||
\u20ac million 2025 | \u20ac million 2024 | |
Interest in net assets of joint ventures | 94 | 80 |
Interest in net assets of associates | 15 | 14 |
Long-term trade and other receivables(a) | 302 | 344 |
Other non-current assets(b) | 565 | 533 |
976 | 971 |
Movements during 2025 and 2024 | \u20ac million 2025 | \u20ac million 2024 |
Joint ventures (a) | ||
1 January | 80 | 70 |
Additions | 1 | \u2014 |
Dividends received/reductions | (229) | (245) |
Share of net profit/(loss) | 245 | 255 |
Currency retranslation | (3) | \u2014 |
31 December | 94 | 80 |
Associates | ||
1 January | 14 | 24 |
Additions | \u2013 | 0 |
Dividend received/reductions | \u2014 | (2) |
Share of net profit/(loss) | \u2013 | \u2014 |
Currency retranslation | 1 | (8) |
31 December | 15 | 14 |
Related party balances | \u20ac million Total 2025 | \u20ac million Total 2024 |
Sales to joint ventures | 1,018 | 1,168 |
Purchases from joint ventures | 128 | 110 |
Receivables from joint ventures | 90 | 112 |
Payables to joint ventures | 149 | 111 |
Loans to joint ventures | 205 | 227 |
Royalties and service fees | 23 | 9 |
Country | Name of company | Shareholding |
Argentina | Unilever de Argentina S.A. | 100% |
Australia | Unilever Australia Limited | 100% |
Brazil | Unilever Brasil Ltda. | 100% |
Canada | Unilever Canada, Inc. | 100% |
China | Unilever Services (Hefei) Co. Ltd | 100% |
England and Wales | Unilever Global IP Ltd | 100% |
England and Wales | Unilever U.K. Central Resources Limited | 100% |
England and Wales | Unilever UK & CN Holdings Limited | 100% |
England and Wales | Unilever U.K. Holdings Limited | 100% |
England and Wales | Unilever UK Limited | 100% |
France | Unilever France S.A.S. | 100% |
Germany | Unilever Deutschland GmbH | 100% |
Germany | Unilever Deutschland Holding GmbH | 100% |
India | Hindustan Unilever Limited | 62% |
Indonesia | PT Unilever Indonesia Tbk | 85% |
Italy | Unilever Italia Mkt Operations S.R.L. | 100% |
Mexico | Unilever de Mexico, S. de R.l. de C.V. | 100% |
Mexico | Unilever Manufacturera S. de R.L. de C.V. | 100% |
Netherlands | Unilever Europe B.V. | 100% |
Netherlands | Unilever Nederland B.V. | 100% |
Netherlands | Mixhold B.V. | 100% |
Netherlands | Unilever Finance Netherlands B.V. | 100% |
Netherlands | Unilever International Holdings B.V. | 100% |
Netherlands | Unilever IP Holdings B.V. | 100% |
Netherlands | UNUS Holding B.V. | 100% |
Pakistan | Unilever Pakistan Limited | 99% |
Philippines | Unilever Philippines, Inc. | 100% |
Singapore | Unilever Asia Private Limited | 100% |
South Africa | Unilever South Africa (Pty) Limited | 100% |
Switzerland | Unilever Finance International AG | 100% |
Thailand | Unilever Thai Trading Limited | 100% |
Turkey | Unilever Sanayi ve Ticaret Turk A.S. | 100% |
United States of America | Conopco, Inc. | 100% |
United States of America | Nutraceutical Wellness, Inc. | 100% |
United States of America | Paula's Choice, Inc. | 100% |
United States of America | The LIV Group, Inc. | 100% |
United States of America | Unilever Capital Corporation | 100% |
United States of America | Unilever North America Supply Chain Company LLC | 100% |
United States of America | Unilever United States, Inc. | 100% |
Vietnam | Unilever Vietnam International Company Limited | 100% |
Joint ventures are undertakings in which the Group has an interest and which are jointly controlled by the Group and one or more other parties. Associates are undertakings where the Group has an investment in which it does not have control or joint control but can exercise significant\u00a0influence. Interests in joint ventures and associates are accounted for using the equity method and are stated in the consolidated balance sheet at cost, adjusted for the movement in the Group\u2019s share of their net assets and liabilities. The Group\u2019s share of the profit or loss after tax of joint ventures and associates is included in the Group\u2019s consolidated profit before taxation. Where the Group\u2019s share of losses exceeds its interest in the equity-accounted investee, the carrying amount of the investment is reduced to zero and the recognition of further losses is discontinued, except to the extent that the Group has an obligation to make payments on behalf of the\u00a0investee. | ||||
\u20ac million 2025 | \u20ac million 2024 | |
Interest in net assets of joint ventures | 94 | 80 |
Interest in net assets of associates | 15 | 14 |
Long-term trade and other receivables(a) | 302 | 344 |
Other non-current assets(b) | 565 | 533 |
976 | 971 |
Movements during 2025 and 2024 | \u20ac million 2025 | \u20ac million 2024 |
Joint ventures (a) | ||
1 January | 80 | 70 |
Additions | 1 | \u2014 |
Dividends received/reductions | (229) | (245) |
Share of net profit/(loss) | 245 | 255 |
Currency retranslation | (3) | \u2014 |
31 December | 94 | 80 |
Associates | ||
1 January | 14 | 24 |
Additions | \u2013 | 0 |
Dividend received/reductions | \u2014 | (2) |
Share of net profit/(loss) | \u2013 | \u2014 |
Currency retranslation | 1 | (8) |
31 December | 15 | 14 |
Joint ventures are undertakings in which the Group has an interest and which are jointly controlled by the Group and one or more other parties. Associates are undertakings where the Group has an investment in which it does not have control or joint control but can exercise significant\u00a0influence. Interests in joint ventures and associates are accounted for using the equity method and are stated in the consolidated balance sheet at cost, adjusted for the movement in the Group\u2019s share of their net assets and liabilities. The Group\u2019s share of the profit or loss after tax of joint ventures and associates is included in the Group\u2019s consolidated profit before taxation. Where the Group\u2019s share of losses exceeds its interest in the equity-accounted investee, the carrying amount of the investment is reduced to zero and the recognition of further losses is discontinued, except to the extent that the Group has an obligation to make payments on behalf of the\u00a0investee. | ||||
\u20ac million 2025 | \u20ac million 2024 | |
Interest in net assets of joint ventures | 94 | 80 |
Interest in net assets of associates | 15 | 14 |
Long-term trade and other receivables(a) | 302 | 344 |
Other non-current assets(b) | 565 | 533 |
976 | 971 |
Movements during 2025 and 2024 | \u20ac million 2025 | \u20ac million 2024 |
Joint ventures (a) | ||
1 January | 80 | 70 |
Additions | 1 | \u2014 |
Dividends received/reductions | (229) | (245) |
Share of net profit/(loss) | 245 | 255 |
Currency retranslation | (3) | \u2014 |
31 December | 94 | 80 |
Associates | ||
1 January | 14 | 24 |
Additions | \u2013 | 0 |
Dividend received/reductions | \u2014 | (2) |
Share of net profit/(loss) | \u2013 | \u2014 |
Currency retranslation | 1 | (8) |
31 December | 15 | 14 |
Joint ventures are undertakings in which the Group has an interest and which are jointly controlled by the Group and one or more other parties. Associates are undertakings where the Group has an investment in which it does not have control or joint control but can exercise significant\u00a0influence. Interests in joint ventures and associates are accounted for using the equity method and are stated in the consolidated balance sheet at cost, adjusted for the movement in the Group\u2019s share of their net assets and liabilities. The Group\u2019s share of the profit or loss after tax of joint ventures and associates is included in the Group\u2019s consolidated profit before taxation. Where the Group\u2019s share of losses exceeds its interest in the equity-accounted investee, the carrying amount of the investment is reduced to zero and the recognition of further losses is discontinued, except to the extent that the Group has an obligation to make payments on behalf of the\u00a0investee. | ||||
Joint ventures are undertakings in which the Group has an interest and which are jointly controlled by the Group and one or more other parties. Associates are undertakings where the Group has an investment in which it does not have control or joint control but can exercise significant\u00a0influence. Interests in joint ventures and associates are accounted for using the equity method and are stated in the consolidated balance sheet at cost, adjusted for the movement in the Group\u2019s share of their net assets and liabilities. The Group\u2019s share of the profit or loss after tax of joint ventures and associates is included in the Group\u2019s consolidated profit before taxation. Where the Group\u2019s share of losses exceeds its interest in the equity-accounted investee, the carrying amount of the investment is reduced to zero and the recognition of further losses is discontinued, except to the extent that the Group has an obligation to make payments on behalf of the\u00a0investee. | ||||
Joint ventures are undertakings in which the Group has an interest and which are jointly controlled by the Group and one or more other parties. Associates are undertakings where the Group has an investment in which it does not have control or joint control but can exercise significant\u00a0influence. Interests in joint ventures and associates are accounted for using the equity method and are stated in the consolidated balance sheet at cost, adjusted for the movement in the Group\u2019s share of their net assets and liabilities. The Group\u2019s share of the profit or loss after tax of joint ventures and associates is included in the Group\u2019s consolidated profit before taxation. Where the Group\u2019s share of losses exceeds its interest in the equity-accounted investee, the carrying amount of the investment is reduced to zero and the recognition of further losses is discontinued, except to the extent that the Group has an obligation to make payments on behalf of the\u00a0investee. | ||||
Inventories are valued at the lower of weighted average cost and net realisable value. Cost comprises direct costs and, where appropriate, a proportion of attributable production overheads. Net realisable value is the estimated selling price less the estimated costs necessary to make the sale. |
Inventories | \u20ac million 2025 | \u20ac million 2024 |
Raw materials and consumables | 1,567 | 1,912 |
Finished goods and goods for resale | 2,688 | 3,569 |
Total inventories | 4,255 | 5,481 |
Provision for inventories | (212) | (304) |
4,043 | 5,177 |
Provision for inventories | \u20ac million 2025 | \u20ac million 2024 |
1 January | 304 | 358 |
Charge to income statement | 4 | 9 |
Reduction/releases | (31) | (56) |
Currency translations | (29) | (1) |
Disposal & Distribution(a) | (42) | (11) |
Others (b) | 6 | 5 |
31 December | 212 | 304 |
Inventories are valued at the lower of weighted average cost and net realisable value. Cost comprises direct costs and, where appropriate, a proportion of attributable production overheads. Net realisable value is the estimated selling price less the estimated costs necessary to make the sale. |
Trade and other current receivables are initially recognised at fair value plus any directly attributable transaction costs. Subsequently, except for derivatives (see note 16 on page 166), these assets are held at amortised cost, using the effective interest method and net of any impairment losses. Discounts payable to customers are shown as a reduction in trade receivables when there is a legal right and intent to settle them on a net basis. |
Trade and other current receivables | \u20ac million 2025 | \u20ac million 2024 |
Due within one year | ||
Trade receivables | 4,852 | 4,227 |
Prepayments and accrued income | 1,369 | 506 |
Other receivables | 1,125 | 1,278 |
7,346 | 6,011 |
Ageing of trade receivables | \u20ac million 2025 | \u20ac million 2024 |
Not overdue | 4,440 | 3,807 |
Past due less than three months | 340 | 382 |
Past due more than three months but less than six months | 63 | 47 |
Past due more than six months but less than one year | 43 | 28 |
Past due more than one year | 131 | 142 |
Total trade receivables | 5,017 | 4,406 |
Impairment provision for trade receivables | (165) | (179) |
4,852 | 4,227 |
Impairment provision for total trade and other receivables | \u20ac million 2025 | \u20ac million 2024 |
1 January | 206 | 222 |
Charge to income statement | 27 | 37 |
Reduction/releases | (24) | (46) |
Distributed through demerger | (5) | (7) |
Currency translations | (14) | \u2014 |
31 December | 190 | 206 |
Trade and other current receivables are initially recognised at fair value plus any directly attributable transaction costs. Subsequently, except for derivatives (see note 16 on page 166), these assets are held at amortised cost, using the effective interest method and net of any impairment losses. Discounts payable to customers are shown as a reduction in trade receivables when there is a legal right and intent to settle them on a net basis. |
Trade and other current receivables | \u20ac million 2025 | \u20ac million 2024 |
Due within one year | ||
Trade receivables | 4,852 | 4,227 |
Prepayments and accrued income | 1,369 | 506 |
Other receivables | 1,125 | 1,278 |
7,346 | 6,011 |
Ageing of trade receivables | \u20ac million 2025 | \u20ac million 2024 |
Not overdue | 4,440 | 3,807 |
Past due less than three months | 340 | 382 |
Past due more than three months but less than six months | 63 | 47 |
Past due more than six months but less than one year | 43 | 28 |
Past due more than one year | 131 | 142 |
Total trade receivables | 5,017 | 4,406 |
Impairment provision for trade receivables | (165) | (179) |
4,852 | 4,227 |
Impairment provision for total trade and other receivables | \u20ac million 2025 | \u20ac million 2024 |
1 January | 206 | 222 |
Charge to income statement | 27 | 37 |
Reduction/releases | (24) | (46) |
Distributed through demerger | (5) | (7) |
Currency translations | (14) | \u2014 |
31 December | 190 | 206 |
Trade and other current receivables are initially recognised at fair value plus any directly attributable transaction costs. Subsequently, except for derivatives (see note 16 on page 166), these assets are held at amortised cost, using the effective interest method and net of any impairment losses. Discounts payable to customers are shown as a reduction in trade receivables when there is a legal right and intent to settle them on a net basis. |
Trade payables Trade payables are initially recognised at fair value less any directly attributable transaction costs. Trade payables are subsequently measured at amortised cost, using the effective interest method. Other liabilities Other liabilities are initially recognised at fair value less any directly attributable transaction costs. Subsequent measurement depends on the type of\u00a0liability: \u25a0 accruals are subsequently measured at amortised cost, using the effective interest method; \u25a0 social security and sundry taxes are subsequently measured at amortised cost, using the effective interest method; \u25a0 deferred consideration is subsequently measured at fair value with changes in the income statement as explained below; and \u25a0 others are subsequently measured either at amortised cost, using the effective interest method or at fair value, with changes being recognised in\u00a0the income statement. | ||||
Deferred consideration Deferred consideration represents any payments to the sellers of a business that occur after the acquisition date. These typically comprise contingent consideration and fixed deferred consideration: \u25a0 fixed deferred consideration is a payment with a due date after acquisition that is not dependent on future conditions; and \u25a0 contingent consideration is a payment which is dependent on certain conditions being met in the future and is often variable. All deferred consideration is initially recognised at fair value as at the acquisition date, which includes a present value discount. Subsequently, deferred consideration is measured to reflect the unwinding of discount on the liability, with changes recognised in finance cost within the income statement. In the balance sheet, it is remeasured to reflect the latest estimate of the achievement of the conditions on which the consideration is based; changes in value other than the discount unwind are recognised as acquisition and disposal-related costs in the income statement. |
Trade payables and other liabilities | \u20ac million 2025 | \u20ac million 2024 |
Current: due within one year | ||
Trade payables | 10,994 | 10,258 |
Accruals | 4,649 | 5,053 |
Social security and sundry taxes | 565 | 555 |
Deferred consideration | 26 | 16 |
Others | 705 | 808 |
16,939 | 16,690 | |
Non-current: due after more than one year | ||
Accruals | 74 | 148 |
Deferred consideration | 20 | 1 |
Others | 43 | 54 |
137 | 203 | |
Total trade payables and other liabilities | 17,076 | 16,893 |
2025 | 2024 | |
Carrying amount of trade payables (subject to supplier financing arrangements) | ||
Presented in trade and other payables (\u20ac million) | 2,665 | 2,207 |
of which suppliers have received payment from finance provider (\u20ac million) | 2,065 | 1,908 |
Range of payment due dates | ||
Liabilities that are part of the arrangements (a) (days) | 0-180 | 180 days |
Comparable trade payables that are not part of the arrangements (a) (days) | 0-180 | 180 days |
Trade payables Trade payables are initially recognised at fair value less any directly attributable transaction costs. Trade payables are subsequently measured at amortised cost, using the effective interest method. Other liabilities Other liabilities are initially recognised at fair value less any directly attributable transaction costs. Subsequent measurement depends on the type of\u00a0liability: \u25a0 accruals are subsequently measured at amortised cost, using the effective interest method; \u25a0 social security and sundry taxes are subsequently measured at amortised cost, using the effective interest method; \u25a0 deferred consideration is subsequently measured at fair value with changes in the income statement as explained below; and \u25a0 others are subsequently measured either at amortised cost, using the effective interest method or at fair value, with changes being recognised in\u00a0the income statement. | ||||
Deferred consideration Deferred consideration represents any payments to the sellers of a business that occur after the acquisition date. These typically comprise contingent consideration and fixed deferred consideration: \u25a0 fixed deferred consideration is a payment with a due date after acquisition that is not dependent on future conditions; and \u25a0 contingent consideration is a payment which is dependent on certain conditions being met in the future and is often variable. All deferred consideration is initially recognised at fair value as at the acquisition date, which includes a present value discount. Subsequently, deferred consideration is measured to reflect the unwinding of discount on the liability, with changes recognised in finance cost within the income statement. In the balance sheet, it is remeasured to reflect the latest estimate of the achievement of the conditions on which the consideration is based; changes in value other than the discount unwind are recognised as acquisition and disposal-related costs in the income statement. |
Trade payables and other liabilities | \u20ac million 2025 | \u20ac million 2024 |
Current: due within one year | ||
Trade payables | 10,994 | 10,258 |
Accruals | 4,649 | 5,053 |
Social security and sundry taxes | 565 | 555 |
Deferred consideration | 26 | 16 |
Others | 705 | 808 |
16,939 | 16,690 | |
Non-current: due after more than one year | ||
Accruals | 74 | 148 |
Deferred consideration | 20 | 1 |
Others | 43 | 54 |
137 | 203 | |
Total trade payables and other liabilities | 17,076 | 16,893 |
2025 | 2024 | |
Carrying amount of trade payables (subject to supplier financing arrangements) | ||
Presented in trade and other payables (\u20ac million) | 2,665 | 2,207 |
of which suppliers have received payment from finance provider (\u20ac million) | 2,065 | 1,908 |
Range of payment due dates | ||
Liabilities that are part of the arrangements (a) (days) | 0-180 | 180 days |
Comparable trade payables that are not part of the arrangements (a) (days) | 0-180 | 180 days |
Trade payables Trade payables are initially recognised at fair value less any directly attributable transaction costs. Trade payables are subsequently measured at amortised cost, using the effective interest method. Other liabilities Other liabilities are initially recognised at fair value less any directly attributable transaction costs. Subsequent measurement depends on the type of\u00a0liability: \u25a0 accruals are subsequently measured at amortised cost, using the effective interest method; \u25a0 social security and sundry taxes are subsequently measured at amortised cost, using the effective interest method; \u25a0 deferred consideration is subsequently measured at fair value with changes in the income statement as explained below; and \u25a0 others are subsequently measured either at amortised cost, using the effective interest method or at fair value, with changes being recognised in\u00a0the income statement. | ||||
Deferred consideration Deferred consideration represents any payments to the sellers of a business that occur after the acquisition date. These typically comprise contingent consideration and fixed deferred consideration: \u25a0 fixed deferred consideration is a payment with a due date after acquisition that is not dependent on future conditions; and \u25a0 contingent consideration is a payment which is dependent on certain conditions being met in the future and is often variable. All deferred consideration is initially recognised at fair value as at the acquisition date, which includes a present value discount. Subsequently, deferred consideration is measured to reflect the unwinding of discount on the liability, with changes recognised in finance cost within the income statement. In the balance sheet, it is remeasured to reflect the latest estimate of the achievement of the conditions on which the consideration is based; changes in value other than the discount unwind are recognised as acquisition and disposal-related costs in the income statement. |
Trade payables and other liabilities | \u20ac million 2025 | \u20ac million 2024 |
Current: due within one year | ||
Trade payables | 10,994 | 10,258 |
Accruals | 4,649 | 5,053 |
Social security and sundry taxes | 565 | 555 |
Deferred consideration | 26 | 16 |
Others | 705 | 808 |
16,939 | 16,690 | |
Non-current: due after more than one year | ||
Accruals | 74 | 148 |
Deferred consideration | 20 | 1 |
Others | 43 | 54 |
137 | 203 | |
Total trade payables and other liabilities | 17,076 | 16,893 |
2025 | 2024 | |
Carrying amount of trade payables (subject to supplier financing arrangements) | ||
Presented in trade and other payables (\u20ac million) | 2,665 | 2,207 |
of which suppliers have received payment from finance provider (\u20ac million) | 2,065 | 1,908 |
Range of payment due dates | ||
Liabilities that are part of the arrangements (a) (days) | 0-180 | 180 days |
Comparable trade payables that are not part of the arrangements (a) (days) | 0-180 | 180 days |
Trade payables Trade payables are initially recognised at fair value less any directly attributable transaction costs. Trade payables are subsequently measured at amortised cost, using the effective interest method. Other liabilities Other liabilities are initially recognised at fair value less any directly attributable transaction costs. Subsequent measurement depends on the type of\u00a0liability: \u25a0 accruals are subsequently measured at amortised cost, using the effective interest method; \u25a0 social security and sundry taxes are subsequently measured at amortised cost, using the effective interest method; \u25a0 deferred consideration is subsequently measured at fair value with changes in the income statement as explained below; and \u25a0 others are subsequently measured either at amortised cost, using the effective interest method or at fair value, with changes being recognised in\u00a0the income statement. | ||||
Deferred consideration Deferred consideration represents any payments to the sellers of a business that occur after the acquisition date. These typically comprise contingent consideration and fixed deferred consideration: \u25a0 fixed deferred consideration is a payment with a due date after acquisition that is not dependent on future conditions; and \u25a0 contingent consideration is a payment which is dependent on certain conditions being met in the future and is often variable. All deferred consideration is initially recognised at fair value as at the acquisition date, which includes a present value discount. Subsequently, deferred consideration is measured to reflect the unwinding of discount on the liability, with changes recognised in finance cost within the income statement. In the balance sheet, it is remeasured to reflect the latest estimate of the achievement of the conditions on which the consideration is based; changes in value other than the discount unwind are recognised as acquisition and disposal-related costs in the income statement. |
Trade payables and other liabilities | \u20ac million 2025 | \u20ac million 2024 |
Current: due within one year | ||
Trade payables | 10,994 | 10,258 |
Accruals | 4,649 | 5,053 |
Social security and sundry taxes | 565 | 555 |
Deferred consideration | 26 | 16 |
Others | 705 | 808 |
16,939 | 16,690 | |
Non-current: due after more than one year | ||
Accruals | 74 | 148 |
Deferred consideration | 20 | 1 |
Others | 43 | 54 |
137 | 203 | |
Total trade payables and other liabilities | 17,076 | 16,893 |
2025 | 2024 | |
Carrying amount of trade payables (subject to supplier financing arrangements) | ||
Presented in trade and other payables (\u20ac million) | 2,665 | 2,207 |
of which suppliers have received payment from finance provider (\u20ac million) | 2,065 | 1,908 |
Range of payment due dates | ||
Liabilities that are part of the arrangements (a) (days) | 0-180 | 180 days |
Comparable trade payables that are not part of the arrangements (a) (days) | 0-180 | 180 days |
Trade payables Trade payables are initially recognised at fair value less any directly attributable transaction costs. Trade payables are subsequently measured at amortised cost, using the effective interest method. Other liabilities Other liabilities are initially recognised at fair value less any directly attributable transaction costs. Subsequent measurement depends on the type of\u00a0liability: \u25a0 accruals are subsequently measured at amortised cost, using the effective interest method; \u25a0 social security and sundry taxes are subsequently measured at amortised cost, using the effective interest method; \u25a0 deferred consideration is subsequently measured at fair value with changes in the income statement as explained below; and \u25a0 others are subsequently measured either at amortised cost, using the effective interest method or at fair value, with changes being recognised in\u00a0the income statement. | ||||
Deferred consideration Deferred consideration represents any payments to the sellers of a business that occur after the acquisition date. These typically comprise contingent consideration and fixed deferred consideration: \u25a0 fixed deferred consideration is a payment with a due date after acquisition that is not dependent on future conditions; and \u25a0 contingent consideration is a payment which is dependent on certain conditions being met in the future and is often variable. All deferred consideration is initially recognised at fair value as at the acquisition date, which includes a present value discount. Subsequently, deferred consideration is measured to reflect the unwinding of discount on the liability, with changes recognised in finance cost within the income statement. In the balance sheet, it is remeasured to reflect the latest estimate of the achievement of the conditions on which the consideration is based; changes in value other than the discount unwind are recognised as acquisition and disposal-related costs in the income statement. |
Trade payables and other liabilities | \u20ac million 2025 | \u20ac million 2024 |
Current: due within one year | ||
Trade payables | 10,994 | 10,258 |
Accruals | 4,649 | 5,053 |
Social security and sundry taxes | 565 | 555 |
Deferred consideration | 26 | 16 |
Others | 705 | 808 |
16,939 | 16,690 | |
Non-current: due after more than one year | ||
Accruals | 74 | 148 |
Deferred consideration | 20 | 1 |
Others | 43 | 54 |
137 | 203 | |
Total trade payables and other liabilities | 17,076 | 16,893 |
2025 | 2024 | |
Carrying amount of trade payables (subject to supplier financing arrangements) | ||
Presented in trade and other payables (\u20ac million) | 2,665 | 2,207 |
of which suppliers have received payment from finance provider (\u20ac million) | 2,065 | 1,908 |
Range of payment due dates | ||
Liabilities that are part of the arrangements (a) (days) | 0-180 | 180 days |
Comparable trade payables that are not part of the arrangements (a) (days) | 0-180 | 180 days |
Trade payables Trade payables are initially recognised at fair value less any directly attributable transaction costs. Trade payables are subsequently measured at amortised cost, using the effective interest method. Other liabilities Other liabilities are initially recognised at fair value less any directly attributable transaction costs. Subsequent measurement depends on the type of\u00a0liability: \u25a0 accruals are subsequently measured at amortised cost, using the effective interest method; \u25a0 social security and sundry taxes are subsequently measured at amortised cost, using the effective interest method; \u25a0 deferred consideration is subsequently measured at fair value with changes in the income statement as explained below; and \u25a0 others are subsequently measured either at amortised cost, using the effective interest method or at fair value, with changes being recognised in\u00a0the income statement. | ||||
Deferred consideration Deferred consideration represents any payments to the sellers of a business that occur after the acquisition date. These typically comprise contingent consideration and fixed deferred consideration: \u25a0 fixed deferred consideration is a payment with a due date after acquisition that is not dependent on future conditions; and \u25a0 contingent consideration is a payment which is dependent on certain conditions being met in the future and is often variable. All deferred consideration is initially recognised at fair value as at the acquisition date, which includes a present value discount. Subsequently, deferred consideration is measured to reflect the unwinding of discount on the liability, with changes recognised in finance cost within the income statement. In the balance sheet, it is remeasured to reflect the latest estimate of the achievement of the conditions on which the consideration is based; changes in value other than the discount unwind are recognised as acquisition and disposal-related costs in the income statement. |
Ordinary shares Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of ordinary shares are recognised as a deduction from equity, net of any tax effects. | ||||
Unification reserve The Group recognised a separate Unification Reserve within Equity as a result of PLC Share Premium that arose from Unification. | ||||
Other reserves Other reserves include the fair value reserve, the foreign currency translation reserve, the capital redemption reserve and treasury shares. | ||||
Shares held by employee share trusts and group companies An employee share trust and group companies purchase and hold shares to satisfy performance shares granted and other share awards (see note 4C). The assets and liabilities of the trust and shares held by the trust and group companies are included in the consolidated financial statements. The book value of shares held is deducted from other reserves, and the trust\u2019s borrowings are included in the Group\u2019s liabilities. The costs of the trust are included in the results of the Group. The shares held by the trust and group companies are excluded from the calculation of earnings per share. | ||||
Financial liabilities Financial liabilities are initially recognised at fair value, less any directly related transaction costs. When bonds are designated as being part of\u00a0a\u00a0fair value hedge relationship, in those cases bonds are carried at amortised cost, adjusted for the fair value of the risk being hedged, with changes in value shown in the income statement. Put options are initially recognised at the present value of the expected gross obligation, with changes in value being recognised in the income statement. Other financial liabilities, which includes put options, are subsequently carried at amortised cost, with the exception of: \u25a0 financial liabilities which the Group has elected to measure at fair value through profit or loss; \u25a0 contingent consideration recognised by an acquirer in a business combination to which IFRS 3 applies. Such contingent consideration is subsequently measured at fair value through profit or loss. | ||||
Lease liabilities Lease liabilities are initially measured at the present value of the lease payments that are not yet paid at the start of the lease term. This is discounted using an appropriate borrowing rate determined by the Group, where none is readily available in the lease contract. The lease liability is subsequently reduced by cash payments and increased by interest costs. The lease liability is remeasured when the Group assesses that there will be a change in the amount expected to be paid during the lease term. |
Unilever PLC | \u00a3 million 2025 | \u00a3 million 2024 |
Ordinary shares(a) | 76.3 | 78.4 |
Unilever Group | \u20ac million 2025 | \u20ac million 2024 |
Euro equivalent in millions (b) | 85 | 88 |
HUL balance sheet as at 31 December | \u20ac million 2025 | \u20ac million 2024 |
Non-current assets | 4,968 | 6,478 |
Current assets | 1,561 | 2,125 |
Current liabilities | (1,594) | (1,456) |
Non-current liabilities | (1,307) | (1,798) |
HUL comprehensive income for the year ended 31 December | \u20ac million 2025 | \u20ac million 2024 |
Turnover | 6,253 | 6,607 |
Profit after tax | 940 | 1,167 |
Total comprehensive income | 110 | 1,318 |
HUL cash flow for the year ended 31 December | \u20ac million 2025 | \u20ac million 2024 |
Net increase/(decrease) in cash and cash equivalents | (163) | 364 |
HUL non-controlling interest | \u20ac million 2025 | \u20ac million 2024 |
1 January | (2,044) | (2,048) |
Share of (profit)/loss for the year ended 31 December | (539) | (446) |
Other comprehensive income | 6 | 3 |
Dividend paid to the non-controlling interest | 582 | 511 |
Currency translation | 306 | (60) |
Other movements in equity | 120 | (4) |
31 December | (1,569) | (2,044) |
\u20ac million Total 2025 | \u20ac million Total 2024 | \u20ac million Total 2023 | |
Fair value reserves \u2013 see following table | 332 | 600 | 392 |
Currency retranslation of group companies \u2013 see following table | (8,284) | (7,026) | (7,432) |
Capital redemption reserve | 28 | 25 | 25 |
Book value of treasury shares \u2013 see following table | (36) | (37) | (207) |
Repurchase of shares | (3,769) | (2,259) | (6,034) |
Cancellation of PLC shares | 3,770 | \u2014 | 5,282 |
Other (a) | (305) | (602) | (544) |
(8,264) | (9,299) | (8,518) |
Treasury shares \u2013 movements during the year | \u20ac million 2025 | \u20ac million 2024 |
1 January | (2,296) | (959) |
Repurchase of shares | (1,510) | (1,508) |
Cancellation of PLC shares | 3,770 | \u2014 |
Other purchases and utilisations | 1 | 171 |
31 December | (35) | (2,296) |
Currency retranslation reserves \u2013 movements during the year | \u20ac million 2025 | \u20ac million 2024 |
1 January | (7,026) | (7,432) |
Currency retranslation of group companies' net assets and liabilities during the year | (1,522) | (419) |
Movement in net investment hedges and exchange differences in net investments in foreign operations | (796) | 280 |
Recycling of currency retranslation to the income statement on demerger of Ice Cream business | 1,036 | \u2014 |
Recycling of currency retranslation to the income statement on business disposals | 24 | 545 |
31 December | (8,284) | (7,026) |
Fair value reserves \u2013 movements during the year | \u20ac million 2025 | \u20ac million 2024 |
1 January | 600 | 392 |
Movements in Other comprehensive income, net of tax | ||
\u00a0 Gains/(losses) on equity instruments | (14) | 60 |
\u00a0 Gains/(losses) on cash flow hedges | (196) | 210 |
Hedging (gains)/losses transferred to non-financial assets | (58) | (62) |
31 December | 332 | 600 |
\u20ac million 2025 | \u20ac million 2024 | |
1 January | 84 | (180) |
Movement during the year | 176 | 264 |
31 December | 260 | 84 |
\u20ac million 2025 | \u20ac million 2024 | |
1 January | (5,955) | (7,344) |
Currency retranslation during the year: | ||
\u00a0 \u00a0 Other reserves | (1,258) | 406 |
\u00a0 \u00a0 Retained profit | (76) | 891 |
\u00a0 \u00a0 Non-controlling interest | (349) | 92 |
31 December | (7,638) | (5,955) |
Ordinary shares Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of ordinary shares are recognised as a deduction from equity, net of any tax effects. | ||||
Unification reserve The Group recognised a separate Unification Reserve within Equity as a result of PLC Share Premium that arose from Unification. | ||||
Other reserves Other reserves include the fair value reserve, the foreign currency translation reserve, the capital redemption reserve and treasury shares. | ||||
Shares held by employee share trusts and group companies An employee share trust and group companies purchase and hold shares to satisfy performance shares granted and other share awards (see note 4C). The assets and liabilities of the trust and shares held by the trust and group companies are included in the consolidated financial statements. The book value of shares held is deducted from other reserves, and the trust\u2019s borrowings are included in the Group\u2019s liabilities. The costs of the trust are included in the results of the Group. The shares held by the trust and group companies are excluded from the calculation of earnings per share. | ||||
Financial liabilities Financial liabilities are initially recognised at fair value, less any directly related transaction costs. When bonds are designated as being part of\u00a0a\u00a0fair value hedge relationship, in those cases bonds are carried at amortised cost, adjusted for the fair value of the risk being hedged, with changes in value shown in the income statement. Put options are initially recognised at the present value of the expected gross obligation, with changes in value being recognised in the income statement. Other financial liabilities, which includes put options, are subsequently carried at amortised cost, with the exception of: \u25a0 financial liabilities which the Group has elected to measure at fair value through profit or loss; \u25a0 contingent consideration recognised by an acquirer in a business combination to which IFRS 3 applies. Such contingent consideration is subsequently measured at fair value through profit or loss. | ||||
Lease liabilities Lease liabilities are initially measured at the present value of the lease payments that are not yet paid at the start of the lease term. This is discounted using an appropriate borrowing rate determined by the Group, where none is readily available in the lease contract. The lease liability is subsequently reduced by cash payments and increased by interest costs. The lease liability is remeasured when the Group assesses that there will be a change in the amount expected to be paid during the lease term. |
Financial liabilities (a) | \u20ac million Current 2025 | \u20ac million Non- current 2025 | \u20ac million Total 2025 | \u20ac million Current 2024 | \u20ac million Non- current 2024 | \u20ac million Total 2024 |
Bank loans and overdrafts(b) | 229 | 4 | 233 | 517 | 4 | 521 |
Bonds and other loans | 1,951 | 24,087 | 26,038 | 5,363 | 23,285 | 28,648 |
Lease liabilities | 277 | 1,049 | 1,326 | 322 | 1,164 | 1,486 |
Derivatives | 48 | 404 | 452 | 152 | 442 | 594 |
Other financial liabilities (c) | 77 | 152 | 229 | 633 | 171 | 804 |
2,582 | 25,696 | 28,278 | 6,987 | 25,066 | 32,053 |
Non-cash movement | |||||||
Movements in 2025 and 2024 | \u20ac million Opening balance at 1 January | \u20ac million Cash movement(a) | \u20ac million Business acquisi- tions/ disposals | \u20ac million Foreign exchange changes | \u20ac million Fair value changes | \u20ac million Other movements | \u20ac million Closing balance at 31\u00a0December |
2025 | |||||||
Bank loans and overdrafts | (521) | 178 | 36 | 67 | \u2013 | 7 | (233) |
Bonds and other loans | (28,648) | (1,892) | 3,000 | 1,583 | (92) | 11 | (26,038) |
Lease liabilities(b) | (1,486) | 341 | 112 | 129 | \u2013 | (422) | (1,326) |
Derivatives | (594) | \u2013 | 31 | 23 | 88 | \u2013 | (452) |
Other financial liabilities | (804) | 24 | (51) | 93 | (60) | 569 | (229) |
Total | (32,053) | (1,349) | 3,128 | 1,895 | (64) | 165 | (28,278) |
2024 | |||||||
Bank loans and overdrafts | (506) | (52) | \u2013 | 2 | \u2013 | 35 | (521) |
Bonds and other loans | (26,692) | (1,119) | \u2013 | (755) | (5) | (77) | (28,648) |
Lease liabilities (b) | (1,395) | 385 | 21 | (24) | \u2013 | (473) | (1,486) |
Derivatives | (494) | \u2013 | \u2013 | (13) | (87) | \u2013 | (594) |
Other financial liabilities | (535) | 25 | (59) | (33) | (203) | 1 | (804) |
Total | (29,622) | (761) | (38) | (823) | (295) | (514) | (32,053) |
\u20ac million | Total 2025 | Total 2024 |
Unilever PLC | ||
1.875% Notes 2029 (\u00a3) | 285 | 300 |
1.500% Notes 2026 (\u00a3) | 573 | 602 |
1.500% Notes 2039 (\u20ac) | 647 | 647 |
2.125% Notes 2028 (\u00a3)(a) | 331 | 334 |
Total PLC | 1,836 | 1,883 |
Other group companies | ||
The Netherlands | ||
1.625% Notes 2033 (\u20ac) | 795 | 795 |
1.375% Notes 2029 (\u20ac) | 747 | 747 |
1.125% Bonds 2027 (\u20ac) | 699 | 699 |
1.125% Bonds 2028 (\u20ac) | 698 | 698 |
0.875% Notes 2025 (\u20ac) | \u2013 | 650 |
0.500% Bonds 2025 (\u20ac) | \u2013 | 650 |
1.375% Notes 2030 (\u20ac) | 647 | 646 |
1.000% Notes 2027 (\u20ac) | 600 | 599 |
1.250% Notes 2025 (\u20ac) | \u2013 | 1,000 |
1.750% Notes 2030 (\u20ac) | 997 | 997 |
1.250% Notes 2031 (\u20ac)(a) | 590 | 588 |
2.250% Notes 2034 (\u20ac)(a) | 776 | 793 |
0.750% Notes 2026 (\u20ac)(a) | 499 | 489 |
1.750% Notes 2028 (\u20ac) | 647 | 646 |
3.250% Notes 2031 (\u20ac) | 496 | 495 |
3.500% Notes 2035 (\u20ac) | 496 | 496 |
3.250% Notes 2032 (\u20ac) | 599 | 598 |
3.500% Notes 2037 (\u20ac) | 597 | 597 |
3.250% Notes 2032 (\u20ac) | 100 | 100 |
United States | ||
5.900% Bonds 2032 (US $) | 847 | 955 |
2.900% Notes 2027 (US $) | 850 | 956 |
3.500% Notes 2028 (US $) | 678 | 764 |
2.000% Notes 2026 (US $) | 596 | 671 |
3.100% Notes 2025 (US $) | \u2013 | 480 |
3.500% Bonds 2028 (US $) | 425 | 478 |
3.375% Notes 2025 (US $) | \u2013 | 336 |
7.250% Bonds 2026 (US $) | 254 | 285 |
6.625% Bonds 2028 (US $) | 206 | 231 |
5.600% Bonds 2097 (US $) | 78 | 88 |
2.125% Notes 2029 (US $) | 720 | 812 |
1.375% Notes 2030 (US $)(a) | 371 | 391 |
2.625% Notes 2051 (US $) | 544 | 613 |
1.750% Notes 2031 (US $)(a) | 632 | 670 |
3.300% Notes 2029 (\u20ac) | 549 | 549 |
3.400% Notes 2033 (\u20ac) | 695 | 694 |
4.875% Notes 2028 (US $) | 595 | 670 |
5.000% Notes 2033 (US $) | 675 | 760 |
4.750% Notes 2031 (US $) | 144 | 163 |
4.625% Bonds 2034 (US $) | 842 | 949 |
4.250% Bonds 2027 (US $) | 637 | 718 |
2.750% Notes 2030 (\u20ac) | 696 | \u2013 |
3.375% Notes 2035 (\u20ac) | 791 | \u2013 |
Floating Rate Notes 2027 (\u20ac) | 596 | \u2013 |
4.824% Bonds 2035 (US $) | 128 | \u2013 |
2.875% Notes 2032 (\u20ac) | 842 | \u2013 |
3.500% Notes 2037 (\u20ac) | 798 | \u2013 |
Commercial Paper (US $) | \u2013 | 2,158 |
Other countries | ||
Switzerland | 28 | 89 |
Others | 2 | 2 |
Total other group companies | 24,202 | 26,765 |
Total bonds and other loans | 26,038 | 28,648 |
Derivatives and hedge accounting Derivatives are measured at fair value with any related transaction costs expensed as incurred. The treatment of changes in the value of derivatives depends on their use as explained below. (i) Fair value hedges(a) Certain derivatives are held to hedge the risk of changes in value of a specific bond or other loan. In these situations, the Group designates the liability and related derivative to be part of a fair value hedge relationship. The carrying value of the bond is adjusted by the fair value of the risk being hedged, with changes going to the income statement. Gains and losses on the corresponding derivative are also recognised in the income statement. The amounts recognised are offset in the income statement to the extent that the hedge is effective. Ineffectiveness may occur if the critical terms do not exactly match, or if there is a value adjustment resulting from a change in credit risk (in either the Group or the\u00a0counterparty to the derivative) that is not matched by the hedged item. When the relationship no longer meets the criteria for hedge accounting, the fair value hedge adjustment made to the bond is amortised to the income statement using the effective interest method. (ii) Cash flow hedges(a) Derivatives are also held to hedge the uncertainty in timing or amount of future forecast cash flows. Such derivatives are classified as being part of cash flow hedge relationships. For an effective hedge, gains and losses from changes in the fair value of derivatives are recognised in equity. Cost of hedging, where material and opted for, is recorded in a separate account within equity. Any ineffective elements of the hedge are recognised in the income statement. Ineffectiveness may occur if there are changes to the expected timing of the hedged transaction. If the hedged cash flow relates to a non-financial asset, the amount accumulated in equity is subsequently included within the carrying value of that asset. For other cash flow hedges, amounts deferred in equity are taken to the income statement at the same time as the related cash flow. When a derivative no longer qualifies for hedge accounting, any cumulative gain or loss remains in equity until the related cash flow occurs. When the\u00a0cash flow takes place, the cumulative gain or loss is taken to the income statement. If the hedged cash flow is no longer expected to occur, the cumulative gain or loss is taken to the income statement immediately. (iii) Net investment hedges(a) Certain derivatives are designated as hedges of the currency risk on the Group\u2019s investment in foreign subsidiaries. The accounting policy for these arrangements is set out in note 1. (iv) Derivatives for which hedge accounting is not applied Derivatives not classified as hedges are held in order to hedge certain balance sheet items and commodity exposures. No hedge accounting is applied to these derivatives, which are carried at fair value with changes being recognised in the income statement. | ||||
Undiscounted cash flows | \u20ac\u00a0million Due within 1\u00a0year | \u20ac\u00a0million Due between 1 and 2\u00a0years | \u20ac\u00a0million Due between 2 and 3\u00a0years | \u20ac\u00a0million Due between 3 and 4\u00a0years | \u20ac\u00a0million Due between 4 and 5\u00a0years | \u20ac\u00a0million Due after 5\u00a0years | \u20ac\u00a0million Total | \u20ac\u00a0million Net\u00a0carrying amount as shown in balance sheet |
2025 | ||||||||
Non-derivative financial liabilities: | ||||||||
Bank loans and overdrafts | (245) | (3) | (1) | (1) | (1) | (1) | (252) | (233) |
Bonds and other loans | (2,701) | (4,065) | (4,188) | (2,819) | (3,226) | (14,470) | (31,469) | (26,038) |
Lease liabilities | (343) | (278) | (228) | (163) | (129) | (489) | (1,630) | (1,326) |
Other financial liabilities | (78) | (143) | (11) | (2) | \u2013 | \u2013 | (234) | (229) |
Trade payables, accruals and other liabilities | (16,297) | (55) | (12) | (24) | (3) | (24) | (16,415) | (16,413) |
Deferred consideration | (26) | (20) | \u2013 | \u2013 | \u2013 | \u2013 | (46) | (46) |
(19,690) | (4,564) | (4,440) | (3,009) | (3,359) | (14,984) | (50,046) | (44,285) | |
Derivative financial liabilities: | ||||||||
Interest rate derivatives: | (413) | |||||||
Derivative contracts \u2013 receipts | 243 | 1,032 | 511 | 140 | 139 | 2,951 | 5,016 | |
Derivative contracts \u2013 payments | (330) | (1,165) | (602) | (227) | (226) | (3,144) | (5,694) | |
Foreign exchange derivatives: | (80) | |||||||
Derivative contracts \u2013 receipts | 9,152 | 1 | \u2013 | \u2013 | \u2013 | \u2013 | 9,153 | |
Derivative contracts \u2013 payments | (9,267) | (2) | \u2013 | \u2013 | \u2013 | \u2013 | (9,269) | |
Commodity derivatives: | (10) | |||||||
Derivative contracts \u2013 receipts | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | |
Derivative contracts \u2013 payments | (10) | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | (10) | |
(212) | (134) | (91) | (87) | (87) | (193) | (804) | (503) | |
Total | (19,902) | (4,698) | (4,531) | (3,096) | (3,446) | (15,177) | (50,850) | (44,788) |
2024 | ||||||||
Non-derivative financial liabilities: | ||||||||
Bank loans and overdrafts | (535) | (1) | (1) | (1) | (1) | (7) | (546) | (521) |
Bonds and other loans | (6,041) | (2,710) | (3,552) | (4,348) | (2,817) | (14,513) | (33,981) | (28,648) |
Lease liabilities | (389) | (322) | (257) | (207) | (147) | (479) | (1,801) | (1,486) |
Other financial liabilities | (633) | (41) | (131) | \u2013 | (2) | \u2013 | (807) | (804) |
Trade payables, accruals and other liabilities | (16,064) | (110) | (25) | (35) | (6) | (26) | (16,266) | (16,265) |
Deferred consideration | (16) | (1) | \u2013 | \u2013 | \u2013 | \u2013 | (17) | (17) |
(23,678) | (3,185) | (3,966) | (4,591) | (2,973) | (15,025) | (53,418) | (47,741) | |
Derivative financial liabilities: | ||||||||
Interest rate derivatives: | (442) | |||||||
Derivative contracts \u2013 receipts | 71 | 71 | 192 | 192 | 184 | 408 | 1,118 | |
Derivative contracts \u2013 payments | (178) | (142) | (257) | (260) | (244) | (525) | (1,606) | |
Foreign exchange derivatives: | (188) | |||||||
Derivative contracts \u2013 receipts | 5,641 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | 5,641 | |
Derivative contracts \u2013 payments | (5,867) | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | (5,867) | |
Commodity derivatives: | (20) | |||||||
Derivative contracts \u2013 receipts | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | |
Derivative contracts \u2013 payments | (20) | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | (20) | |
(353) | (71) | (65) | (68) | (60) | (117) | (734) | (650) | |
Total | (24,031) | (3,256) | (4,031) | (4,659) | (3,033) | (15,142) | (54,152) | (48,391) |
\u20ac million Due within 1 year | \u20ac million Due between 1 and 2 years | \u20ac million Due between 2 and 3 years | \u20ac million Due between 3 and 4 years | \u20ac million Due between 4 and 5 years | \u20ac million Due after 5 years | \u20ac million Total | \u20ac million Net carrying amount of related derivatives(a) | |
2025 | ||||||||
Foreign exchange cash inflows | 1,795 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | 1,795 | \u2013 |
Foreign exchange cash outflows | (1,843) | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | (1,843) | (25) |
Interest rate swaps cash inflows | 180 | 1,617 | 141 | 691 | 822 | 3,601 | 7,052 | 15 |
Interest rate swaps cash outflows | (233) | (1,733) | (197) | (698) | (846) | (3,672) | (7,379) | \u2013 |
Commodity contracts cash inflows | 3 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | 3 | 3 |
Commodity contracts cash outflows | (10) | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | (10) | (10) |
2024 | ||||||||
Foreign exchange cash inflows | 2,717 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | 2,717 | \u2013 |
Foreign exchange cash outflows | (2,696) | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | (2,696) | 31 |
Interest rate swaps cash inflows | 70 | 70 | 1,017 | 42 | 592 | 795 | 2,586 | 55 |
Interest rate swaps cash outflows | (71) | (71) | (982) | (58) | (624) | (852) | (2,658) | \u2013 |
Commodity contracts cash inflows | 126 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | 126 | 126 |
Commodity contracts cash outflows | (20) | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | (20) | (20) |
Potential impact of risk\u00a0 | Management policy and hedging strategy\u00a0 | Sensitivity to the risk\u00a0 | ||||
(i) Commodity price risk The Group is exposed to the risk of changes in commodity prices in relation to its purchase of\u00a0certain raw materials. At 31 December 2025 , the Group had hedged its exposure to future commodity purchases with commodity derivatives valued at \u20ac284 \u00a0million (2024 : \u20ac660 million). Hedges of future commodity purchases resulted in cumulative gains of \u20ac83 \u00a0million (2024: gain of \u20ac27\u00a0million) being reclassified to the income statement and gains of \u20ac28 \u00a0million (2024: gain of \u20ac11 million) being\u00a0recognised as a basis adjustment to inventory purchased. | The Group uses commodity forwards, futures, swaps and option contracts to hedge against this risk. All commodity forward contracts hedge future purchases of raw materials and\u00a0the contracts are settled either in cash or\u00a0by physical delivery. The Group also hedges risk components of commodities where it is not possible to hedge the commodity in full. This is done with reference to the contract to purchase the hedged commodity. Commodity derivatives are generally designated as hedging instruments in cash\u00a0flow hedge accounting relations. All commodity derivative hedging is done in line with CRM policy approved by the Chief Financial Officer and Chief Supply Chain Officer. | A 10% increase in commodity prices as at 31 December 2025 would have led to a\u00a0\u20ac 38 \u00a0million gain on the commodity derivatives in the cash flow hedge reserve ( 2024: \u20ac81\u00a0million gain in the cash flow hedge\u00a0reserve). A decrease of 10% in commodity prices on a\u00a0full-year basis would have the equal but opposite effect. | ||||
(ii) Currency risk Currency risk on sales, purchases and borrowings Because of Unilever\u2019s global reach, it is subject to the risk that changes in foreign currency values impact the Group\u2019s sales, purchases and borrowings. At 31 December 2025, the exposure to the Group from companies holding financial assets and liabilities other than in their functional currency amounted to \u20ac139\u00a0million (2024: \u20ac351 million). | The Group manages currency exposures within prescribed limits, mainly through the use of forward foreign currency exchange contracts. Operating companies manage foreign exchange exposures within prescribed limits. The aim of the Group\u2019s approach to management of currency risk is to leave the\u00a0Group with no material residual risk. | As an estimation of the approximate impact of\u00a0the residual risk, with respect to financial instruments, the Group has calculated the impact of a 10% change in exchange rates. Impact on income statement A 10% strengthening of the foreign currencies against the respective functional currencies of\u00a0group companies would have led to approximately an additional \u20ac14\u00a0million loss\u00a0in the income statement (2024: \u20ac35\u00a0million loss). A 10% weakening of the foreign currencies against the respective functional currencies of group companies would have led to an equal but opposite effect. Impact on equity \u2013 trade-related cash flow hedges A 10% strengthening of foreign currencies against the respective functional currencies of\u00a0group companies hedging future trade cash\u00a0flows and applying cash flow hedge accounting, would have led to \u20ac66\u00a0million loss (2024: \u20ac158\u00a0million loss) in equity. A 10% weakening of the same would have led\u00a0to an equal but opposite effect. |
As at year end, the Group had the below notional amount of currency derivatives outstanding to which cash flow hedge accounting is applied: | ||||||
Currency | \u20ac million 2025 | \u20ac million 2024 | ||||
EUR* | (18) | (1,014) | ||||
GBP | (560) | (404) | ||||
USD | 242 | 306 | ||||
SEK | (72) | (87) | ||||
CAD | (109) | (194) | ||||
SGD | 62 | 68 | ||||
Others | (206) | (260) | ||||
Total | (661) | (1,585) | ||||
*\u00a0 \u00a0 Euro exposure relates to group companies having non-euro functional currencies. |
Potential impact of risk | Management policy and hedging strategy\u00a0 | Sensitivity to the risk\u00a0 | ||||||
Currency risk on the Group\u2019s net investments The Group is also subject to currency risk in relation to the translation of the net investments of its foreign operations into euros for inclusion in its consolidated financial statements. These net investments include Group financial loans, which are monetary items that form part of our net investment in foreign operations, of \u20ac 4.4\u00a0billion (2024 : \u20ac7.9 billion), of\u00a0which \u20ac3.1 billion (2024: \u20ac3.5 billion) is denominated in USD and nil in GBP (2024: \u20ac3.1 billion). In accordance with IAS\u00a021, the exchange differences on these financial loans are booked through reserves. Part of the currency exposure on the Group\u2019s investments is also managed using net investment hedges for the currencies listed below, with nominal values as stated below. | Unilever aims to minimise this currency risk on\u00a0the Group\u2019s net investment exposure by borrowing in local currency in the operating companies themselves. In some locations, however, the Group\u2019s ability to do this is inhibited by local regulations, lack of local liquidity or by local market conditions. Treasury may decide on a case-by-case basis to actively hedge the currency exposure from net investment in foreign operations. This is done either through additional borrowings in\u00a0the related currency, or through the use of foreign exchange derivative contracts. Where local currency borrowings, or derivative contracts, are used to hedge the currency risk in relation to the Group\u2019s net investment in foreign subsidiaries, these relationships are designated as net investment hedges for accounting purposes. Exchange risk related to the principal amount of the USD denominated debt either forms part of hedging relationship itself, or is hedged through forward contracts. | Impact on equity \u2013 net investment hedges A 10% strengthening of the euro against other currencies would have led to \u20ac43\u00a0million (2024:\u00a0\u20ac162 million) loss in the equity on the net\u00a0investment hedges used to\u00a0manage the currency exposure on the Group\u2019s investments. A 10% weakening of the euro against other currencies would have led to an equal but opposite effect. Impact on equity \u2013 net investments in group companies A 10% strengthening of the euro against all other currencies would have led to \u20ac2,160 million negative retranslation effect (2024: \u20ac2,600 million negative retranslation effect). A 10% weakening of the euro against all other currencies would have led to an equal but opposite effect. In line with accepted hedge accounting treatment and our accounting policy for financial loans, the retranslation differences would be recognised in equity. | ||||||
Currency | \u20ac million 2025 | \u20ac million 2024 | ||||||
USD | 2,762 | 3,023 | ||||||
CNY | (999) | (1,081) | ||||||
ILS | (338) | (323) | ||||||
TRY | (245) | \u2013 | ||||||
CHF | (750) | \u2013 | ||||||
At 31 December 2025, the net exposure of the net investments in foreign currencies amounts to \u20ac21.6\u00a0billion (2024: \u20ac26.0 billion). | ||||||||
(iii) Interest rate risk(a) The Group is exposed to market interest rate fluctuations on its floating-rate debt. Increases in benchmark interest rates could increase the interest cost of our floating-rate debt and increase the cost of future borrowings. The Group\u2019s ability to manage interest costs also has\u00a0an impact on reported results. The Group does not have any material floating interest-bearing financial assets or any significant long-term fixed interest-bearing financial assets. Consequently, the Group\u2019s interest rate risk arises mainly from financial liabilities other than lease liabilities. Taking into account the impact of interest rate swaps, at 31 December 2025, interest rates were fixed on approximately 84% of the expected financial liabilities (excluding lease liabilities) for 2026, and 71% for 2027 (76% for 2025 and 68% for 2026 at 31 December 2024). As at year end, the Group had the below notional amount of interest rate derivatives outstanding on which hedge accounting is applied: | Unilever\u2019s interest rate management approach aims for an optimal balance between fixed- and\u00a0floating-rate interest rate exposures on expected financial liabilities. The objective of this approach is to minimise annual interest\u00a0costs. This is achieved either by issuing fixed- or floating-rate long-term debt, or by modifying interest rate exposure through the use of interest rate swaps. The majority of the Group\u2019s existing interest rate derivatives are designated as fair value hedges and are expected to be effective. The fair value movement of these derivatives is recognised in the income statement, along with any changes in the relevant fair value of the underlying hedged asset or liability. | Impact on income statement Assuming that all other variables remain constant, a 1.0 percentage point increase in floating interest rates on a full-year basis as at\u00a031 December 2025 would have led to an additional \u20ac47 \u00a0million of additional finance cost ( 2024: \u20ac94\u00a0million additional finance costs). A 1.0 percentage point decrease in floating interest rates on a full-year basis would have led to an equal but opposite effect. Assuming that all other variables remain constant, a 1.0 percentage point increase in\u00a0interest rates on a full-year basis as at 31 December 2025 would have led to an additional \u20ac20\u00a0million of additional finance costs related to net investment hedge interest rate swaps (2024: \u20ac12 million cost). A 1.0 percentage point decrease in interest rates on a full-year basis would have led to an\u00a0additional \u20ac22 million of finance income related to net investment hedge interest rate swaps (2024: \u20ac12 million income). Impact on equity \u2013 cash flow hedges Assuming that all other variables remain constant, a 1.0 percentage point increase in\u00a0interest rates on a full-year basis as at 31 December 2025 would have led to an additional \u20ac6\u00a0million debit in equity from derivatives in cash flow hedge relationships (2024: \u20ac5\u00a0million credit). A 1.0 percentage point decrease in interest rates on a full-year basis would have led to an\u00a0additional \u20ac7\u00a0million credit in equity from derivatives in cash flow hedge relationships (2024: \u20ac5\u00a0million debit). | ||||||
Cash flow hedge | \u20ac million 2025 | \u20ac million 2024 | ||||||
Fair value hedge | ||||||||
Net investment hedge | ||||||||
For interest management purposes, transactions with a maturity shorter than six months from inception date are not included as fixed interest transactions. The average interest rate on short-term borrowings in 2025 was 4.3% (2024 : 6.3%). |
\u20ac million 2025 | \u20ac million 2024 | |
Current financial liabilities | (2,582) | (6,987) |
Non-current financial liabilities | (25,696) | (25,066) |
Total financial liabilities | (28,278) | (32,053) |
Less: lease liabilities | (1,326) | (1,486) |
Financial liabilities (excluding lease liabilities) | 26,952 | 30,567 |
Of which: | ||
Fixed rate (weighted average amount of fixing for the following year) | (22,228) | (21,151) |
\u20ac million Trade and other receivables | \u20ac million Current financial assets | \u20ac million Non-current financial assets | \u20ac million Trade payables and other liabilities | \u20ac million Current financial liabilities | \u20ac million Non-current financial liabilities | \u20ac million Total | |||
31 December 2025 | |||||||||
Foreign exchange derivatives | |||||||||
Fair value hedges | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | ||
Cash flow hedges | 5 | \u2013 | \u2013 | (30) | \u2013 | \u2013 | (25) | ||
Hedges on the net investment in foreign operations | \u2013 | 12 | (a) | \u2013 | \u2013 | (36) | (a) | \u2013 | (24) |
Hedge accounting not applied | 12 | 38 | (a) | 4 | (11) | (3) | (a) | \u2013 | 40 |
Interest rate derivatives | |||||||||
Fair value hedges | \u2013 | \u2013 | \u2013 | \u2013 | (9) | (295) | (304) | ||
Cash flow hedges | \u2013 | \u2013 | 117 | \u2013 | \u2013 | (102) | 15 | ||
Hedges on the net investment in foreign operations | \u2013 | \u2013 | 19 | \u2013 | \u2013 | \u2013 | 19 | ||
Hedge accounting not applied | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | (7) | (7) | ||
Commodity contracts | |||||||||
Cash flow hedges | 3 | \u2013 | \u2013 | (10) | \u2013 | \u2013 | (7) | ||
Hedge accounting not applied | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | ||
20 | 50 | 140 | (51) | (48) | (404) | (293) | |||
Total assets | 210 | Total liabilities | (503) | (293) | |||||
31 December 2024 | |||||||||
Foreign exchange derivatives | |||||||||
Fair value hedges | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | ||
Cash flow hedges | 59 | \u2013 | \u2013 | (28) | \u2013 | \u2013 | 31 | ||
Hedges on the net investment in foreign operations | \u2013 | 69 | \u2013 | \u2013 | (28) | \u2013 | 41 | ||
Hedge accounting not applied | 18 | 79 | \u2013 | (8) | (124) | \u2013 | (35) | ||
Interest rate derivatives | |||||||||
Fair value hedges | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | (423) | (423) | ||
Cash flow hedges | \u2013 | \u2013 | 58 | \u2013 | \u2013 | (3) | 55 | ||
Hedges on the net investment in foreign operations | (16) | (16) | |||||||
Hedge accounting not applied | \u2013 | 1 | 10 | \u2013 | \u2013 | \u2013 | 11 | ||
Commodity contracts | |||||||||
Cash flow hedges | 126 | \u2013 | \u2013 | (20) | \u2013 | \u2013 | 106 | ||
Hedge accounting not applied | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | ||
203 | 149 | 68 | (56) | (152) | (442) | (230) | |||
Total assets | 420 | Total liabilities | (650) | (230) |
Related amounts not set off in the balance sheet | ||||||
As at 31 December 2025 | \u20ac million Gross amounts of recognised financial assets | \u20ac million Gross amounts of recognised financial assets set off in the balance sheet | \u20ac million Net amounts of financial assets presented in the balance sheet | \u20ac million Financial instruments | \u20ac million Cash collateral received | \u20ac million Net amount |
Derivative financial assets | 229 | (19) | 210 | (162) | (28) | 20 |
As at 31 December 2024 | ||||||
Derivative financial assets | 478 | (58) | 420 | (174) | (89) | 157 |
Related amounts not set off in the balance sheet | ||||||
As at 31 December 2025 | \u20ac million Gross amounts of recognised financial liabilities | \u20ac million Gross amounts of recognised financial liabilities set off in the balance sheet | \u20ac million Net amounts of financial liabilities presented in the balance sheet | \u20ac million Financial instruments | \u20ac million Cash collateral received | \u20ac million Net amount |
Derivative financial liabilities | (522) | 19 | (503) | 162 | \u2013 | (341) |
As at 31 December 2024 | ||||||
Derivative financial liabilities | (708) | 58 | (650) | 174 | \u2013 | (476) |
Cash and cash equivalents Cash and cash equivalents in the balance sheet include deposits, investments in money market funds and highly liquid investments. To be classified as cash and cash equivalents, an asset must: \u25a0 be readily convertible into cash; \u25a0 have an insignificant risk of changes in value; and \u25a0 have a maturity period of typically three months or less at acquisition. Cash and cash equivalents in the cash flow statement also include bank overdrafts and are recorded at amortised cost. | ||||
Other financial assets The Group classifies its financial assets into the following measurement categories: \u25a0 those to be measured subsequently at fair value (either through other comprehensive income, or through profit or loss), and \u25a0 those to be measured at amortised cost. This classification depends on our business model for managing the financial asset and the contractual terms of the cash flows. At initial recognition, the Group measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs that are directly attributable to the acquisition of the financial asset. Transaction costs of financial assets carried at fair value through profit or loss are expensed in the income statement. All financial assets are either debt instruments or equity instruments. Debt instruments are those that provide the Group with a contractual right to receive cash or another asset. Equity instruments are those where the Group has no contractual right to receive cash or another asset. | ||||
Debt instruments The subsequent measurement of debt instruments depends on the Group\u2019s business model for managing the asset and the cash flow characteristics of the asset. There are three measurement categories that debt instruments are classified as: \u25a0 financial assets at amortised cost; \u25a0 financial assets at fair value through other comprehensive income; or \u25a0 financial assets at fair value through profit or loss. (i) Amortised cost Assets measured at amortised cost are those which are held to collect contractual cash flows on the repayment of principal or interest (SPPI). A\u00a0gain or loss on a debt investment recognised at amortised cost on derecognition or impairment is recognised in the income statement. Interest income is recognised within finance income using the effective interest rate method. (ii) Fair value through other comprehensive income Assets that are held at fair value through other comprehensive income are those that are held to collect contractual cash flows on the repayment of principal and interest and which are held to recognise a capital gain through the sale of the asset. Movements in the carrying amount are recognised in other comprehensive income except for the recognition of impairment, interest income and foreign exchange gains or losses which are recognised in the income statement. On derecognition, the cumulative gain or loss recognised in other comprehensive income is reclassified from equity to the income statement. Interest income is included in finance income using the effective interest rate method. (iii) Fair value through profit or loss Assets that do not meet the criteria for either amortised cost or fair value through other comprehensive income are measured as fair value through profit or loss. Related transaction costs are expensed as incurred. Unless they form part of a hedging relationship, these assets are held at fair value, with changes being recognised in the income statement. Interest income from these assets is included within finance income. | ||||
Equity instruments The Group subsequently measures all equity instruments at fair value. Where the Group has elected to present fair value gains and losses on equity investments in other comprehensive income, there is no subsequent reclassification of fair value gains or losses to profit or loss. Dividends from these investments continue to be recognised in the income statement. | ||||
Impairment of financial assets Financial instruments classified as amortised cost and debt instruments classified as fair value through other comprehensive income are assessed for impairment. The Group assesses the probability of default of an asset at initial recognition and then whether there has been a significant increase in credit risk on an ongoing basis. To assess whether there is a significant increase in credit risk, the Group compares the risk of a default occurring on the asset as at the reporting date with the risk of default as at the date of initial recognition. It considers available reasonable and supportive forward-looking information. Macroeconomic information (such as market interest rates or growth rates) is also considered. Financial assets are written off when there is no reasonable expectation of recovery, such as a debtor failing to engage in a repayment plan with the company. Impairment losses on assets classified as amortised cost are recognised in the income statement. When a later event causes the impairment losses to decrease, the reduction in impairment loss is also recognised in the income statement. Permanent impairment losses on debt instruments classified as fair value through other comprehensive income are recognised in the income statement. |
Financial assets(a) | \u20ac million Current 2025 | \u20ac million Non-current 2025 | \u20ac million Total 2025 | \u20ac million Current 2024 | \u20ac million Non-current 2024 | \u20ac million Total 2024 |
Cash and cash equivalents | ||||||
Cash at bank and in hand | 2,490 | \u2013 | 2,490 | 3,241 | \u2013 | 3,241 |
Short-term deposits(b) | 1,066 | \u2013 | 1,066 | 2,436 | \u2013 | 2,436 |
Other cash equivalents(c) | 385 | \u2013 | 385 | 459 | \u2013 | 459 |
3,941 | \u2013 | 3,941 | 6,136 | \u2013 | 6,136 | |
Other financial assets | ||||||
Financial assets at amortised cost (d) | 541 | 368 | 909 | 736 | 526 | 1,262 |
Financial assets at fair value through other comprehensive income(e) | \u2013 | 2,216 | 2,216 | \u2013 | 600 | 600 |
Financial assets at fair value through profit or loss: | ||||||
Derivatives | 50 | 140 | 190 | 149 | 68 | 217 |
Other (f) | 530 | 341 | 871 | 445 | 377 | 822 |
1,121 | 3,065 | 4,186 | 1,330 | 1,571 | 2,901 | |
Total | 5,062 | 3,065 | 8,127 | 7,466 | 1,571 | 9,037 |
Cash and cash equivalents reconciliation to the cash flow statement | \u20ac million 2025 | \u20ac million 2024 |
Cash and cash equivalents per balance sheet | 3,941 | 6,136 |
Less: Bank overdrafts | (65) | (180) |
Add: Cash and cash equivalents included in assets held for sale | \u2013 | \u2013 |
Less: Bank overdraft included in liabilities held for sale | (6) | (6) |
Cash and cash equivalents per cash flow statement | 3,870 | 5,950 |
Fair values of financial assets and financial liabilities | \u20ac million Fair value 2025 | \u20ac million Fair value 2024 | \u20ac million Carrying amount 2025 | \u20ac million Carrying amount 2024 |
Financial assets | ||||
Cash and cash equivalents | 3,941 | 6,136 | 3,941 | 6,136 |
Financial assets at amortised cost | 909 | 1,262 | 909 | 1,262 |
Financial assets at fair value through other comprehensive income | 2,216 | 600 | 2,216 | 600 |
Financial assets at fair value through profit or loss | ||||
\u00a0 Derivatives | 190 | 217 | 190 | 217 |
\u00a0 Other | 871 | 822 | 871 | 822 |
8,127 | 9,037 | 8,127 | 9,037 | |
Financial liabilities | ||||
Bank loans and overdrafts | (233) | (521) | (233) | (521) |
Bonds and other loans | (25,655) | (28,037) | (26,038) | (28,648) |
Lease liabilities | (1,326) | (1,486) | (1,326) | (1,486) |
Derivatives | (452) | (594) | (452) | (594) |
Other financial liabilities | (229) | (804) | (229) | (804) |
(27,895) | (31,442) | (28,278) | (32,053) |
Notes | \u20ac million Level\u00a01 2025 | \u20ac million Level\u00a01 2024 | \u20ac million Level\u00a02 2025 | \u20ac million Level\u00a02 2024 | \u20ac million Level\u00a03 2025 | \u20ac million Level\u00a03 2024 | \u20ac million Total\u00a0fair value 2025 | \u20ac million Total\u00a0fair value 2024 | |
Assets at fair value | |||||||||
Financial assets at fair value through other comprehensive income | 17A | 1,663 | 10 | 4 | 4 | 549 | 586 | 2,216 | 600 |
Financial assets at fair value through profit or loss: | |||||||||
\u00a0 \u00a0 Derivatives(a) | 16C | \u2013 | \u2013 | 210 | 420 | \u2013 | \u2013 | 210 | 420 |
\u00a0 \u00a0 Other | 17A | 530 | 445 | \u2013 | \u2013 | 341 | 377 | 871 | 822 |
Liabilities at fair value | |||||||||
\u00a0 Derivatives (b) | 16C | \u2013 | \u2013 | (503) | (650) | \u2013 | \u2013 | (503) | (650) |
\u00a0 Contingent consideration | 14 | \u2013 | \u2013 | \u2013 | \u2013 | (46) | (1) | (46) | (1) |
Reconciliation of movements in Level 3 valuations | \u20ac million 2025 | \u20ac million 2024 |
1 January | 962 | 684 |
Gains/(losses) recognised in income statement | (46) | (58) |
Gains/(losses) recognised in other comprehensive income | (22) | 67 |
Purchases and new issues | 30 | 135 |
Sales and settlements | (80) | 134 |
31 December | 844 | 962 |
Ordinary shares Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of ordinary shares are recognised as a deduction from equity, net of any tax effects. | ||||
Unification reserve The Group recognised a separate Unification Reserve within Equity as a result of PLC Share Premium that arose from Unification. | ||||
Other reserves Other reserves include the fair value reserve, the foreign currency translation reserve, the capital redemption reserve and treasury shares. | ||||
Shares held by employee share trusts and group companies An employee share trust and group companies purchase and hold shares to satisfy performance shares granted and other share awards (see note 4C). The assets and liabilities of the trust and shares held by the trust and group companies are included in the consolidated financial statements. The book value of shares held is deducted from other reserves, and the trust\u2019s borrowings are included in the Group\u2019s liabilities. The costs of the trust are included in the results of the Group. The shares held by the trust and group companies are excluded from the calculation of earnings per share. | ||||
Financial liabilities Financial liabilities are initially recognised at fair value, less any directly related transaction costs. When bonds are designated as being part of\u00a0a\u00a0fair value hedge relationship, in those cases bonds are carried at amortised cost, adjusted for the fair value of the risk being hedged, with changes in value shown in the income statement. Put options are initially recognised at the present value of the expected gross obligation, with changes in value being recognised in the income statement. Other financial liabilities, which includes put options, are subsequently carried at amortised cost, with the exception of: \u25a0 financial liabilities which the Group has elected to measure at fair value through profit or loss; \u25a0 contingent consideration recognised by an acquirer in a business combination to which IFRS 3 applies. Such contingent consideration is subsequently measured at fair value through profit or loss. | ||||
Lease liabilities Lease liabilities are initially measured at the present value of the lease payments that are not yet paid at the start of the lease term. This is discounted using an appropriate borrowing rate determined by the Group, where none is readily available in the lease contract. The lease liability is subsequently reduced by cash payments and increased by interest costs. The lease liability is remeasured when the Group assesses that there will be a change in the amount expected to be paid during the lease term. |
Ordinary shares Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of ordinary shares are recognised as a deduction from equity, net of any tax effects. | ||||
Unification reserve The Group recognised a separate Unification Reserve within Equity as a result of PLC Share Premium that arose from Unification. | ||||
Other reserves Other reserves include the fair value reserve, the foreign currency translation reserve, the capital redemption reserve and treasury shares. | ||||
Shares held by employee share trusts and group companies An employee share trust and group companies purchase and hold shares to satisfy performance shares granted and other share awards (see note 4C). The assets and liabilities of the trust and shares held by the trust and group companies are included in the consolidated financial statements. The book value of shares held is deducted from other reserves, and the trust\u2019s borrowings are included in the Group\u2019s liabilities. The costs of the trust are included in the results of the Group. The shares held by the trust and group companies are excluded from the calculation of earnings per share. | ||||
Financial liabilities Financial liabilities are initially recognised at fair value, less any directly related transaction costs. When bonds are designated as being part of\u00a0a\u00a0fair value hedge relationship, in those cases bonds are carried at amortised cost, adjusted for the fair value of the risk being hedged, with changes in value shown in the income statement. Put options are initially recognised at the present value of the expected gross obligation, with changes in value being recognised in the income statement. Other financial liabilities, which includes put options, are subsequently carried at amortised cost, with the exception of: \u25a0 financial liabilities which the Group has elected to measure at fair value through profit or loss; \u25a0 contingent consideration recognised by an acquirer in a business combination to which IFRS 3 applies. Such contingent consideration is subsequently measured at fair value through profit or loss. | ||||
Lease liabilities Lease liabilities are initially measured at the present value of the lease payments that are not yet paid at the start of the lease term. This is discounted using an appropriate borrowing rate determined by the Group, where none is readily available in the lease contract. The lease liability is subsequently reduced by cash payments and increased by interest costs. The lease liability is remeasured when the Group assesses that there will be a change in the amount expected to be paid during the lease term. |
Ordinary shares Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of ordinary shares are recognised as a deduction from equity, net of any tax effects. | ||||
Unification reserve The Group recognised a separate Unification Reserve within Equity as a result of PLC Share Premium that arose from Unification. | ||||
Other reserves Other reserves include the fair value reserve, the foreign currency translation reserve, the capital redemption reserve and treasury shares. | ||||
Shares held by employee share trusts and group companies An employee share trust and group companies purchase and hold shares to satisfy performance shares granted and other share awards (see note 4C). The assets and liabilities of the trust and shares held by the trust and group companies are included in the consolidated financial statements. The book value of shares held is deducted from other reserves, and the trust\u2019s borrowings are included in the Group\u2019s liabilities. The costs of the trust are included in the results of the Group. The shares held by the trust and group companies are excluded from the calculation of earnings per share. | ||||
Financial liabilities Financial liabilities are initially recognised at fair value, less any directly related transaction costs. When bonds are designated as being part of\u00a0a\u00a0fair value hedge relationship, in those cases bonds are carried at amortised cost, adjusted for the fair value of the risk being hedged, with changes in value shown in the income statement. Put options are initially recognised at the present value of the expected gross obligation, with changes in value being recognised in the income statement. Other financial liabilities, which includes put options, are subsequently carried at amortised cost, with the exception of: \u25a0 financial liabilities which the Group has elected to measure at fair value through profit or loss; \u25a0 contingent consideration recognised by an acquirer in a business combination to which IFRS 3 applies. Such contingent consideration is subsequently measured at fair value through profit or loss. | ||||
Lease liabilities Lease liabilities are initially measured at the present value of the lease payments that are not yet paid at the start of the lease term. This is discounted using an appropriate borrowing rate determined by the Group, where none is readily available in the lease contract. The lease liability is subsequently reduced by cash payments and increased by interest costs. The lease liability is remeasured when the Group assesses that there will be a change in the amount expected to be paid during the lease term. |
Derivatives and hedge accounting Derivatives are measured at fair value with any related transaction costs expensed as incurred. The treatment of changes in the value of derivatives depends on their use as explained below. (i) Fair value hedges(a) Certain derivatives are held to hedge the risk of changes in value of a specific bond or other loan. In these situations, the Group designates the liability and related derivative to be part of a fair value hedge relationship. The carrying value of the bond is adjusted by the fair value of the risk being hedged, with changes going to the income statement. Gains and losses on the corresponding derivative are also recognised in the income statement. The amounts recognised are offset in the income statement to the extent that the hedge is effective. Ineffectiveness may occur if the critical terms do not exactly match, or if there is a value adjustment resulting from a change in credit risk (in either the Group or the\u00a0counterparty to the derivative) that is not matched by the hedged item. When the relationship no longer meets the criteria for hedge accounting, the fair value hedge adjustment made to the bond is amortised to the income statement using the effective interest method. (ii) Cash flow hedges(a) Derivatives are also held to hedge the uncertainty in timing or amount of future forecast cash flows. Such derivatives are classified as being part of cash flow hedge relationships. For an effective hedge, gains and losses from changes in the fair value of derivatives are recognised in equity. Cost of hedging, where material and opted for, is recorded in a separate account within equity. Any ineffective elements of the hedge are recognised in the income statement. Ineffectiveness may occur if there are changes to the expected timing of the hedged transaction. If the hedged cash flow relates to a non-financial asset, the amount accumulated in equity is subsequently included within the carrying value of that asset. For other cash flow hedges, amounts deferred in equity are taken to the income statement at the same time as the related cash flow. When a derivative no longer qualifies for hedge accounting, any cumulative gain or loss remains in equity until the related cash flow occurs. When the\u00a0cash flow takes place, the cumulative gain or loss is taken to the income statement. If the hedged cash flow is no longer expected to occur, the cumulative gain or loss is taken to the income statement immediately. (iii) Net investment hedges(a) Certain derivatives are designated as hedges of the currency risk on the Group\u2019s investment in foreign subsidiaries. The accounting policy for these arrangements is set out in note 1. (iv) Derivatives for which hedge accounting is not applied Derivatives not classified as hedges are held in order to hedge certain balance sheet items and commodity exposures. No hedge accounting is applied to these derivatives, which are carried at fair value with changes being recognised in the income statement. | ||||
Cash and cash equivalents Cash and cash equivalents in the balance sheet include deposits, investments in money market funds and highly liquid investments. To be classified as cash and cash equivalents, an asset must: \u25a0 be readily convertible into cash; \u25a0 have an insignificant risk of changes in value; and \u25a0 have a maturity period of typically three months or less at acquisition. Cash and cash equivalents in the cash flow statement also include bank overdrafts and are recorded at amortised cost. | ||||
Other financial assets The Group classifies its financial assets into the following measurement categories: \u25a0 those to be measured subsequently at fair value (either through other comprehensive income, or through profit or loss), and \u25a0 those to be measured at amortised cost. This classification depends on our business model for managing the financial asset and the contractual terms of the cash flows. At initial recognition, the Group measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs that are directly attributable to the acquisition of the financial asset. Transaction costs of financial assets carried at fair value through profit or loss are expensed in the income statement. All financial assets are either debt instruments or equity instruments. Debt instruments are those that provide the Group with a contractual right to receive cash or another asset. Equity instruments are those where the Group has no contractual right to receive cash or another asset. | ||||
Debt instruments The subsequent measurement of debt instruments depends on the Group\u2019s business model for managing the asset and the cash flow characteristics of the asset. There are three measurement categories that debt instruments are classified as: \u25a0 financial assets at amortised cost; \u25a0 financial assets at fair value through other comprehensive income; or \u25a0 financial assets at fair value through profit or loss. (i) Amortised cost Assets measured at amortised cost are those which are held to collect contractual cash flows on the repayment of principal or interest (SPPI). A\u00a0gain or loss on a debt investment recognised at amortised cost on derecognition or impairment is recognised in the income statement. Interest income is recognised within finance income using the effective interest rate method. (ii) Fair value through other comprehensive income Assets that are held at fair value through other comprehensive income are those that are held to collect contractual cash flows on the repayment of principal and interest and which are held to recognise a capital gain through the sale of the asset. Movements in the carrying amount are recognised in other comprehensive income except for the recognition of impairment, interest income and foreign exchange gains or losses which are recognised in the income statement. On derecognition, the cumulative gain or loss recognised in other comprehensive income is reclassified from equity to the income statement. Interest income is included in finance income using the effective interest rate method. (iii) Fair value through profit or loss Assets that do not meet the criteria for either amortised cost or fair value through other comprehensive income are measured as fair value through profit or loss. Related transaction costs are expensed as incurred. Unless they form part of a hedging relationship, these assets are held at fair value, with changes being recognised in the income statement. Interest income from these assets is included within finance income. | ||||
Equity instruments The Group subsequently measures all equity instruments at fair value. Where the Group has elected to present fair value gains and losses on equity investments in other comprehensive income, there is no subsequent reclassification of fair value gains or losses to profit or loss. Dividends from these investments continue to be recognised in the income statement. | ||||
Impairment of financial assets Financial instruments classified as amortised cost and debt instruments classified as fair value through other comprehensive income are assessed for impairment. The Group assesses the probability of default of an asset at initial recognition and then whether there has been a significant increase in credit risk on an ongoing basis. To assess whether there is a significant increase in credit risk, the Group compares the risk of a default occurring on the asset as at the reporting date with the risk of default as at the date of initial recognition. It considers available reasonable and supportive forward-looking information. Macroeconomic information (such as market interest rates or growth rates) is also considered. Financial assets are written off when there is no reasonable expectation of recovery, such as a debtor failing to engage in a repayment plan with the company. Impairment losses on assets classified as amortised cost are recognised in the income statement. When a later event causes the impairment losses to decrease, the reduction in impairment loss is also recognised in the income statement. Permanent impairment losses on debt instruments classified as fair value through other comprehensive income are recognised in the income statement. |
Ordinary shares Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of ordinary shares are recognised as a deduction from equity, net of any tax effects. | ||||
Unification reserve The Group recognised a separate Unification Reserve within Equity as a result of PLC Share Premium that arose from Unification. | ||||
Other reserves Other reserves include the fair value reserve, the foreign currency translation reserve, the capital redemption reserve and treasury shares. | ||||
Shares held by employee share trusts and group companies An employee share trust and group companies purchase and hold shares to satisfy performance shares granted and other share awards (see note 4C). The assets and liabilities of the trust and shares held by the trust and group companies are included in the consolidated financial statements. The book value of shares held is deducted from other reserves, and the trust\u2019s borrowings are included in the Group\u2019s liabilities. The costs of the trust are included in the results of the Group. The shares held by the trust and group companies are excluded from the calculation of earnings per share. | ||||
Financial liabilities Financial liabilities are initially recognised at fair value, less any directly related transaction costs. When bonds are designated as being part of\u00a0a\u00a0fair value hedge relationship, in those cases bonds are carried at amortised cost, adjusted for the fair value of the risk being hedged, with changes in value shown in the income statement. Put options are initially recognised at the present value of the expected gross obligation, with changes in value being recognised in the income statement. Other financial liabilities, which includes put options, are subsequently carried at amortised cost, with the exception of: \u25a0 financial liabilities which the Group has elected to measure at fair value through profit or loss; \u25a0 contingent consideration recognised by an acquirer in a business combination to which IFRS 3 applies. Such contingent consideration is subsequently measured at fair value through profit or loss. | ||||
Lease liabilities Lease liabilities are initially measured at the present value of the lease payments that are not yet paid at the start of the lease term. This is discounted using an appropriate borrowing rate determined by the Group, where none is readily available in the lease contract. The lease liability is subsequently reduced by cash payments and increased by interest costs. The lease liability is remeasured when the Group assesses that there will be a change in the amount expected to be paid during the lease term. |
Unilever PLC | \u00a3 million 2025 | \u00a3 million 2024 |
Ordinary shares(a) | 76.3 | 78.4 |
Unilever Group | \u20ac million 2025 | \u20ac million 2024 |
Euro equivalent in millions (b) | 85 | 88 |
HUL balance sheet as at 31 December | \u20ac million 2025 | \u20ac million 2024 |
Non-current assets | 4,968 | 6,478 |
Current assets | 1,561 | 2,125 |
Current liabilities | (1,594) | (1,456) |
Non-current liabilities | (1,307) | (1,798) |
HUL comprehensive income for the year ended 31 December | \u20ac million 2025 | \u20ac million 2024 |
Turnover | 6,253 | 6,607 |
Profit after tax | 940 | 1,167 |
Total comprehensive income | 110 | 1,318 |
HUL cash flow for the year ended 31 December | \u20ac million 2025 | \u20ac million 2024 |
Net increase/(decrease) in cash and cash equivalents | (163) | 364 |
HUL non-controlling interest | \u20ac million 2025 | \u20ac million 2024 |
1 January | (2,044) | (2,048) |
Share of (profit)/loss for the year ended 31 December | (539) | (446) |
Other comprehensive income | 6 | 3 |
Dividend paid to the non-controlling interest | 582 | 511 |
Currency translation | 306 | (60) |
Other movements in equity | 120 | (4) |
31 December | (1,569) | (2,044) |
\u20ac million Total 2025 | \u20ac million Total 2024 | \u20ac million Total 2023 | |
Fair value reserves \u2013 see following table | 332 | 600 | 392 |
Currency retranslation of group companies \u2013 see following table | (8,284) | (7,026) | (7,432) |
Capital redemption reserve | 28 | 25 | 25 |
Book value of treasury shares \u2013 see following table | (36) | (37) | (207) |
Repurchase of shares | (3,769) | (2,259) | (6,034) |
Cancellation of PLC shares | 3,770 | \u2014 | 5,282 |
Other (a) | (305) | (602) | (544) |
(8,264) | (9,299) | (8,518) |
Treasury shares \u2013 movements during the year | \u20ac million 2025 | \u20ac million 2024 |
1 January | (2,296) | (959) |
Repurchase of shares | (1,510) | (1,508) |
Cancellation of PLC shares | 3,770 | \u2014 |
Other purchases and utilisations | 1 | 171 |
31 December | (35) | (2,296) |
Currency retranslation reserves \u2013 movements during the year | \u20ac million 2025 | \u20ac million 2024 |
1 January | (7,026) | (7,432) |
Currency retranslation of group companies' net assets and liabilities during the year | (1,522) | (419) |
Movement in net investment hedges and exchange differences in net investments in foreign operations | (796) | 280 |
Recycling of currency retranslation to the income statement on demerger of Ice Cream business | 1,036 | \u2014 |
Recycling of currency retranslation to the income statement on business disposals | 24 | 545 |
31 December | (8,284) | (7,026) |
Fair value reserves \u2013 movements during the year | \u20ac million 2025 | \u20ac million 2024 |
1 January | 600 | 392 |
Movements in Other comprehensive income, net of tax | ||
\u00a0 Gains/(losses) on equity instruments | (14) | 60 |
\u00a0 Gains/(losses) on cash flow hedges | (196) | 210 |
Hedging (gains)/losses transferred to non-financial assets | (58) | (62) |
31 December | 332 | 600 |
\u20ac million 2025 | \u20ac million 2024 | |
1 January | 84 | (180) |
Movement during the year | 176 | 264 |
31 December | 260 | 84 |
\u20ac million 2025 | \u20ac million 2024 | |
1 January | (5,955) | (7,344) |
Currency retranslation during the year: | ||
\u00a0 \u00a0 Other reserves | (1,258) | 406 |
\u00a0 \u00a0 Retained profit | (76) | 891 |
\u00a0 \u00a0 Non-controlling interest | (349) | 92 |
31 December | (7,638) | (5,955) |
HUL balance sheet as at 31 December | \u20ac million 2025 | \u20ac million 2024 |
Non-current assets | 4,968 | 6,478 |
Current assets | 1,561 | 2,125 |
Current liabilities | (1,594) | (1,456) |
Non-current liabilities | (1,307) | (1,798) |
HUL comprehensive income for the year ended 31 December | \u20ac million 2025 | \u20ac million 2024 |
Turnover | 6,253 | 6,607 |
Profit after tax | 940 | 1,167 |
Total comprehensive income | 110 | 1,318 |
HUL cash flow for the year ended 31 December | \u20ac million 2025 | \u20ac million 2024 |
Net increase/(decrease) in cash and cash equivalents | (163) | 364 |
HUL non-controlling interest | \u20ac million 2025 | \u20ac million 2024 |
1 January | (2,044) | (2,048) |
Share of (profit)/loss for the year ended 31 December | (539) | (446) |
Other comprehensive income | 6 | 3 |
Dividend paid to the non-controlling interest | 582 | 511 |
Currency translation | 306 | (60) |
Other movements in equity | 120 | (4) |
31 December | (1,569) | (2,044) |
Financial liabilities (a) | \u20ac million Current 2025 | \u20ac million Non- current 2025 | \u20ac million Total 2025 | \u20ac million Current 2024 | \u20ac million Non- current 2024 | \u20ac million Total 2024 |
Bank loans and overdrafts(b) | 229 | 4 | 233 | 517 | 4 | 521 |
Bonds and other loans | 1,951 | 24,087 | 26,038 | 5,363 | 23,285 | 28,648 |
Lease liabilities | 277 | 1,049 | 1,326 | 322 | 1,164 | 1,486 |
Derivatives | 48 | 404 | 452 | 152 | 442 | 594 |
Other financial liabilities (c) | 77 | 152 | 229 | 633 | 171 | 804 |
2,582 | 25,696 | 28,278 | 6,987 | 25,066 | 32,053 |
Non-cash movement | |||||||
Movements in 2025 and 2024 | \u20ac million Opening balance at 1 January | \u20ac million Cash movement(a) | \u20ac million Business acquisi- tions/ disposals | \u20ac million Foreign exchange changes | \u20ac million Fair value changes | \u20ac million Other movements | \u20ac million Closing balance at 31\u00a0December |
2025 | |||||||
Bank loans and overdrafts | (521) | 178 | 36 | 67 | \u2013 | 7 | (233) |
Bonds and other loans | (28,648) | (1,892) | 3,000 | 1,583 | (92) | 11 | (26,038) |
Lease liabilities(b) | (1,486) | 341 | 112 | 129 | \u2013 | (422) | (1,326) |
Derivatives | (594) | \u2013 | 31 | 23 | 88 | \u2013 | (452) |
Other financial liabilities | (804) | 24 | (51) | 93 | (60) | 569 | (229) |
Total | (32,053) | (1,349) | 3,128 | 1,895 | (64) | 165 | (28,278) |
2024 | |||||||
Bank loans and overdrafts | (506) | (52) | \u2013 | 2 | \u2013 | 35 | (521) |
Bonds and other loans | (26,692) | (1,119) | \u2013 | (755) | (5) | (77) | (28,648) |
Lease liabilities (b) | (1,395) | 385 | 21 | (24) | \u2013 | (473) | (1,486) |
Derivatives | (494) | \u2013 | \u2013 | (13) | (87) | \u2013 | (594) |
Other financial liabilities | (535) | 25 | (59) | (33) | (203) | 1 | (804) |
Total | (29,622) | (761) | (38) | (823) | (295) | (514) | (32,053) |
\u20ac million | Total 2025 | Total 2024 |
Unilever PLC | ||
1.875% Notes 2029 (\u00a3) | 285 | 300 |
1.500% Notes 2026 (\u00a3) | 573 | 602 |
1.500% Notes 2039 (\u20ac) | 647 | 647 |
2.125% Notes 2028 (\u00a3)(a) | 331 | 334 |
Total PLC | 1,836 | 1,883 |
Other group companies | ||
The Netherlands | ||
1.625% Notes 2033 (\u20ac) | 795 | 795 |
1.375% Notes 2029 (\u20ac) | 747 | 747 |
1.125% Bonds 2027 (\u20ac) | 699 | 699 |
1.125% Bonds 2028 (\u20ac) | 698 | 698 |
0.875% Notes 2025 (\u20ac) | \u2013 | 650 |
0.500% Bonds 2025 (\u20ac) | \u2013 | 650 |
1.375% Notes 2030 (\u20ac) | 647 | 646 |
1.000% Notes 2027 (\u20ac) | 600 | 599 |
1.250% Notes 2025 (\u20ac) | \u2013 | 1,000 |
1.750% Notes 2030 (\u20ac) | 997 | 997 |
1.250% Notes 2031 (\u20ac)(a) | 590 | 588 |
2.250% Notes 2034 (\u20ac)(a) | 776 | 793 |
0.750% Notes 2026 (\u20ac)(a) | 499 | 489 |
1.750% Notes 2028 (\u20ac) | 647 | 646 |
3.250% Notes 2031 (\u20ac) | 496 | 495 |
3.500% Notes 2035 (\u20ac) | 496 | 496 |
3.250% Notes 2032 (\u20ac) | 599 | 598 |
3.500% Notes 2037 (\u20ac) | 597 | 597 |
3.250% Notes 2032 (\u20ac) | 100 | 100 |
United States | ||
5.900% Bonds 2032 (US $) | 847 | 955 |
2.900% Notes 2027 (US $) | 850 | 956 |
3.500% Notes 2028 (US $) | 678 | 764 |
2.000% Notes 2026 (US $) | 596 | 671 |
3.100% Notes 2025 (US $) | \u2013 | 480 |
3.500% Bonds 2028 (US $) | 425 | 478 |
3.375% Notes 2025 (US $) | \u2013 | 336 |
7.250% Bonds 2026 (US $) | 254 | 285 |
6.625% Bonds 2028 (US $) | 206 | 231 |
5.600% Bonds 2097 (US $) | 78 | 88 |
2.125% Notes 2029 (US $) | 720 | 812 |
1.375% Notes 2030 (US $)(a) | 371 | 391 |
2.625% Notes 2051 (US $) | 544 | 613 |
1.750% Notes 2031 (US $)(a) | 632 | 670 |
3.300% Notes 2029 (\u20ac) | 549 | 549 |
3.400% Notes 2033 (\u20ac) | 695 | 694 |
4.875% Notes 2028 (US $) | 595 | 670 |
5.000% Notes 2033 (US $) | 675 | 760 |
4.750% Notes 2031 (US $) | 144 | 163 |
4.625% Bonds 2034 (US $) | 842 | 949 |
4.250% Bonds 2027 (US $) | 637 | 718 |
2.750% Notes 2030 (\u20ac) | 696 | \u2013 |
3.375% Notes 2035 (\u20ac) | 791 | \u2013 |
Floating Rate Notes 2027 (\u20ac) | 596 | \u2013 |
4.824% Bonds 2035 (US $) | 128 | \u2013 |
2.875% Notes 2032 (\u20ac) | 842 | \u2013 |
3.500% Notes 2037 (\u20ac) | 798 | \u2013 |
Commercial Paper (US $) | \u2013 | 2,158 |
Other countries | ||
Switzerland | 28 | 89 |
Others | 2 | 2 |
Total other group companies | 24,202 | 26,765 |
Total bonds and other loans | 26,038 | 28,648 |
Financial liabilities (a) | \u20ac million Current 2025 | \u20ac million Non- current 2025 | \u20ac million Total 2025 | \u20ac million Current 2024 | \u20ac million Non- current 2024 | \u20ac million Total 2024 |
Bank loans and overdrafts(b) | 229 | 4 | 233 | 517 | 4 | 521 |
Bonds and other loans | 1,951 | 24,087 | 26,038 | 5,363 | 23,285 | 28,648 |
Lease liabilities | 277 | 1,049 | 1,326 | 322 | 1,164 | 1,486 |
Derivatives | 48 | 404 | 452 | 152 | 442 | 594 |
Other financial liabilities (c) | 77 | 152 | 229 | 633 | 171 | 804 |
2,582 | 25,696 | 28,278 | 6,987 | 25,066 | 32,053 |
Non-cash movement | |||||||
Movements in 2025 and 2024 | \u20ac million Opening balance at 1 January | \u20ac million Cash movement(a) | \u20ac million Business acquisi- tions/ disposals | \u20ac million Foreign exchange changes | \u20ac million Fair value changes | \u20ac million Other movements | \u20ac million Closing balance at 31\u00a0December |
2025 | |||||||
Bank loans and overdrafts | (521) | 178 | 36 | 67 | \u2013 | 7 | (233) |
Bonds and other loans | (28,648) | (1,892) | 3,000 | 1,583 | (92) | 11 | (26,038) |
Lease liabilities(b) | (1,486) | 341 | 112 | 129 | \u2013 | (422) | (1,326) |
Derivatives | (594) | \u2013 | 31 | 23 | 88 | \u2013 | (452) |
Other financial liabilities | (804) | 24 | (51) | 93 | (60) | 569 | (229) |
Total | (32,053) | (1,349) | 3,128 | 1,895 | (64) | 165 | (28,278) |
2024 | |||||||
Bank loans and overdrafts | (506) | (52) | \u2013 | 2 | \u2013 | 35 | (521) |
Bonds and other loans | (26,692) | (1,119) | \u2013 | (755) | (5) | (77) | (28,648) |
Lease liabilities (b) | (1,395) | 385 | 21 | (24) | \u2013 | (473) | (1,486) |
Derivatives | (494) | \u2013 | \u2013 | (13) | (87) | \u2013 | (594) |
Other financial liabilities | (535) | 25 | (59) | (33) | (203) | 1 | (804) |
Total | (29,622) | (761) | (38) | (823) | (295) | (514) | (32,053) |
\u20ac million | Total 2025 | Total 2024 |
Unilever PLC | ||
1.875% Notes 2029 (\u00a3) | 285 | 300 |
1.500% Notes 2026 (\u00a3) | 573 | 602 |
1.500% Notes 2039 (\u20ac) | 647 | 647 |
2.125% Notes 2028 (\u00a3)(a) | 331 | 334 |
Total PLC | 1,836 | 1,883 |
Other group companies | ||
The Netherlands | ||
1.625% Notes 2033 (\u20ac) | 795 | 795 |
1.375% Notes 2029 (\u20ac) | 747 | 747 |
1.125% Bonds 2027 (\u20ac) | 699 | 699 |
1.125% Bonds 2028 (\u20ac) | 698 | 698 |
0.875% Notes 2025 (\u20ac) | \u2013 | 650 |
0.500% Bonds 2025 (\u20ac) | \u2013 | 650 |
1.375% Notes 2030 (\u20ac) | 647 | 646 |
1.000% Notes 2027 (\u20ac) | 600 | 599 |
1.250% Notes 2025 (\u20ac) | \u2013 | 1,000 |
1.750% Notes 2030 (\u20ac) | 997 | 997 |
1.250% Notes 2031 (\u20ac)(a) | 590 | 588 |
2.250% Notes 2034 (\u20ac)(a) | 776 | 793 |
0.750% Notes 2026 (\u20ac)(a) | 499 | 489 |
1.750% Notes 2028 (\u20ac) | 647 | 646 |
3.250% Notes 2031 (\u20ac) | 496 | 495 |
3.500% Notes 2035 (\u20ac) | 496 | 496 |
3.250% Notes 2032 (\u20ac) | 599 | 598 |
3.500% Notes 2037 (\u20ac) | 597 | 597 |
3.250% Notes 2032 (\u20ac) | 100 | 100 |
United States | ||
5.900% Bonds 2032 (US $) | 847 | 955 |
2.900% Notes 2027 (US $) | 850 | 956 |
3.500% Notes 2028 (US $) | 678 | 764 |
2.000% Notes 2026 (US $) | 596 | 671 |
3.100% Notes 2025 (US $) | \u2013 | 480 |
3.500% Bonds 2028 (US $) | 425 | 478 |
3.375% Notes 2025 (US $) | \u2013 | 336 |
7.250% Bonds 2026 (US $) | 254 | 285 |
6.625% Bonds 2028 (US $) | 206 | 231 |
5.600% Bonds 2097 (US $) | 78 | 88 |
2.125% Notes 2029 (US $) | 720 | 812 |
1.375% Notes 2030 (US $)(a) | 371 | 391 |
2.625% Notes 2051 (US $) | 544 | 613 |
1.750% Notes 2031 (US $)(a) | 632 | 670 |
3.300% Notes 2029 (\u20ac) | 549 | 549 |
3.400% Notes 2033 (\u20ac) | 695 | 694 |
4.875% Notes 2028 (US $) | 595 | 670 |
5.000% Notes 2033 (US $) | 675 | 760 |
4.750% Notes 2031 (US $) | 144 | 163 |
4.625% Bonds 2034 (US $) | 842 | 949 |
4.250% Bonds 2027 (US $) | 637 | 718 |
2.750% Notes 2030 (\u20ac) | 696 | \u2013 |
3.375% Notes 2035 (\u20ac) | 791 | \u2013 |
Floating Rate Notes 2027 (\u20ac) | 596 | \u2013 |
4.824% Bonds 2035 (US $) | 128 | \u2013 |
2.875% Notes 2032 (\u20ac) | 842 | \u2013 |
3.500% Notes 2037 (\u20ac) | 798 | \u2013 |
Commercial Paper (US $) | \u2013 | 2,158 |
Other countries | ||
Switzerland | 28 | 89 |
Others | 2 | 2 |
Total other group companies | 24,202 | 26,765 |
Total bonds and other loans | 26,038 | 28,648 |
Derivatives and hedge accounting Derivatives are measured at fair value with any related transaction costs expensed as incurred. The treatment of changes in the value of derivatives depends on their use as explained below. (i) Fair value hedges(a) Certain derivatives are held to hedge the risk of changes in value of a specific bond or other loan. In these situations, the Group designates the liability and related derivative to be part of a fair value hedge relationship. The carrying value of the bond is adjusted by the fair value of the risk being hedged, with changes going to the income statement. Gains and losses on the corresponding derivative are also recognised in the income statement. The amounts recognised are offset in the income statement to the extent that the hedge is effective. Ineffectiveness may occur if the critical terms do not exactly match, or if there is a value adjustment resulting from a change in credit risk (in either the Group or the\u00a0counterparty to the derivative) that is not matched by the hedged item. When the relationship no longer meets the criteria for hedge accounting, the fair value hedge adjustment made to the bond is amortised to the income statement using the effective interest method. (ii) Cash flow hedges(a) Derivatives are also held to hedge the uncertainty in timing or amount of future forecast cash flows. Such derivatives are classified as being part of cash flow hedge relationships. For an effective hedge, gains and losses from changes in the fair value of derivatives are recognised in equity. Cost of hedging, where material and opted for, is recorded in a separate account within equity. Any ineffective elements of the hedge are recognised in the income statement. Ineffectiveness may occur if there are changes to the expected timing of the hedged transaction. If the hedged cash flow relates to a non-financial asset, the amount accumulated in equity is subsequently included within the carrying value of that asset. For other cash flow hedges, amounts deferred in equity are taken to the income statement at the same time as the related cash flow. When a derivative no longer qualifies for hedge accounting, any cumulative gain or loss remains in equity until the related cash flow occurs. When the\u00a0cash flow takes place, the cumulative gain or loss is taken to the income statement. If the hedged cash flow is no longer expected to occur, the cumulative gain or loss is taken to the income statement immediately. (iii) Net investment hedges(a) Certain derivatives are designated as hedges of the currency risk on the Group\u2019s investment in foreign subsidiaries. The accounting policy for these arrangements is set out in note 1. (iv) Derivatives for which hedge accounting is not applied Derivatives not classified as hedges are held in order to hedge certain balance sheet items and commodity exposures. No hedge accounting is applied to these derivatives, which are carried at fair value with changes being recognised in the income statement. | ||||
Derivatives and hedge accounting Derivatives are measured at fair value with any related transaction costs expensed as incurred. The treatment of changes in the value of derivatives depends on their use as explained below. (i) Fair value hedges(a) Certain derivatives are held to hedge the risk of changes in value of a specific bond or other loan. In these situations, the Group designates the liability and related derivative to be part of a fair value hedge relationship. The carrying value of the bond is adjusted by the fair value of the risk being hedged, with changes going to the income statement. Gains and losses on the corresponding derivative are also recognised in the income statement. The amounts recognised are offset in the income statement to the extent that the hedge is effective. Ineffectiveness may occur if the critical terms do not exactly match, or if there is a value adjustment resulting from a change in credit risk (in either the Group or the\u00a0counterparty to the derivative) that is not matched by the hedged item. When the relationship no longer meets the criteria for hedge accounting, the fair value hedge adjustment made to the bond is amortised to the income statement using the effective interest method. (ii) Cash flow hedges(a) Derivatives are also held to hedge the uncertainty in timing or amount of future forecast cash flows. Such derivatives are classified as being part of cash flow hedge relationships. For an effective hedge, gains and losses from changes in the fair value of derivatives are recognised in equity. Cost of hedging, where material and opted for, is recorded in a separate account within equity. Any ineffective elements of the hedge are recognised in the income statement. Ineffectiveness may occur if there are changes to the expected timing of the hedged transaction. If the hedged cash flow relates to a non-financial asset, the amount accumulated in equity is subsequently included within the carrying value of that asset. For other cash flow hedges, amounts deferred in equity are taken to the income statement at the same time as the related cash flow. When a derivative no longer qualifies for hedge accounting, any cumulative gain or loss remains in equity until the related cash flow occurs. When the\u00a0cash flow takes place, the cumulative gain or loss is taken to the income statement. If the hedged cash flow is no longer expected to occur, the cumulative gain or loss is taken to the income statement immediately. (iii) Net investment hedges(a) Certain derivatives are designated as hedges of the currency risk on the Group\u2019s investment in foreign subsidiaries. The accounting policy for these arrangements is set out in note 1. (iv) Derivatives for which hedge accounting is not applied Derivatives not classified as hedges are held in order to hedge certain balance sheet items and commodity exposures. No hedge accounting is applied to these derivatives, which are carried at fair value with changes being recognised in the income statement. | ||||
Derivatives and hedge accounting Derivatives are measured at fair value with any related transaction costs expensed as incurred. The treatment of changes in the value of derivatives depends on their use as explained below. (i) Fair value hedges(a) Certain derivatives are held to hedge the risk of changes in value of a specific bond or other loan. In these situations, the Group designates the liability and related derivative to be part of a fair value hedge relationship. The carrying value of the bond is adjusted by the fair value of the risk being hedged, with changes going to the income statement. Gains and losses on the corresponding derivative are also recognised in the income statement. The amounts recognised are offset in the income statement to the extent that the hedge is effective. Ineffectiveness may occur if the critical terms do not exactly match, or if there is a value adjustment resulting from a change in credit risk (in either the Group or the\u00a0counterparty to the derivative) that is not matched by the hedged item. When the relationship no longer meets the criteria for hedge accounting, the fair value hedge adjustment made to the bond is amortised to the income statement using the effective interest method. (ii) Cash flow hedges(a) Derivatives are also held to hedge the uncertainty in timing or amount of future forecast cash flows. Such derivatives are classified as being part of cash flow hedge relationships. For an effective hedge, gains and losses from changes in the fair value of derivatives are recognised in equity. Cost of hedging, where material and opted for, is recorded in a separate account within equity. Any ineffective elements of the hedge are recognised in the income statement. Ineffectiveness may occur if there are changes to the expected timing of the hedged transaction. If the hedged cash flow relates to a non-financial asset, the amount accumulated in equity is subsequently included within the carrying value of that asset. For other cash flow hedges, amounts deferred in equity are taken to the income statement at the same time as the related cash flow. When a derivative no longer qualifies for hedge accounting, any cumulative gain or loss remains in equity until the related cash flow occurs. When the\u00a0cash flow takes place, the cumulative gain or loss is taken to the income statement. If the hedged cash flow is no longer expected to occur, the cumulative gain or loss is taken to the income statement immediately. (iii) Net investment hedges(a) Certain derivatives are designated as hedges of the currency risk on the Group\u2019s investment in foreign subsidiaries. The accounting policy for these arrangements is set out in note 1. (iv) Derivatives for which hedge accounting is not applied Derivatives not classified as hedges are held in order to hedge certain balance sheet items and commodity exposures. No hedge accounting is applied to these derivatives, which are carried at fair value with changes being recognised in the income statement. | ||||
Undiscounted cash flows | \u20ac\u00a0million Due within 1\u00a0year | \u20ac\u00a0million Due between 1 and 2\u00a0years | \u20ac\u00a0million Due between 2 and 3\u00a0years | \u20ac\u00a0million Due between 3 and 4\u00a0years | \u20ac\u00a0million Due between 4 and 5\u00a0years | \u20ac\u00a0million Due after 5\u00a0years | \u20ac\u00a0million Total | \u20ac\u00a0million Net\u00a0carrying amount as shown in balance sheet |
2025 | ||||||||
Non-derivative financial liabilities: | ||||||||
Bank loans and overdrafts | (245) | (3) | (1) | (1) | (1) | (1) | (252) | (233) |
Bonds and other loans | (2,701) | (4,065) | (4,188) | (2,819) | (3,226) | (14,470) | (31,469) | (26,038) |
Lease liabilities | (343) | (278) | (228) | (163) | (129) | (489) | (1,630) | (1,326) |
Other financial liabilities | (78) | (143) | (11) | (2) | \u2013 | \u2013 | (234) | (229) |
Trade payables, accruals and other liabilities | (16,297) | (55) | (12) | (24) | (3) | (24) | (16,415) | (16,413) |
Deferred consideration | (26) | (20) | \u2013 | \u2013 | \u2013 | \u2013 | (46) | (46) |
(19,690) | (4,564) | (4,440) | (3,009) | (3,359) | (14,984) | (50,046) | (44,285) | |
Derivative financial liabilities: | ||||||||
Interest rate derivatives: | (413) | |||||||
Derivative contracts \u2013 receipts | 243 | 1,032 | 511 | 140 | 139 | 2,951 | 5,016 | |
Derivative contracts \u2013 payments | (330) | (1,165) | (602) | (227) | (226) | (3,144) | (5,694) | |
Foreign exchange derivatives: | (80) | |||||||
Derivative contracts \u2013 receipts | 9,152 | 1 | \u2013 | \u2013 | \u2013 | \u2013 | 9,153 | |
Derivative contracts \u2013 payments | (9,267) | (2) | \u2013 | \u2013 | \u2013 | \u2013 | (9,269) | |
Commodity derivatives: | (10) | |||||||
Derivative contracts \u2013 receipts | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | |
Derivative contracts \u2013 payments | (10) | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | (10) | |
(212) | (134) | (91) | (87) | (87) | (193) | (804) | (503) | |
Total | (19,902) | (4,698) | (4,531) | (3,096) | (3,446) | (15,177) | (50,850) | (44,788) |
2024 | ||||||||
Non-derivative financial liabilities: | ||||||||
Bank loans and overdrafts | (535) | (1) | (1) | (1) | (1) | (7) | (546) | (521) |
Bonds and other loans | (6,041) | (2,710) | (3,552) | (4,348) | (2,817) | (14,513) | (33,981) | (28,648) |
Lease liabilities | (389) | (322) | (257) | (207) | (147) | (479) | (1,801) | (1,486) |
Other financial liabilities | (633) | (41) | (131) | \u2013 | (2) | \u2013 | (807) | (804) |
Trade payables, accruals and other liabilities | (16,064) | (110) | (25) | (35) | (6) | (26) | (16,266) | (16,265) |
Deferred consideration | (16) | (1) | \u2013 | \u2013 | \u2013 | \u2013 | (17) | (17) |
(23,678) | (3,185) | (3,966) | (4,591) | (2,973) | (15,025) | (53,418) | (47,741) | |
Derivative financial liabilities: | ||||||||
Interest rate derivatives: | (442) | |||||||
Derivative contracts \u2013 receipts | 71 | 71 | 192 | 192 | 184 | 408 | 1,118 | |
Derivative contracts \u2013 payments | (178) | (142) | (257) | (260) | (244) | (525) | (1,606) | |
Foreign exchange derivatives: | (188) | |||||||
Derivative contracts \u2013 receipts | 5,641 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | 5,641 | |
Derivative contracts \u2013 payments | (5,867) | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | (5,867) | |
Commodity derivatives: | (20) | |||||||
Derivative contracts \u2013 receipts | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | |
Derivative contracts \u2013 payments | (20) | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | (20) | |
(353) | (71) | (65) | (68) | (60) | (117) | (734) | (650) | |
Total | (24,031) | (3,256) | (4,031) | (4,659) | (3,033) | (15,142) | (54,152) | (48,391) |
\u20ac million Due within 1 year | \u20ac million Due between 1 and 2 years | \u20ac million Due between 2 and 3 years | \u20ac million Due between 3 and 4 years | \u20ac million Due between 4 and 5 years | \u20ac million Due after 5 years | \u20ac million Total | \u20ac million Net carrying amount of related derivatives(a) | |
2025 | ||||||||
Foreign exchange cash inflows | 1,795 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | 1,795 | \u2013 |
Foreign exchange cash outflows | (1,843) | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | (1,843) | (25) |
Interest rate swaps cash inflows | 180 | 1,617 | 141 | 691 | 822 | 3,601 | 7,052 | 15 |
Interest rate swaps cash outflows | (233) | (1,733) | (197) | (698) | (846) | (3,672) | (7,379) | \u2013 |
Commodity contracts cash inflows | 3 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | 3 | 3 |
Commodity contracts cash outflows | (10) | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | (10) | (10) |
2024 | ||||||||
Foreign exchange cash inflows | 2,717 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | 2,717 | \u2013 |
Foreign exchange cash outflows | (2,696) | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | (2,696) | 31 |
Interest rate swaps cash inflows | 70 | 70 | 1,017 | 42 | 592 | 795 | 2,586 | 55 |
Interest rate swaps cash outflows | (71) | (71) | (982) | (58) | (624) | (852) | (2,658) | \u2013 |
Commodity contracts cash inflows | 126 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | 126 | 126 |
Commodity contracts cash outflows | (20) | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | (20) | (20) |
Potential impact of risk\u00a0 | Management policy and hedging strategy\u00a0 | Sensitivity to the risk\u00a0 | ||||
(i) Commodity price risk The Group is exposed to the risk of changes in commodity prices in relation to its purchase of\u00a0certain raw materials. At 31 December 2025 , the Group had hedged its exposure to future commodity purchases with commodity derivatives valued at \u20ac284 \u00a0million (2024 : \u20ac660 million). Hedges of future commodity purchases resulted in cumulative gains of \u20ac83 \u00a0million (2024: gain of \u20ac27\u00a0million) being reclassified to the income statement and gains of \u20ac28 \u00a0million (2024: gain of \u20ac11 million) being\u00a0recognised as a basis adjustment to inventory purchased. | The Group uses commodity forwards, futures, swaps and option contracts to hedge against this risk. All commodity forward contracts hedge future purchases of raw materials and\u00a0the contracts are settled either in cash or\u00a0by physical delivery. The Group also hedges risk components of commodities where it is not possible to hedge the commodity in full. This is done with reference to the contract to purchase the hedged commodity. Commodity derivatives are generally designated as hedging instruments in cash\u00a0flow hedge accounting relations. All commodity derivative hedging is done in line with CRM policy approved by the Chief Financial Officer and Chief Supply Chain Officer. | A 10% increase in commodity prices as at 31 December 2025 would have led to a\u00a0\u20ac 38 \u00a0million gain on the commodity derivatives in the cash flow hedge reserve ( 2024: \u20ac81\u00a0million gain in the cash flow hedge\u00a0reserve). A decrease of 10% in commodity prices on a\u00a0full-year basis would have the equal but opposite effect. | ||||
(ii) Currency risk Currency risk on sales, purchases and borrowings Because of Unilever\u2019s global reach, it is subject to the risk that changes in foreign currency values impact the Group\u2019s sales, purchases and borrowings. At 31 December 2025, the exposure to the Group from companies holding financial assets and liabilities other than in their functional currency amounted to \u20ac139\u00a0million (2024: \u20ac351 million). | The Group manages currency exposures within prescribed limits, mainly through the use of forward foreign currency exchange contracts. Operating companies manage foreign exchange exposures within prescribed limits. The aim of the Group\u2019s approach to management of currency risk is to leave the\u00a0Group with no material residual risk. | As an estimation of the approximate impact of\u00a0the residual risk, with respect to financial instruments, the Group has calculated the impact of a 10% change in exchange rates. Impact on income statement A 10% strengthening of the foreign currencies against the respective functional currencies of\u00a0group companies would have led to approximately an additional \u20ac14\u00a0million loss\u00a0in the income statement (2024: \u20ac35\u00a0million loss). A 10% weakening of the foreign currencies against the respective functional currencies of group companies would have led to an equal but opposite effect. Impact on equity \u2013 trade-related cash flow hedges A 10% strengthening of foreign currencies against the respective functional currencies of\u00a0group companies hedging future trade cash\u00a0flows and applying cash flow hedge accounting, would have led to \u20ac66\u00a0million loss (2024: \u20ac158\u00a0million loss) in equity. A 10% weakening of the same would have led\u00a0to an equal but opposite effect. |
As at year end, the Group had the below notional amount of currency derivatives outstanding to which cash flow hedge accounting is applied: | ||||||
Currency | \u20ac million 2025 | \u20ac million 2024 | ||||
EUR* | (18) | (1,014) | ||||
GBP | (560) | (404) | ||||
USD | 242 | 306 | ||||
SEK | (72) | (87) | ||||
CAD | (109) | (194) | ||||
SGD | 62 | 68 | ||||
Others | (206) | (260) | ||||
Total | (661) | (1,585) | ||||
*\u00a0 \u00a0 Euro exposure relates to group companies having non-euro functional currencies. |
Potential impact of risk | Management policy and hedging strategy\u00a0 | Sensitivity to the risk\u00a0 | ||||||
Currency risk on the Group\u2019s net investments The Group is also subject to currency risk in relation to the translation of the net investments of its foreign operations into euros for inclusion in its consolidated financial statements. These net investments include Group financial loans, which are monetary items that form part of our net investment in foreign operations, of \u20ac 4.4\u00a0billion (2024 : \u20ac7.9 billion), of\u00a0which \u20ac3.1 billion (2024: \u20ac3.5 billion) is denominated in USD and nil in GBP (2024: \u20ac3.1 billion). In accordance with IAS\u00a021, the exchange differences on these financial loans are booked through reserves. Part of the currency exposure on the Group\u2019s investments is also managed using net investment hedges for the currencies listed below, with nominal values as stated below. | Unilever aims to minimise this currency risk on\u00a0the Group\u2019s net investment exposure by borrowing in local currency in the operating companies themselves. In some locations, however, the Group\u2019s ability to do this is inhibited by local regulations, lack of local liquidity or by local market conditions. Treasury may decide on a case-by-case basis to actively hedge the currency exposure from net investment in foreign operations. This is done either through additional borrowings in\u00a0the related currency, or through the use of foreign exchange derivative contracts. Where local currency borrowings, or derivative contracts, are used to hedge the currency risk in relation to the Group\u2019s net investment in foreign subsidiaries, these relationships are designated as net investment hedges for accounting purposes. Exchange risk related to the principal amount of the USD denominated debt either forms part of hedging relationship itself, or is hedged through forward contracts. | Impact on equity \u2013 net investment hedges A 10% strengthening of the euro against other currencies would have led to \u20ac43\u00a0million (2024:\u00a0\u20ac162 million) loss in the equity on the net\u00a0investment hedges used to\u00a0manage the currency exposure on the Group\u2019s investments. A 10% weakening of the euro against other currencies would have led to an equal but opposite effect. Impact on equity \u2013 net investments in group companies A 10% strengthening of the euro against all other currencies would have led to \u20ac2,160 million negative retranslation effect (2024: \u20ac2,600 million negative retranslation effect). A 10% weakening of the euro against all other currencies would have led to an equal but opposite effect. In line with accepted hedge accounting treatment and our accounting policy for financial loans, the retranslation differences would be recognised in equity. | ||||||
Currency | \u20ac million 2025 | \u20ac million 2024 | ||||||
USD | 2,762 | 3,023 | ||||||
CNY | (999) | (1,081) | ||||||
ILS | (338) | (323) | ||||||
TRY | (245) | \u2013 | ||||||
CHF | (750) | \u2013 | ||||||
At 31 December 2025, the net exposure of the net investments in foreign currencies amounts to \u20ac21.6\u00a0billion (2024: \u20ac26.0 billion). | ||||||||
(iii) Interest rate risk(a) The Group is exposed to market interest rate fluctuations on its floating-rate debt. Increases in benchmark interest rates could increase the interest cost of our floating-rate debt and increase the cost of future borrowings. The Group\u2019s ability to manage interest costs also has\u00a0an impact on reported results. The Group does not have any material floating interest-bearing financial assets or any significant long-term fixed interest-bearing financial assets. Consequently, the Group\u2019s interest rate risk arises mainly from financial liabilities other than lease liabilities. Taking into account the impact of interest rate swaps, at 31 December 2025, interest rates were fixed on approximately 84% of the expected financial liabilities (excluding lease liabilities) for 2026, and 71% for 2027 (76% for 2025 and 68% for 2026 at 31 December 2024). As at year end, the Group had the below notional amount of interest rate derivatives outstanding on which hedge accounting is applied: | Unilever\u2019s interest rate management approach aims for an optimal balance between fixed- and\u00a0floating-rate interest rate exposures on expected financial liabilities. The objective of this approach is to minimise annual interest\u00a0costs. This is achieved either by issuing fixed- or floating-rate long-term debt, or by modifying interest rate exposure through the use of interest rate swaps. The majority of the Group\u2019s existing interest rate derivatives are designated as fair value hedges and are expected to be effective. The fair value movement of these derivatives is recognised in the income statement, along with any changes in the relevant fair value of the underlying hedged asset or liability. | Impact on income statement Assuming that all other variables remain constant, a 1.0 percentage point increase in floating interest rates on a full-year basis as at\u00a031 December 2025 would have led to an additional \u20ac47 \u00a0million of additional finance cost ( 2024: \u20ac94\u00a0million additional finance costs). A 1.0 percentage point decrease in floating interest rates on a full-year basis would have led to an equal but opposite effect. Assuming that all other variables remain constant, a 1.0 percentage point increase in\u00a0interest rates on a full-year basis as at 31 December 2025 would have led to an additional \u20ac20\u00a0million of additional finance costs related to net investment hedge interest rate swaps (2024: \u20ac12 million cost). A 1.0 percentage point decrease in interest rates on a full-year basis would have led to an\u00a0additional \u20ac22 million of finance income related to net investment hedge interest rate swaps (2024: \u20ac12 million income). Impact on equity \u2013 cash flow hedges Assuming that all other variables remain constant, a 1.0 percentage point increase in\u00a0interest rates on a full-year basis as at 31 December 2025 would have led to an additional \u20ac6\u00a0million debit in equity from derivatives in cash flow hedge relationships (2024: \u20ac5\u00a0million credit). A 1.0 percentage point decrease in interest rates on a full-year basis would have led to an\u00a0additional \u20ac7\u00a0million credit in equity from derivatives in cash flow hedge relationships (2024: \u20ac5\u00a0million debit). | ||||||
Cash flow hedge | \u20ac million 2025 | \u20ac million 2024 | ||||||
Fair value hedge | ||||||||
Net investment hedge | ||||||||
For interest management purposes, transactions with a maturity shorter than six months from inception date are not included as fixed interest transactions. The average interest rate on short-term borrowings in 2025 was 4.3% (2024 : 6.3%). |
\u20ac million 2025 | \u20ac million 2024 | |
Current financial liabilities | (2,582) | (6,987) |
Non-current financial liabilities | (25,696) | (25,066) |
Total financial liabilities | (28,278) | (32,053) |
Less: lease liabilities | (1,326) | (1,486) |
Financial liabilities (excluding lease liabilities) | 26,952 | 30,567 |
Of which: | ||
Fixed rate (weighted average amount of fixing for the following year) | (22,228) | (21,151) |
Undiscounted cash flows | \u20ac\u00a0million Due within 1\u00a0year | \u20ac\u00a0million Due between 1 and 2\u00a0years | \u20ac\u00a0million Due between 2 and 3\u00a0years | \u20ac\u00a0million Due between 3 and 4\u00a0years | \u20ac\u00a0million Due between 4 and 5\u00a0years | \u20ac\u00a0million Due after 5\u00a0years | \u20ac\u00a0million Total | \u20ac\u00a0million Net\u00a0carrying amount as shown in balance sheet |
2025 | ||||||||
Non-derivative financial liabilities: | ||||||||
Bank loans and overdrafts | (245) | (3) | (1) | (1) | (1) | (1) | (252) | (233) |
Bonds and other loans | (2,701) | (4,065) | (4,188) | (2,819) | (3,226) | (14,470) | (31,469) | (26,038) |
Lease liabilities | (343) | (278) | (228) | (163) | (129) | (489) | (1,630) | (1,326) |
Other financial liabilities | (78) | (143) | (11) | (2) | \u2013 | \u2013 | (234) | (229) |
Trade payables, accruals and other liabilities | (16,297) | (55) | (12) | (24) | (3) | (24) | (16,415) | (16,413) |
Deferred consideration | (26) | (20) | \u2013 | \u2013 | \u2013 | \u2013 | (46) | (46) |
(19,690) | (4,564) | (4,440) | (3,009) | (3,359) | (14,984) | (50,046) | (44,285) | |
Derivative financial liabilities: | ||||||||
Interest rate derivatives: | (413) | |||||||
Derivative contracts \u2013 receipts | 243 | 1,032 | 511 | 140 | 139 | 2,951 | 5,016 | |
Derivative contracts \u2013 payments | (330) | (1,165) | (602) | (227) | (226) | (3,144) | (5,694) | |
Foreign exchange derivatives: | (80) | |||||||
Derivative contracts \u2013 receipts | 9,152 | 1 | \u2013 | \u2013 | \u2013 | \u2013 | 9,153 | |
Derivative contracts \u2013 payments | (9,267) | (2) | \u2013 | \u2013 | \u2013 | \u2013 | (9,269) | |
Commodity derivatives: | (10) | |||||||
Derivative contracts \u2013 receipts | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | |
Derivative contracts \u2013 payments | (10) | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | (10) | |
(212) | (134) | (91) | (87) | (87) | (193) | (804) | (503) | |
Total | (19,902) | (4,698) | (4,531) | (3,096) | (3,446) | (15,177) | (50,850) | (44,788) |
2024 | ||||||||
Non-derivative financial liabilities: | ||||||||
Bank loans and overdrafts | (535) | (1) | (1) | (1) | (1) | (7) | (546) | (521) |
Bonds and other loans | (6,041) | (2,710) | (3,552) | (4,348) | (2,817) | (14,513) | (33,981) | (28,648) |
Lease liabilities | (389) | (322) | (257) | (207) | (147) | (479) | (1,801) | (1,486) |
Other financial liabilities | (633) | (41) | (131) | \u2013 | (2) | \u2013 | (807) | (804) |
Trade payables, accruals and other liabilities | (16,064) | (110) | (25) | (35) | (6) | (26) | (16,266) | (16,265) |
Deferred consideration | (16) | (1) | \u2013 | \u2013 | \u2013 | \u2013 | (17) | (17) |
(23,678) | (3,185) | (3,966) | (4,591) | (2,973) | (15,025) | (53,418) | (47,741) | |
Derivative financial liabilities: | ||||||||
Interest rate derivatives: | (442) | |||||||
Derivative contracts \u2013 receipts | 71 | 71 | 192 | 192 | 184 | 408 | 1,118 | |
Derivative contracts \u2013 payments | (178) | (142) | (257) | (260) | (244) | (525) | (1,606) | |
Foreign exchange derivatives: | (188) | |||||||
Derivative contracts \u2013 receipts | 5,641 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | 5,641 | |
Derivative contracts \u2013 payments | (5,867) | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | (5,867) | |
Commodity derivatives: | (20) | |||||||
Derivative contracts \u2013 receipts | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | |
Derivative contracts \u2013 payments | (20) | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | (20) | |
(353) | (71) | (65) | (68) | (60) | (117) | (734) | (650) | |
Total | (24,031) | (3,256) | (4,031) | (4,659) | (3,033) | (15,142) | (54,152) | (48,391) |
\u20ac million Due within 1 year | \u20ac million Due between 1 and 2 years | \u20ac million Due between 2 and 3 years | \u20ac million Due between 3 and 4 years | \u20ac million Due between 4 and 5 years | \u20ac million Due after 5 years | \u20ac million Total | \u20ac million Net carrying amount of related derivatives(a) | |
2025 | ||||||||
Foreign exchange cash inflows | 1,795 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | 1,795 | \u2013 |
Foreign exchange cash outflows | (1,843) | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | (1,843) | (25) |
Interest rate swaps cash inflows | 180 | 1,617 | 141 | 691 | 822 | 3,601 | 7,052 | 15 |
Interest rate swaps cash outflows | (233) | (1,733) | (197) | (698) | (846) | (3,672) | (7,379) | \u2013 |
Commodity contracts cash inflows | 3 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | 3 | 3 |
Commodity contracts cash outflows | (10) | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | (10) | (10) |
2024 | ||||||||
Foreign exchange cash inflows | 2,717 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | 2,717 | \u2013 |
Foreign exchange cash outflows | (2,696) | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | (2,696) | 31 |
Interest rate swaps cash inflows | 70 | 70 | 1,017 | 42 | 592 | 795 | 2,586 | 55 |
Interest rate swaps cash outflows | (71) | (71) | (982) | (58) | (624) | (852) | (2,658) | \u2013 |
Commodity contracts cash inflows | 126 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | 126 | 126 |
Commodity contracts cash outflows | (20) | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | (20) | (20) |
Potential impact of risk\u00a0 | Management policy and hedging strategy\u00a0 | Sensitivity to the risk\u00a0 | ||||
(i) Commodity price risk The Group is exposed to the risk of changes in commodity prices in relation to its purchase of\u00a0certain raw materials. At 31 December 2025 , the Group had hedged its exposure to future commodity purchases with commodity derivatives valued at \u20ac284 \u00a0million (2024 : \u20ac660 million). Hedges of future commodity purchases resulted in cumulative gains of \u20ac83 \u00a0million (2024: gain of \u20ac27\u00a0million) being reclassified to the income statement and gains of \u20ac28 \u00a0million (2024: gain of \u20ac11 million) being\u00a0recognised as a basis adjustment to inventory purchased. | The Group uses commodity forwards, futures, swaps and option contracts to hedge against this risk. All commodity forward contracts hedge future purchases of raw materials and\u00a0the contracts are settled either in cash or\u00a0by physical delivery. The Group also hedges risk components of commodities where it is not possible to hedge the commodity in full. This is done with reference to the contract to purchase the hedged commodity. Commodity derivatives are generally designated as hedging instruments in cash\u00a0flow hedge accounting relations. All commodity derivative hedging is done in line with CRM policy approved by the Chief Financial Officer and Chief Supply Chain Officer. | A 10% increase in commodity prices as at 31 December 2025 would have led to a\u00a0\u20ac 38 \u00a0million gain on the commodity derivatives in the cash flow hedge reserve ( 2024: \u20ac81\u00a0million gain in the cash flow hedge\u00a0reserve). A decrease of 10% in commodity prices on a\u00a0full-year basis would have the equal but opposite effect. | ||||
(ii) Currency risk Currency risk on sales, purchases and borrowings Because of Unilever\u2019s global reach, it is subject to the risk that changes in foreign currency values impact the Group\u2019s sales, purchases and borrowings. At 31 December 2025, the exposure to the Group from companies holding financial assets and liabilities other than in their functional currency amounted to \u20ac139\u00a0million (2024: \u20ac351 million). | The Group manages currency exposures within prescribed limits, mainly through the use of forward foreign currency exchange contracts. Operating companies manage foreign exchange exposures within prescribed limits. The aim of the Group\u2019s approach to management of currency risk is to leave the\u00a0Group with no material residual risk. | As an estimation of the approximate impact of\u00a0the residual risk, with respect to financial instruments, the Group has calculated the impact of a 10% change in exchange rates. Impact on income statement A 10% strengthening of the foreign currencies against the respective functional currencies of\u00a0group companies would have led to approximately an additional \u20ac14\u00a0million loss\u00a0in the income statement (2024: \u20ac35\u00a0million loss). A 10% weakening of the foreign currencies against the respective functional currencies of group companies would have led to an equal but opposite effect. Impact on equity \u2013 trade-related cash flow hedges A 10% strengthening of foreign currencies against the respective functional currencies of\u00a0group companies hedging future trade cash\u00a0flows and applying cash flow hedge accounting, would have led to \u20ac66\u00a0million loss (2024: \u20ac158\u00a0million loss) in equity. A 10% weakening of the same would have led\u00a0to an equal but opposite effect. |
As at year end, the Group had the below notional amount of currency derivatives outstanding to which cash flow hedge accounting is applied: | ||||||
Currency | \u20ac million 2025 | \u20ac million 2024 | ||||
EUR* | (18) | (1,014) | ||||
GBP | (560) | (404) | ||||
USD | 242 | 306 | ||||
SEK | (72) | (87) | ||||
CAD | (109) | (194) | ||||
SGD | 62 | 68 | ||||
Others | (206) | (260) | ||||
Total | (661) | (1,585) | ||||
*\u00a0 \u00a0 Euro exposure relates to group companies having non-euro functional currencies. |
Potential impact of risk | Management policy and hedging strategy\u00a0 | Sensitivity to the risk\u00a0 | ||||||
Currency risk on the Group\u2019s net investments The Group is also subject to currency risk in relation to the translation of the net investments of its foreign operations into euros for inclusion in its consolidated financial statements. These net investments include Group financial loans, which are monetary items that form part of our net investment in foreign operations, of \u20ac 4.4\u00a0billion (2024 : \u20ac7.9 billion), of\u00a0which \u20ac3.1 billion (2024: \u20ac3.5 billion) is denominated in USD and nil in GBP (2024: \u20ac3.1 billion). In accordance with IAS\u00a021, the exchange differences on these financial loans are booked through reserves. Part of the currency exposure on the Group\u2019s investments is also managed using net investment hedges for the currencies listed below, with nominal values as stated below. | Unilever aims to minimise this currency risk on\u00a0the Group\u2019s net investment exposure by borrowing in local currency in the operating companies themselves. In some locations, however, the Group\u2019s ability to do this is inhibited by local regulations, lack of local liquidity or by local market conditions. Treasury may decide on a case-by-case basis to actively hedge the currency exposure from net investment in foreign operations. This is done either through additional borrowings in\u00a0the related currency, or through the use of foreign exchange derivative contracts. Where local currency borrowings, or derivative contracts, are used to hedge the currency risk in relation to the Group\u2019s net investment in foreign subsidiaries, these relationships are designated as net investment hedges for accounting purposes. Exchange risk related to the principal amount of the USD denominated debt either forms part of hedging relationship itself, or is hedged through forward contracts. | Impact on equity \u2013 net investment hedges A 10% strengthening of the euro against other currencies would have led to \u20ac43\u00a0million (2024:\u00a0\u20ac162 million) loss in the equity on the net\u00a0investment hedges used to\u00a0manage the currency exposure on the Group\u2019s investments. A 10% weakening of the euro against other currencies would have led to an equal but opposite effect. Impact on equity \u2013 net investments in group companies A 10% strengthening of the euro against all other currencies would have led to \u20ac2,160 million negative retranslation effect (2024: \u20ac2,600 million negative retranslation effect). A 10% weakening of the euro against all other currencies would have led to an equal but opposite effect. In line with accepted hedge accounting treatment and our accounting policy for financial loans, the retranslation differences would be recognised in equity. | ||||||
Currency | \u20ac million 2025 | \u20ac million 2024 | ||||||
USD | 2,762 | 3,023 | ||||||
CNY | (999) | (1,081) | ||||||
ILS | (338) | (323) | ||||||
TRY | (245) | \u2013 | ||||||
CHF | (750) | \u2013 | ||||||
At 31 December 2025, the net exposure of the net investments in foreign currencies amounts to \u20ac21.6\u00a0billion (2024: \u20ac26.0 billion). | ||||||||
(iii) Interest rate risk(a) The Group is exposed to market interest rate fluctuations on its floating-rate debt. Increases in benchmark interest rates could increase the interest cost of our floating-rate debt and increase the cost of future borrowings. The Group\u2019s ability to manage interest costs also has\u00a0an impact on reported results. The Group does not have any material floating interest-bearing financial assets or any significant long-term fixed interest-bearing financial assets. Consequently, the Group\u2019s interest rate risk arises mainly from financial liabilities other than lease liabilities. Taking into account the impact of interest rate swaps, at 31 December 2025, interest rates were fixed on approximately 84% of the expected financial liabilities (excluding lease liabilities) for 2026, and 71% for 2027 (76% for 2025 and 68% for 2026 at 31 December 2024). As at year end, the Group had the below notional amount of interest rate derivatives outstanding on which hedge accounting is applied: | Unilever\u2019s interest rate management approach aims for an optimal balance between fixed- and\u00a0floating-rate interest rate exposures on expected financial liabilities. The objective of this approach is to minimise annual interest\u00a0costs. This is achieved either by issuing fixed- or floating-rate long-term debt, or by modifying interest rate exposure through the use of interest rate swaps. The majority of the Group\u2019s existing interest rate derivatives are designated as fair value hedges and are expected to be effective. The fair value movement of these derivatives is recognised in the income statement, along with any changes in the relevant fair value of the underlying hedged asset or liability. | Impact on income statement Assuming that all other variables remain constant, a 1.0 percentage point increase in floating interest rates on a full-year basis as at\u00a031 December 2025 would have led to an additional \u20ac47 \u00a0million of additional finance cost ( 2024: \u20ac94\u00a0million additional finance costs). A 1.0 percentage point decrease in floating interest rates on a full-year basis would have led to an equal but opposite effect. Assuming that all other variables remain constant, a 1.0 percentage point increase in\u00a0interest rates on a full-year basis as at 31 December 2025 would have led to an additional \u20ac20\u00a0million of additional finance costs related to net investment hedge interest rate swaps (2024: \u20ac12 million cost). A 1.0 percentage point decrease in interest rates on a full-year basis would have led to an\u00a0additional \u20ac22 million of finance income related to net investment hedge interest rate swaps (2024: \u20ac12 million income). Impact on equity \u2013 cash flow hedges Assuming that all other variables remain constant, a 1.0 percentage point increase in\u00a0interest rates on a full-year basis as at 31 December 2025 would have led to an additional \u20ac6\u00a0million debit in equity from derivatives in cash flow hedge relationships (2024: \u20ac5\u00a0million credit). A 1.0 percentage point decrease in interest rates on a full-year basis would have led to an\u00a0additional \u20ac7\u00a0million credit in equity from derivatives in cash flow hedge relationships (2024: \u20ac5\u00a0million debit). | ||||||
Cash flow hedge | \u20ac million 2025 | \u20ac million 2024 | ||||||
Fair value hedge | ||||||||
Net investment hedge | ||||||||
For interest management purposes, transactions with a maturity shorter than six months from inception date are not included as fixed interest transactions. The average interest rate on short-term borrowings in 2025 was 4.3% (2024 : 6.3%). |
\u20ac million 2025 | \u20ac million 2024 | |
Current financial liabilities | (2,582) | (6,987) |
Non-current financial liabilities | (25,696) | (25,066) |
Total financial liabilities | (28,278) | (32,053) |
Less: lease liabilities | (1,326) | (1,486) |
Financial liabilities (excluding lease liabilities) | 26,952 | 30,567 |
Of which: | ||
Fixed rate (weighted average amount of fixing for the following year) | (22,228) | (21,151) |
\u20ac million Trade and other receivables | \u20ac million Current financial assets | \u20ac million Non-current financial assets | \u20ac million Trade payables and other liabilities | \u20ac million Current financial liabilities | \u20ac million Non-current financial liabilities | \u20ac million Total | |||
31 December 2025 | |||||||||
Foreign exchange derivatives | |||||||||
Fair value hedges | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | ||
Cash flow hedges | 5 | \u2013 | \u2013 | (30) | \u2013 | \u2013 | (25) | ||
Hedges on the net investment in foreign operations | \u2013 | 12 | (a) | \u2013 | \u2013 | (36) | (a) | \u2013 | (24) |
Hedge accounting not applied | 12 | 38 | (a) | 4 | (11) | (3) | (a) | \u2013 | 40 |
Interest rate derivatives | |||||||||
Fair value hedges | \u2013 | \u2013 | \u2013 | \u2013 | (9) | (295) | (304) | ||
Cash flow hedges | \u2013 | \u2013 | 117 | \u2013 | \u2013 | (102) | 15 | ||
Hedges on the net investment in foreign operations | \u2013 | \u2013 | 19 | \u2013 | \u2013 | \u2013 | 19 | ||
Hedge accounting not applied | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | (7) | (7) | ||
Commodity contracts | |||||||||
Cash flow hedges | 3 | \u2013 | \u2013 | (10) | \u2013 | \u2013 | (7) | ||
Hedge accounting not applied | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | ||
20 | 50 | 140 | (51) | (48) | (404) | (293) | |||
Total assets | 210 | Total liabilities | (503) | (293) | |||||
31 December 2024 | |||||||||
Foreign exchange derivatives | |||||||||
Fair value hedges | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | ||
Cash flow hedges | 59 | \u2013 | \u2013 | (28) | \u2013 | \u2013 | 31 | ||
Hedges on the net investment in foreign operations | \u2013 | 69 | \u2013 | \u2013 | (28) | \u2013 | 41 | ||
Hedge accounting not applied | 18 | 79 | \u2013 | (8) | (124) | \u2013 | (35) | ||
Interest rate derivatives | |||||||||
Fair value hedges | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | (423) | (423) | ||
Cash flow hedges | \u2013 | \u2013 | 58 | \u2013 | \u2013 | (3) | 55 | ||
Hedges on the net investment in foreign operations | (16) | (16) | |||||||
Hedge accounting not applied | \u2013 | 1 | 10 | \u2013 | \u2013 | \u2013 | 11 | ||
Commodity contracts | |||||||||
Cash flow hedges | 126 | \u2013 | \u2013 | (20) | \u2013 | \u2013 | 106 | ||
Hedge accounting not applied | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | \u2013 | ||
203 | 149 | 68 | (56) | (152) | (442) | (230) | |||
Total assets | 420 | Total liabilities | (650) | (230) |
Related amounts not set off in the balance sheet | ||||||
As at 31 December 2025 | \u20ac million Gross amounts of recognised financial assets | \u20ac million Gross amounts of recognised financial assets set off in the balance sheet | \u20ac million Net amounts of financial assets presented in the balance sheet | \u20ac million Financial instruments | \u20ac million Cash collateral received | \u20ac million Net amount |
Derivative financial assets | 229 | (19) | 210 | (162) | (28) | 20 |
As at 31 December 2024 | ||||||
Derivative financial assets | 478 | (58) | 420 | (174) | (89) | 157 |
Related amounts not set off in the balance sheet | ||||||
As at 31 December 2025 | \u20ac million Gross amounts of recognised financial liabilities | \u20ac million Gross amounts of recognised financial liabilities set off in the balance sheet | \u20ac million Net amounts of financial liabilities presented in the balance sheet | \u20ac million Financial instruments | \u20ac million Cash collateral received | \u20ac million Net amount |
Derivative financial liabilities | (522) | 19 | (503) | 162 | \u2013 | (341) |
As at 31 December 2024 | ||||||
Derivative financial liabilities | (708) | 58 | (650) | 174 | \u2013 | (476) |
Cash and cash equivalents Cash and cash equivalents in the balance sheet include deposits, investments in money market funds and highly liquid investments. To be classified as cash and cash equivalents, an asset must: \u25a0 be readily convertible into cash; \u25a0 have an insignificant risk of changes in value; and \u25a0 have a maturity period of typically three months or less at acquisition. Cash and cash equivalents in the cash flow statement also include bank overdrafts and are recorded at amortised cost. | ||||
Other financial assets The Group classifies its financial assets into the following measurement categories: \u25a0 those to be measured subsequently at fair value (either through other comprehensive income, or through profit or loss), and \u25a0 those to be measured at amortised cost. This classification depends on our business model for managing the financial asset and the contractual terms of the cash flows. At initial recognition, the Group measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs that are directly attributable to the acquisition of the financial asset. Transaction costs of financial assets carried at fair value through profit or loss are expensed in the income statement. All financial assets are either debt instruments or equity instruments. Debt instruments are those that provide the Group with a contractual right to receive cash or another asset. Equity instruments are those where the Group has no contractual right to receive cash or another asset. | ||||
Debt instruments The subsequent measurement of debt instruments depends on the Group\u2019s business model for managing the asset and the cash flow characteristics of the asset. There are three measurement categories that debt instruments are classified as: \u25a0 financial assets at amortised cost; \u25a0 financial assets at fair value through other comprehensive income; or \u25a0 financial assets at fair value through profit or loss. (i) Amortised cost Assets measured at amortised cost are those which are held to collect contractual cash flows on the repayment of principal or interest (SPPI). A\u00a0gain or loss on a debt investment recognised at amortised cost on derecognition or impairment is recognised in the income statement. Interest income is recognised within finance income using the effective interest rate method. (ii) Fair value through other comprehensive income Assets that are held at fair value through other comprehensive income are those that are held to collect contractual cash flows on the repayment of principal and interest and which are held to recognise a capital gain through the sale of the asset. Movements in the carrying amount are recognised in other comprehensive income except for the recognition of impairment, interest income and foreign exchange gains or losses which are recognised in the income statement. On derecognition, the cumulative gain or loss recognised in other comprehensive income is reclassified from equity to the income statement. Interest income is included in finance income using the effective interest rate method. (iii) Fair value through profit or loss Assets that do not meet the criteria for either amortised cost or fair value through other comprehensive income are measured as fair value through profit or loss. Related transaction costs are expensed as incurred. Unless they form part of a hedging relationship, these assets are held at fair value, with changes being recognised in the income statement. Interest income from these assets is included within finance income. | ||||
Equity instruments The Group subsequently measures all equity instruments at fair value. Where the Group has elected to present fair value gains and losses on equity investments in other comprehensive income, there is no subsequent reclassification of fair value gains or losses to profit or loss. Dividends from these investments continue to be recognised in the income statement. | ||||
Impairment of financial assets Financial instruments classified as amortised cost and debt instruments classified as fair value through other comprehensive income are assessed for impairment. The Group assesses the probability of default of an asset at initial recognition and then whether there has been a significant increase in credit risk on an ongoing basis. To assess whether there is a significant increase in credit risk, the Group compares the risk of a default occurring on the asset as at the reporting date with the risk of default as at the date of initial recognition. It considers available reasonable and supportive forward-looking information. Macroeconomic information (such as market interest rates or growth rates) is also considered. Financial assets are written off when there is no reasonable expectation of recovery, such as a debtor failing to engage in a repayment plan with the company. Impairment losses on assets classified as amortised cost are recognised in the income statement. When a later event causes the impairment losses to decrease, the reduction in impairment loss is also recognised in the income statement. Permanent impairment losses on debt instruments classified as fair value through other comprehensive income are recognised in the income statement. |
Cash and cash equivalents Cash and cash equivalents in the balance sheet include deposits, investments in money market funds and highly liquid investments. To be classified as cash and cash equivalents, an asset must: \u25a0 be readily convertible into cash; \u25a0 have an insignificant risk of changes in value; and \u25a0 have a maturity period of typically three months or less at acquisition. Cash and cash equivalents in the cash flow statement also include bank overdrafts and are recorded at amortised cost. | ||||
Other financial assets The Group classifies its financial assets into the following measurement categories: \u25a0 those to be measured subsequently at fair value (either through other comprehensive income, or through profit or loss), and \u25a0 those to be measured at amortised cost. This classification depends on our business model for managing the financial asset and the contractual terms of the cash flows. At initial recognition, the Group measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs that are directly attributable to the acquisition of the financial asset. Transaction costs of financial assets carried at fair value through profit or loss are expensed in the income statement. All financial assets are either debt instruments or equity instruments. Debt instruments are those that provide the Group with a contractual right to receive cash or another asset. Equity instruments are those where the Group has no contractual right to receive cash or another asset. | ||||
Debt instruments The subsequent measurement of debt instruments depends on the Group\u2019s business model for managing the asset and the cash flow characteristics of the asset. There are three measurement categories that debt instruments are classified as: \u25a0 financial assets at amortised cost; \u25a0 financial assets at fair value through other comprehensive income; or \u25a0 financial assets at fair value through profit or loss. (i) Amortised cost Assets measured at amortised cost are those which are held to collect contractual cash flows on the repayment of principal or interest (SPPI). A\u00a0gain or loss on a debt investment recognised at amortised cost on derecognition or impairment is recognised in the income statement. Interest income is recognised within finance income using the effective interest rate method. (ii) Fair value through other comprehensive income Assets that are held at fair value through other comprehensive income are those that are held to collect contractual cash flows on the repayment of principal and interest and which are held to recognise a capital gain through the sale of the asset. Movements in the carrying amount are recognised in other comprehensive income except for the recognition of impairment, interest income and foreign exchange gains or losses which are recognised in the income statement. On derecognition, the cumulative gain or loss recognised in other comprehensive income is reclassified from equity to the income statement. Interest income is included in finance income using the effective interest rate method. (iii) Fair value through profit or loss Assets that do not meet the criteria for either amortised cost or fair value through other comprehensive income are measured as fair value through profit or loss. Related transaction costs are expensed as incurred. Unless they form part of a hedging relationship, these assets are held at fair value, with changes being recognised in the income statement. Interest income from these assets is included within finance income. | ||||
Equity instruments The Group subsequently measures all equity instruments at fair value. Where the Group has elected to present fair value gains and losses on equity investments in other comprehensive income, there is no subsequent reclassification of fair value gains or losses to profit or loss. Dividends from these investments continue to be recognised in the income statement. | ||||
Impairment of financial assets Financial instruments classified as amortised cost and debt instruments classified as fair value through other comprehensive income are assessed for impairment. The Group assesses the probability of default of an asset at initial recognition and then whether there has been a significant increase in credit risk on an ongoing basis. To assess whether there is a significant increase in credit risk, the Group compares the risk of a default occurring on the asset as at the reporting date with the risk of default as at the date of initial recognition. It considers available reasonable and supportive forward-looking information. Macroeconomic information (such as market interest rates or growth rates) is also considered. Financial assets are written off when there is no reasonable expectation of recovery, such as a debtor failing to engage in a repayment plan with the company. Impairment losses on assets classified as amortised cost are recognised in the income statement. When a later event causes the impairment losses to decrease, the reduction in impairment loss is also recognised in the income statement. Permanent impairment losses on debt instruments classified as fair value through other comprehensive income are recognised in the income statement. |
Cash and cash equivalents Cash and cash equivalents in the balance sheet include deposits, investments in money market funds and highly liquid investments. To be classified as cash and cash equivalents, an asset must: \u25a0 be readily convertible into cash; \u25a0 have an insignificant risk of changes in value; and \u25a0 have a maturity period of typically three months or less at acquisition. Cash and cash equivalents in the cash flow statement also include bank overdrafts and are recorded at amortised cost. | ||||
Other financial assets The Group classifies its financial assets into the following measurement categories: \u25a0 those to be measured subsequently at fair value (either through other comprehensive income, or through profit or loss), and \u25a0 those to be measured at amortised cost. This classification depends on our business model for managing the financial asset and the contractual terms of the cash flows. At initial recognition, the Group measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs that are directly attributable to the acquisition of the financial asset. Transaction costs of financial assets carried at fair value through profit or loss are expensed in the income statement. All financial assets are either debt instruments or equity instruments. Debt instruments are those that provide the Group with a contractual right to receive cash or another asset. Equity instruments are those where the Group has no contractual right to receive cash or another asset. | ||||
Debt instruments The subsequent measurement of debt instruments depends on the Group\u2019s business model for managing the asset and the cash flow characteristics of the asset. There are three measurement categories that debt instruments are classified as: \u25a0 financial assets at amortised cost; \u25a0 financial assets at fair value through other comprehensive income; or \u25a0 financial assets at fair value through profit or loss. (i) Amortised cost Assets measured at amortised cost are those which are held to collect contractual cash flows on the repayment of principal or interest (SPPI). A\u00a0gain or loss on a debt investment recognised at amortised cost on derecognition or impairment is recognised in the income statement. Interest income is recognised within finance income using the effective interest rate method. (ii) Fair value through other comprehensive income Assets that are held at fair value through other comprehensive income are those that are held to collect contractual cash flows on the repayment of principal and interest and which are held to recognise a capital gain through the sale of the asset. Movements in the carrying amount are recognised in other comprehensive income except for the recognition of impairment, interest income and foreign exchange gains or losses which are recognised in the income statement. On derecognition, the cumulative gain or loss recognised in other comprehensive income is reclassified from equity to the income statement. Interest income is included in finance income using the effective interest rate method. (iii) Fair value through profit or loss Assets that do not meet the criteria for either amortised cost or fair value through other comprehensive income are measured as fair value through profit or loss. Related transaction costs are expensed as incurred. Unless they form part of a hedging relationship, these assets are held at fair value, with changes being recognised in the income statement. Interest income from these assets is included within finance income. | ||||
Equity instruments The Group subsequently measures all equity instruments at fair value. Where the Group has elected to present fair value gains and losses on equity investments in other comprehensive income, there is no subsequent reclassification of fair value gains or losses to profit or loss. Dividends from these investments continue to be recognised in the income statement. | ||||
Impairment of financial assets Financial instruments classified as amortised cost and debt instruments classified as fair value through other comprehensive income are assessed for impairment. The Group assesses the probability of default of an asset at initial recognition and then whether there has been a significant increase in credit risk on an ongoing basis. To assess whether there is a significant increase in credit risk, the Group compares the risk of a default occurring on the asset as at the reporting date with the risk of default as at the date of initial recognition. It considers available reasonable and supportive forward-looking information. Macroeconomic information (such as market interest rates or growth rates) is also considered. Financial assets are written off when there is no reasonable expectation of recovery, such as a debtor failing to engage in a repayment plan with the company. Impairment losses on assets classified as amortised cost are recognised in the income statement. When a later event causes the impairment losses to decrease, the reduction in impairment loss is also recognised in the income statement. Permanent impairment losses on debt instruments classified as fair value through other comprehensive income are recognised in the income statement. |
Cash and cash equivalents Cash and cash equivalents in the balance sheet include deposits, investments in money market funds and highly liquid investments. To be classified as cash and cash equivalents, an asset must: \u25a0 be readily convertible into cash; \u25a0 have an insignificant risk of changes in value; and \u25a0 have a maturity period of typically three months or less at acquisition. Cash and cash equivalents in the cash flow statement also include bank overdrafts and are recorded at amortised cost. | ||||
Other financial assets The Group classifies its financial assets into the following measurement categories: \u25a0 those to be measured subsequently at fair value (either through other comprehensive income, or through profit or loss), and \u25a0 those to be measured at amortised cost. This classification depends on our business model for managing the financial asset and the contractual terms of the cash flows. At initial recognition, the Group measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs that are directly attributable to the acquisition of the financial asset. Transaction costs of financial assets carried at fair value through profit or loss are expensed in the income statement. All financial assets are either debt instruments or equity instruments. Debt instruments are those that provide the Group with a contractual right to receive cash or another asset. Equity instruments are those where the Group has no contractual right to receive cash or another asset. | ||||
Debt instruments The subsequent measurement of debt instruments depends on the Group\u2019s business model for managing the asset and the cash flow characteristics of the asset. There are three measurement categories that debt instruments are classified as: \u25a0 financial assets at amortised cost; \u25a0 financial assets at fair value through other comprehensive income; or \u25a0 financial assets at fair value through profit or loss. (i) Amortised cost Assets measured at amortised cost are those which are held to collect contractual cash flows on the repayment of principal or interest (SPPI). A\u00a0gain or loss on a debt investment recognised at amortised cost on derecognition or impairment is recognised in the income statement. Interest income is recognised within finance income using the effective interest rate method. (ii) Fair value through other comprehensive income Assets that are held at fair value through other comprehensive income are those that are held to collect contractual cash flows on the repayment of principal and interest and which are held to recognise a capital gain through the sale of the asset. Movements in the carrying amount are recognised in other comprehensive income except for the recognition of impairment, interest income and foreign exchange gains or losses which are recognised in the income statement. On derecognition, the cumulative gain or loss recognised in other comprehensive income is reclassified from equity to the income statement. Interest income is included in finance income using the effective interest rate method. (iii) Fair value through profit or loss Assets that do not meet the criteria for either amortised cost or fair value through other comprehensive income are measured as fair value through profit or loss. Related transaction costs are expensed as incurred. Unless they form part of a hedging relationship, these assets are held at fair value, with changes being recognised in the income statement. Interest income from these assets is included within finance income. | ||||
Equity instruments The Group subsequently measures all equity instruments at fair value. Where the Group has elected to present fair value gains and losses on equity investments in other comprehensive income, there is no subsequent reclassification of fair value gains or losses to profit or loss. Dividends from these investments continue to be recognised in the income statement. | ||||
Impairment of financial assets Financial instruments classified as amortised cost and debt instruments classified as fair value through other comprehensive income are assessed for impairment. The Group assesses the probability of default of an asset at initial recognition and then whether there has been a significant increase in credit risk on an ongoing basis. To assess whether there is a significant increase in credit risk, the Group compares the risk of a default occurring on the asset as at the reporting date with the risk of default as at the date of initial recognition. It considers available reasonable and supportive forward-looking information. Macroeconomic information (such as market interest rates or growth rates) is also considered. Financial assets are written off when there is no reasonable expectation of recovery, such as a debtor failing to engage in a repayment plan with the company. Impairment losses on assets classified as amortised cost are recognised in the income statement. When a later event causes the impairment losses to decrease, the reduction in impairment loss is also recognised in the income statement. Permanent impairment losses on debt instruments classified as fair value through other comprehensive income are recognised in the income statement. |
Cash and cash equivalents Cash and cash equivalents in the balance sheet include deposits, investments in money market funds and highly liquid investments. To be classified as cash and cash equivalents, an asset must: \u25a0 be readily convertible into cash; \u25a0 have an insignificant risk of changes in value; and \u25a0 have a maturity period of typically three months or less at acquisition. Cash and cash equivalents in the cash flow statement also include bank overdrafts and are recorded at amortised cost. | ||||
Other financial assets The Group classifies its financial assets into the following measurement categories: \u25a0 those to be measured subsequently at fair value (either through other comprehensive income, or through profit or loss), and \u25a0 those to be measured at amortised cost. This classification depends on our business model for managing the financial asset and the contractual terms of the cash flows. At initial recognition, the Group measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs that are directly attributable to the acquisition of the financial asset. Transaction costs of financial assets carried at fair value through profit or loss are expensed in the income statement. All financial assets are either debt instruments or equity instruments. Debt instruments are those that provide the Group with a contractual right to receive cash or another asset. Equity instruments are those where the Group has no contractual right to receive cash or another asset. | ||||
Debt instruments The subsequent measurement of debt instruments depends on the Group\u2019s business model for managing the asset and the cash flow characteristics of the asset. There are three measurement categories that debt instruments are classified as: \u25a0 financial assets at amortised cost; \u25a0 financial assets at fair value through other comprehensive income; or \u25a0 financial assets at fair value through profit or loss. (i) Amortised cost Assets measured at amortised cost are those which are held to collect contractual cash flows on the repayment of principal or interest (SPPI). A\u00a0gain or loss on a debt investment recognised at amortised cost on derecognition or impairment is recognised in the income statement. Interest income is recognised within finance income using the effective interest rate method. (ii) Fair value through other comprehensive income Assets that are held at fair value through other comprehensive income are those that are held to collect contractual cash flows on the repayment of principal and interest and which are held to recognise a capital gain through the sale of the asset. Movements in the carrying amount are recognised in other comprehensive income except for the recognition of impairment, interest income and foreign exchange gains or losses which are recognised in the income statement. On derecognition, the cumulative gain or loss recognised in other comprehensive income is reclassified from equity to the income statement. Interest income is included in finance income using the effective interest rate method. (iii) Fair value through profit or loss Assets that do not meet the criteria for either amortised cost or fair value through other comprehensive income are measured as fair value through profit or loss. Related transaction costs are expensed as incurred. Unless they form part of a hedging relationship, these assets are held at fair value, with changes being recognised in the income statement. Interest income from these assets is included within finance income. | ||||
Equity instruments The Group subsequently measures all equity instruments at fair value. Where the Group has elected to present fair value gains and losses on equity investments in other comprehensive income, there is no subsequent reclassification of fair value gains or losses to profit or loss. Dividends from these investments continue to be recognised in the income statement. | ||||
Impairment of financial assets Financial instruments classified as amortised cost and debt instruments classified as fair value through other comprehensive income are assessed for impairment. The Group assesses the probability of default of an asset at initial recognition and then whether there has been a significant increase in credit risk on an ongoing basis. To assess whether there is a significant increase in credit risk, the Group compares the risk of a default occurring on the asset as at the reporting date with the risk of default as at the date of initial recognition. It considers available reasonable and supportive forward-looking information. Macroeconomic information (such as market interest rates or growth rates) is also considered. Financial assets are written off when there is no reasonable expectation of recovery, such as a debtor failing to engage in a repayment plan with the company. Impairment losses on assets classified as amortised cost are recognised in the income statement. When a later event causes the impairment losses to decrease, the reduction in impairment loss is also recognised in the income statement. Permanent impairment losses on debt instruments classified as fair value through other comprehensive income are recognised in the income statement. |
Cash and cash equivalents Cash and cash equivalents in the balance sheet include deposits, investments in money market funds and highly liquid investments. To be classified as cash and cash equivalents, an asset must: \u25a0 be readily convertible into cash; \u25a0 have an insignificant risk of changes in value; and \u25a0 have a maturity period of typically three months or less at acquisition. Cash and cash equivalents in the cash flow statement also include bank overdrafts and are recorded at amortised cost. | ||||
Other financial assets The Group classifies its financial assets into the following measurement categories: \u25a0 those to be measured subsequently at fair value (either through other comprehensive income, or through profit or loss), and \u25a0 those to be measured at amortised cost. This classification depends on our business model for managing the financial asset and the contractual terms of the cash flows. At initial recognition, the Group measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs that are directly attributable to the acquisition of the financial asset. Transaction costs of financial assets carried at fair value through profit or loss are expensed in the income statement. All financial assets are either debt instruments or equity instruments. Debt instruments are those that provide the Group with a contractual right to receive cash or another asset. Equity instruments are those where the Group has no contractual right to receive cash or another asset. | ||||
Debt instruments The subsequent measurement of debt instruments depends on the Group\u2019s business model for managing the asset and the cash flow characteristics of the asset. There are three measurement categories that debt instruments are classified as: \u25a0 financial assets at amortised cost; \u25a0 financial assets at fair value through other comprehensive income; or \u25a0 financial assets at fair value through profit or loss. (i) Amortised cost Assets measured at amortised cost are those which are held to collect contractual cash flows on the repayment of principal or interest (SPPI). A\u00a0gain or loss on a debt investment recognised at amortised cost on derecognition or impairment is recognised in the income statement. Interest income is recognised within finance income using the effective interest rate method. (ii) Fair value through other comprehensive income Assets that are held at fair value through other comprehensive income are those that are held to collect contractual cash flows on the repayment of principal and interest and which are held to recognise a capital gain through the sale of the asset. Movements in the carrying amount are recognised in other comprehensive income except for the recognition of impairment, interest income and foreign exchange gains or losses which are recognised in the income statement. On derecognition, the cumulative gain or loss recognised in other comprehensive income is reclassified from equity to the income statement. Interest income is included in finance income using the effective interest rate method. (iii) Fair value through profit or loss Assets that do not meet the criteria for either amortised cost or fair value through other comprehensive income are measured as fair value through profit or loss. Related transaction costs are expensed as incurred. Unless they form part of a hedging relationship, these assets are held at fair value, with changes being recognised in the income statement. Interest income from these assets is included within finance income. | ||||
Equity instruments The Group subsequently measures all equity instruments at fair value. Where the Group has elected to present fair value gains and losses on equity investments in other comprehensive income, there is no subsequent reclassification of fair value gains or losses to profit or loss. Dividends from these investments continue to be recognised in the income statement. | ||||
Impairment of financial assets Financial instruments classified as amortised cost and debt instruments classified as fair value through other comprehensive income are assessed for impairment. The Group assesses the probability of default of an asset at initial recognition and then whether there has been a significant increase in credit risk on an ongoing basis. To assess whether there is a significant increase in credit risk, the Group compares the risk of a default occurring on the asset as at the reporting date with the risk of default as at the date of initial recognition. It considers available reasonable and supportive forward-looking information. Macroeconomic information (such as market interest rates or growth rates) is also considered. Financial assets are written off when there is no reasonable expectation of recovery, such as a debtor failing to engage in a repayment plan with the company. Impairment losses on assets classified as amortised cost are recognised in the income statement. When a later event causes the impairment losses to decrease, the reduction in impairment loss is also recognised in the income statement. Permanent impairment losses on debt instruments classified as fair value through other comprehensive income are recognised in the income statement. |
Financial assets(a) | \u20ac million Current 2025 | \u20ac million Non-current 2025 | \u20ac million Total 2025 | \u20ac million Current 2024 | \u20ac million Non-current 2024 | \u20ac million Total 2024 |
Cash and cash equivalents | ||||||
Cash at bank and in hand | 2,490 | \u2013 | 2,490 | 3,241 | \u2013 | 3,241 |
Short-term deposits(b) | 1,066 | \u2013 | 1,066 | 2,436 | \u2013 | 2,436 |
Other cash equivalents(c) | 385 | \u2013 | 385 | 459 | \u2013 | 459 |
3,941 | \u2013 | 3,941 | 6,136 | \u2013 | 6,136 | |
Other financial assets | ||||||
Financial assets at amortised cost (d) | 541 | 368 | 909 | 736 | 526 | 1,262 |
Financial assets at fair value through other comprehensive income(e) | \u2013 | 2,216 | 2,216 | \u2013 | 600 | 600 |
Financial assets at fair value through profit or loss: | ||||||
Derivatives | 50 | 140 | 190 | 149 | 68 | 217 |
Other (f) | 530 | 341 | 871 | 445 | 377 | 822 |
1,121 | 3,065 | 4,186 | 1,330 | 1,571 | 2,901 | |
Total | 5,062 | 3,065 | 8,127 | 7,466 | 1,571 | 9,037 |
Cash and cash equivalents reconciliation to the cash flow statement | \u20ac million 2025 | \u20ac million 2024 |
Cash and cash equivalents per balance sheet | 3,941 | 6,136 |
Less: Bank overdrafts | (65) | (180) |
Add: Cash and cash equivalents included in assets held for sale | \u2013 | \u2013 |
Less: Bank overdraft included in liabilities held for sale | (6) | (6) |
Cash and cash equivalents per cash flow statement | 3,870 | 5,950 |
Fair values of financial assets and financial liabilities | \u20ac million Fair value 2025 | \u20ac million Fair value 2024 | \u20ac million Carrying amount 2025 | \u20ac million Carrying amount 2024 |
Financial assets | ||||
Cash and cash equivalents | 3,941 | 6,136 | 3,941 | 6,136 |
Financial assets at amortised cost | 909 | 1,262 | 909 | 1,262 |
Financial assets at fair value through other comprehensive income | 2,216 | 600 | 2,216 | 600 |
Financial assets at fair value through profit or loss | ||||
\u00a0 Derivatives | 190 | 217 | 190 | 217 |
\u00a0 Other | 871 | 822 | 871 | 822 |
8,127 | 9,037 | 8,127 | 9,037 | |
Financial liabilities | ||||
Bank loans and overdrafts | (233) | (521) | (233) | (521) |
Bonds and other loans | (25,655) | (28,037) | (26,038) | (28,648) |
Lease liabilities | (1,326) | (1,486) | (1,326) | (1,486) |
Derivatives | (452) | (594) | (452) | (594) |
Other financial liabilities | (229) | (804) | (229) | (804) |
(27,895) | (31,442) | (28,278) | (32,053) |
Notes | \u20ac million Level\u00a01 2025 | \u20ac million Level\u00a01 2024 | \u20ac million Level\u00a02 2025 | \u20ac million Level\u00a02 2024 | \u20ac million Level\u00a03 2025 | \u20ac million Level\u00a03 2024 | \u20ac million Total\u00a0fair value 2025 | \u20ac million Total\u00a0fair value 2024 | |
Assets at fair value | |||||||||
Financial assets at fair value through other comprehensive income | 17A | 1,663 | 10 | 4 | 4 | 549 | 586 | 2,216 | 600 |
Financial assets at fair value through profit or loss: | |||||||||
\u00a0 \u00a0 Derivatives(a) | 16C | \u2013 | \u2013 | 210 | 420 | \u2013 | \u2013 | 210 | 420 |
\u00a0 \u00a0 Other | 17A | 530 | 445 | \u2013 | \u2013 | 341 | 377 | 871 | 822 |
Liabilities at fair value | |||||||||
\u00a0 Derivatives (b) | 16C | \u2013 | \u2013 | (503) | (650) | \u2013 | \u2013 | (503) | (650) |
\u00a0 Contingent consideration | 14 | \u2013 | \u2013 | \u2013 | \u2013 | (46) | (1) | (46) | (1) |
Reconciliation of movements in Level 3 valuations | \u20ac million 2025 | \u20ac million 2024 |
1 January | 962 | 684 |
Gains/(losses) recognised in income statement | (46) | (58) |
Gains/(losses) recognised in other comprehensive income | (22) | 67 |
Purchases and new issues | 30 | 135 |
Sales and settlements | (80) | 134 |
31 December | 844 | 962 |
Fair values of financial assets and financial liabilities | \u20ac million Fair value 2025 | \u20ac million Fair value 2024 | \u20ac million Carrying amount 2025 | \u20ac million Carrying amount 2024 |
Financial assets | ||||
Cash and cash equivalents | 3,941 | 6,136 | 3,941 | 6,136 |
Financial assets at amortised cost | 909 | 1,262 | 909 | 1,262 |
Financial assets at fair value through other comprehensive income | 2,216 | 600 | 2,216 | 600 |
Financial assets at fair value through profit or loss | ||||
\u00a0 Derivatives | 190 | 217 | 190 | 217 |
\u00a0 Other | 871 | 822 | 871 | 822 |
8,127 | 9,037 | 8,127 | 9,037 | |
Financial liabilities | ||||
Bank loans and overdrafts | (233) | (521) | (233) | (521) |
Bonds and other loans | (25,655) | (28,037) | (26,038) | (28,648) |
Lease liabilities | (1,326) | (1,486) | (1,326) | (1,486) |
Derivatives | (452) | (594) | (452) | (594) |
Other financial liabilities | (229) | (804) | (229) | (804) |
(27,895) | (31,442) | (28,278) | (32,053) |
Notes | \u20ac million Level\u00a01 2025 | \u20ac million Level\u00a01 2024 | \u20ac million Level\u00a02 2025 | \u20ac million Level\u00a02 2024 | \u20ac million Level\u00a03 2025 | \u20ac million Level\u00a03 2024 | \u20ac million Total\u00a0fair value 2025 | \u20ac million Total\u00a0fair value 2024 | |
Assets at fair value | |||||||||
Financial assets at fair value through other comprehensive income | 17A | 1,663 | 10 | 4 | 4 | 549 | 586 | 2,216 | 600 |
Financial assets at fair value through profit or loss: | |||||||||
\u00a0 \u00a0 Derivatives(a) | 16C | \u2013 | \u2013 | 210 | 420 | \u2013 | \u2013 | 210 | 420 |
\u00a0 \u00a0 Other | 17A | 530 | 445 | \u2013 | \u2013 | 341 | 377 | 871 | 822 |
Liabilities at fair value | |||||||||
\u00a0 Derivatives (b) | 16C | \u2013 | \u2013 | (503) | (650) | \u2013 | \u2013 | (503) | (650) |
\u00a0 Contingent consideration | 14 | \u2013 | \u2013 | \u2013 | \u2013 | (46) | (1) | (46) | (1) |
Reconciliation of movements in Level 3 valuations | \u20ac million 2025 | \u20ac million 2024 |
1 January | 962 | 684 |
Gains/(losses) recognised in income statement | (46) | (58) |
Gains/(losses) recognised in other comprehensive income | (22) | 67 |
Purchases and new issues | 30 | 135 |
Sales and settlements | (80) | 134 |
31 December | 844 | 962 |
Fair values of financial assets and financial liabilities | \u20ac million Fair value 2025 | \u20ac million Fair value 2024 | \u20ac million Carrying amount 2025 | \u20ac million Carrying amount 2024 |
Financial assets | ||||
Cash and cash equivalents | 3,941 | 6,136 | 3,941 | 6,136 |
Financial assets at amortised cost | 909 | 1,262 | 909 | 1,262 |
Financial assets at fair value through other comprehensive income | 2,216 | 600 | 2,216 | 600 |
Financial assets at fair value through profit or loss | ||||
\u00a0 Derivatives | 190 | 217 | 190 | 217 |
\u00a0 Other | 871 | 822 | 871 | 822 |
8,127 | 9,037 | 8,127 | 9,037 | |
Financial liabilities | ||||
Bank loans and overdrafts | (233) | (521) | (233) | (521) |
Bonds and other loans | (25,655) | (28,037) | (26,038) | (28,648) |
Lease liabilities | (1,326) | (1,486) | (1,326) | (1,486) |
Derivatives | (452) | (594) | (452) | (594) |
Other financial liabilities | (229) | (804) | (229) | (804) |
(27,895) | (31,442) | (28,278) | (32,053) |
Notes | \u20ac million Level\u00a01 2025 | \u20ac million Level\u00a01 2024 | \u20ac million Level\u00a02 2025 | \u20ac million Level\u00a02 2024 | \u20ac million Level\u00a03 2025 | \u20ac million Level\u00a03 2024 | \u20ac million Total\u00a0fair value 2025 | \u20ac million Total\u00a0fair value 2024 | |
Assets at fair value | |||||||||
Financial assets at fair value through other comprehensive income | 17A | 1,663 | 10 | 4 | 4 | 549 | 586 | 2,216 | 600 |
Financial assets at fair value through profit or loss: | |||||||||
\u00a0 \u00a0 Derivatives(a) | 16C | \u2013 | \u2013 | 210 | 420 | \u2013 | \u2013 | 210 | 420 |
\u00a0 \u00a0 Other | 17A | 530 | 445 | \u2013 | \u2013 | 341 | 377 | 871 | 822 |
Liabilities at fair value | |||||||||
\u00a0 Derivatives (b) | 16C | \u2013 | \u2013 | (503) | (650) | \u2013 | \u2013 | (503) | (650) |
\u00a0 Contingent consideration | 14 | \u2013 | \u2013 | \u2013 | \u2013 | (46) | (1) | (46) | (1) |
Reconciliation of movements in Level 3 valuations | \u20ac million 2025 | \u20ac million 2024 |
1 January | 962 | 684 |
Gains/(losses) recognised in income statement | (46) | (58) |
Gains/(losses) recognised in other comprehensive income | (22) | 67 |
Purchases and new issues | 30 | 135 |
Sales and settlements | (80) | 134 |
31 December | 844 | 962 |
Fair values of financial assets and financial liabilities | \u20ac million Fair value 2025 | \u20ac million Fair value 2024 | \u20ac million Carrying amount 2025 | \u20ac million Carrying amount 2024 |
Financial assets | ||||
Cash and cash equivalents | 3,941 | 6,136 | 3,941 | 6,136 |
Financial assets at amortised cost | 909 | 1,262 | 909 | 1,262 |
Financial assets at fair value through other comprehensive income | 2,216 | 600 | 2,216 | 600 |
Financial assets at fair value through profit or loss | ||||
\u00a0 Derivatives | 190 | 217 | 190 | 217 |
\u00a0 Other | 871 | 822 | 871 | 822 |
8,127 | 9,037 | 8,127 | 9,037 | |
Financial liabilities | ||||
Bank loans and overdrafts | (233) | (521) | (233) | (521) |
Bonds and other loans | (25,655) | (28,037) | (26,038) | (28,648) |
Lease liabilities | (1,326) | (1,486) | (1,326) | (1,486) |
Derivatives | (452) | (594) | (452) | (594) |
Other financial liabilities | (229) | (804) | (229) | (804) |
(27,895) | (31,442) | (28,278) | (32,053) |
Notes | \u20ac million Level\u00a01 2025 | \u20ac million Level\u00a01 2024 | \u20ac million Level\u00a02 2025 | \u20ac million Level\u00a02 2024 | \u20ac million Level\u00a03 2025 | \u20ac million Level\u00a03 2024 | \u20ac million Total\u00a0fair value 2025 | \u20ac million Total\u00a0fair value 2024 | |
Assets at fair value | |||||||||
Financial assets at fair value through other comprehensive income | 17A | 1,663 | 10 | 4 | 4 | 549 | 586 | 2,216 | 600 |
Financial assets at fair value through profit or loss: | |||||||||
\u00a0 \u00a0 Derivatives(a) | 16C | \u2013 | \u2013 | 210 | 420 | \u2013 | \u2013 | 210 | 420 |
\u00a0 \u00a0 Other | 17A | 530 | 445 | \u2013 | \u2013 | 341 | 377 | 871 | 822 |
Liabilities at fair value | |||||||||
\u00a0 Derivatives (b) | 16C | \u2013 | \u2013 | (503) | (650) | \u2013 | \u2013 | (503) | (650) |
\u00a0 Contingent consideration | 14 | \u2013 | \u2013 | \u2013 | \u2013 | (46) | (1) | (46) | (1) |
Reconciliation of movements in Level 3 valuations | \u20ac million 2025 | \u20ac million 2024 |
1 January | 962 | 684 |
Gains/(losses) recognised in income statement | (46) | (58) |
Gains/(losses) recognised in other comprehensive income | (22) | 67 |
Purchases and new issues | 30 | 135 |
Sales and settlements | (80) | 134 |
31 December | 844 | 962 |
Fair values of financial assets and financial liabilities | \u20ac million Fair value 2025 | \u20ac million Fair value 2024 | \u20ac million Carrying amount 2025 | \u20ac million Carrying amount 2024 |
Financial assets | ||||
Cash and cash equivalents | 3,941 | 6,136 | 3,941 | 6,136 |
Financial assets at amortised cost | 909 | 1,262 | 909 | 1,262 |
Financial assets at fair value through other comprehensive income | 2,216 | 600 | 2,216 | 600 |
Financial assets at fair value through profit or loss | ||||
\u00a0 Derivatives | 190 | 217 | 190 | 217 |
\u00a0 Other | 871 | 822 | 871 | 822 |
8,127 | 9,037 | 8,127 | 9,037 | |
Financial liabilities | ||||
Bank loans and overdrafts | (233) | (521) | (233) | (521) |
Bonds and other loans | (25,655) | (28,037) | (26,038) | (28,648) |
Lease liabilities | (1,326) | (1,486) | (1,326) | (1,486) |
Derivatives | (452) | (594) | (452) | (594) |
Other financial liabilities | (229) | (804) | (229) | (804) |
(27,895) | (31,442) | (28,278) | (32,053) |
Notes | \u20ac million Level\u00a01 2025 | \u20ac million Level\u00a01 2024 | \u20ac million Level\u00a02 2025 | \u20ac million Level\u00a02 2024 | \u20ac million Level\u00a03 2025 | \u20ac million Level\u00a03 2024 | \u20ac million Total\u00a0fair value 2025 | \u20ac million Total\u00a0fair value 2024 | |
Assets at fair value | |||||||||
Financial assets at fair value through other comprehensive income | 17A | 1,663 | 10 | 4 | 4 | 549 | 586 | 2,216 | 600 |
Financial assets at fair value through profit or loss: | |||||||||
\u00a0 \u00a0 Derivatives(a) | 16C | \u2013 | \u2013 | 210 | 420 | \u2013 | \u2013 | 210 | 420 |
\u00a0 \u00a0 Other | 17A | 530 | 445 | \u2013 | \u2013 | 341 | 377 | 871 | 822 |
Liabilities at fair value | |||||||||
\u00a0 Derivatives (b) | 16C | \u2013 | \u2013 | (503) | (650) | \u2013 | \u2013 | (503) | (650) |
\u00a0 Contingent consideration | 14 | \u2013 | \u2013 | \u2013 | \u2013 | (46) | (1) | (46) | (1) |
Reconciliation of movements in Level 3 valuations | \u20ac million 2025 | \u20ac million 2024 |
1 January | 962 | 684 |
Gains/(losses) recognised in income statement | (46) | (58) |
Gains/(losses) recognised in other comprehensive income | (22) | 67 |
Purchases and new issues | 30 | 135 |
Sales and settlements | (80) | 134 |
31 December | 844 | 962 |
Provisions are recognised where a legal or constructive obligation exists at the balance sheet date, as a result of a past event, where the amount of the obligation can be reliably estimated and where the outflow of economic benefit is probable. | ||||
Provisions | \u20ac million 2025 | \u20ac million 2024 |
Due within one year | 589 | 831 |
Due after one year | 539 | 571 |
Total provisions | 1,128 | 1,402 |
Movements during 2025 | \u20ac million Restructuring | \u20ac million Legal | \u20ac million Brazil indirect\u00a0taxes | \u20ac million Other | \u20ac million Total |
1 January 2025 | 466 | 282 | 64 | 590 | 1,402 |
Additions through business combinations | \u2013 | 13 | \u2013 | \u2013 | 13 |
Distributed through demerger | (16) | (16) | (4) | (23) | (59) |
Income statement: | |||||
\u00a0 \u00a0 Charges | 261 | 132 | 9 | 166 | 568 |
\u00a0 \u00a0 Releases | (202) | (15) | (5) | (83) | (305) |
Utilisation | (284) | (69) | (4) | (54) | (411) |
Currency translation | (11) | (26) | \u2013 | (43) | (80) |
31 December 2025 | 214 | 301 | 60 | 553 | 1,128 |
Provisions are recognised where a legal or constructive obligation exists at the balance sheet date, as a result of a past event, where the amount of the obligation can be reliably estimated and where the outflow of economic benefit is probable. | ||||
Lease commitments are the future cash outflows from the lease contracts which are not recorded in the measurement of lease liabilities. These include potential future payments related to leases of low-value assets, leases which are less than 12 months, variable leases, extension and termination options and leases not yet commenced but which we have committed to. | ||||
Lease commitments and other commitments fall due as follows: | \u20ac million Leases 2025 | \u20ac million Leases 2024 | \u20ac million Other commitments 2025 | \u20ac million Other commitments 2024 |
Within 1 year | 89 | 101 | 1,371 | 1,654 |
Later than 1 year but not later than 5 years | 80 | 163 | 1,848 | 2,360 |
Later than 5 years | 43 | 66 | 268 | 184 |
212 | 330 | 3,487 | 4,198 |
Contingent liabilities are either possible obligations that will probably not require a transfer of economic benefits, or present obligations that may, but probably will not, require a transfer of economic benefits. It is not appropriate to make provisions for contingent liabilities, but there is\u00a0a\u00a0chance that they will result in an obligation in the future. Assessing the amount of liabilities that are not probable is highly judgemental, so\u00a0contingent liabilities are disclosed on the basis of the known maximum exposure or are unquantified where the financial impact cannot be reliably measured. |
Summary of contingent liabilities | \u20ac million 2025 | \u20ac million 2024 |
Corporate reorganisation \u2013 IPI, PIS and COFINS taxes and penalties | 3,557 | 3,230 |
Inputs for PIS and COFINS taxes | 13 | 35 |
Goodwill amortisation | 155 | 144 |
Other tax assessments \u2013 approximately 500 cases | 771 | 855 |
Total Brazil Tax | 4,496 | 4,264 |
Other contingent liabilities | 496 | 571 |
Total contingent liabilities | 4,992 | 4,835 |
Lease commitments are the future cash outflows from the lease contracts which are not recorded in the measurement of lease liabilities. These include potential future payments related to leases of low-value assets, leases which are less than 12 months, variable leases, extension and termination options and leases not yet commenced but which we have committed to. | ||||
Lease commitments and other commitments fall due as follows: | \u20ac million Leases 2025 | \u20ac million Leases 2024 | \u20ac million Other commitments 2025 | \u20ac million Other commitments 2024 |
Within 1 year | 89 | 101 | 1,371 | 1,654 |
Later than 1 year but not later than 5 years | 80 | 163 | 1,848 | 2,360 |
Later than 5 years | 43 | 66 | 268 | 184 |
212 | 330 | 3,487 | 4,198 |
Contingent liabilities are either possible obligations that will probably not require a transfer of economic benefits, or present obligations that may, but probably will not, require a transfer of economic benefits. It is not appropriate to make provisions for contingent liabilities, but there is\u00a0a\u00a0chance that they will result in an obligation in the future. Assessing the amount of liabilities that are not probable is highly judgemental, so\u00a0contingent liabilities are disclosed on the basis of the known maximum exposure or are unquantified where the financial impact cannot be reliably measured. |
Summary of contingent liabilities | \u20ac million 2025 | \u20ac million 2024 |
Corporate reorganisation \u2013 IPI, PIS and COFINS taxes and penalties | 3,557 | 3,230 |
Inputs for PIS and COFINS taxes | 13 | 35 |
Goodwill amortisation | 155 | 144 |
Other tax assessments \u2013 approximately 500 cases | 771 | 855 |
Total Brazil Tax | 4,496 | 4,264 |
Other contingent liabilities | 496 | 571 |
Total contingent liabilities | 4,992 | 4,835 |
Lease commitments are the future cash outflows from the lease contracts which are not recorded in the measurement of lease liabilities. These include potential future payments related to leases of low-value assets, leases which are less than 12 months, variable leases, extension and termination options and leases not yet commenced but which we have committed to. | ||||
Lease commitments and other commitments fall due as follows: | \u20ac million Leases 2025 | \u20ac million Leases 2024 | \u20ac million Other commitments 2025 | \u20ac million Other commitments 2024 |
Within 1 year | 89 | 101 | 1,371 | 1,654 |
Later than 1 year but not later than 5 years | 80 | 163 | 1,848 | 2,360 |
Later than 5 years | 43 | 66 | 268 | 184 |
212 | 330 | 3,487 | 4,198 |
Lease commitments are the future cash outflows from the lease contracts which are not recorded in the measurement of lease liabilities. These include potential future payments related to leases of low-value assets, leases which are less than 12 months, variable leases, extension and termination options and leases not yet commenced but which we have committed to. | ||||
Contingent liabilities are either possible obligations that will probably not require a transfer of economic benefits, or present obligations that may, but probably will not, require a transfer of economic benefits. It is not appropriate to make provisions for contingent liabilities, but there is\u00a0a\u00a0chance that they will result in an obligation in the future. Assessing the amount of liabilities that are not probable is highly judgemental, so\u00a0contingent liabilities are disclosed on the basis of the known maximum exposure or are unquantified where the financial impact cannot be reliably measured. |
Contingent liabilities are either possible obligations that will probably not require a transfer of economic benefits, or present obligations that may, but probably will not, require a transfer of economic benefits. It is not appropriate to make provisions for contingent liabilities, but there is\u00a0a\u00a0chance that they will result in an obligation in the future. Assessing the amount of liabilities that are not probable is highly judgemental, so\u00a0contingent liabilities are disclosed on the basis of the known maximum exposure or are unquantified where the financial impact cannot be reliably measured. |
Summary of contingent liabilities | \u20ac million 2025 | \u20ac million 2024 |
Corporate reorganisation \u2013 IPI, PIS and COFINS taxes and penalties | 3,557 | 3,230 |
Inputs for PIS and COFINS taxes | 13 | 35 |
Goodwill amortisation | 155 | 144 |
Other tax assessments \u2013 approximately 500 cases | 771 | 855 |
Total Brazil Tax | 4,496 | 4,264 |
Other contingent liabilities | 496 | 571 |
Total contingent liabilities | 4,992 | 4,835 |
\u20ac million 2025 | ||
Fair value of the Ice Cream business distributed | (80.15%) | 6,752 |
Fair value of the retained ownership in TMICC | (19.85%) | 1,672 |
Total fair value | 8,424 | |
Carrying amount of the net assets and liabilities distributed/derecognised, comprised of: | ||
Goodwill | (3,322) | |
Intangible assets | (729) | |
Property, plant and equipment | (2,234) | |
Pension assets | (80) | |
Inventories | (925) | |
Net deferred tax assets | (302) | |
Other non-current assets | (10) | |
Trade and other receivables | (1,960) | |
Cash and cash equivalents | (531) | |
Current tax assets | (43) | |
Trade payables and other current liabilities | 2,797 | |
Financial liabilities | 3,179 | |
Pension liabilities | 86 | |
Provisions | 59 | |
Total carrying amount of net assets derecognised | (4,015) | |
Gain on demerger before exchange movements | 4,409 | |
Loss on recycling of currency retranslation on disposal | (1,036) | |
Total gain on the demerger after tax | 3,373 |
Total results from discontinued operations (Ice Cream) | \u20ac million 2025 | \u20ac million 2024 | \u20ac million 2023 |
Turnover | 7,691 | 8,282 | 7,924 |
Operating profit | 677 | 571 | 760 |
Profit before tax from discontinued operations | 613 | 498 | 712 |
Taxation | (188) | (168) | (209) |
Profit after taxation from discontinued operations | 425 | 330 | 503 |
Total gain on demerger after tax | 3,373 | \u2014 | \u2014 |
Profit after taxation on demerger of discontinued operations | 3,798 | 330 | 503 |
Attributable to: | |||
Non-controlling interests | 11 | 16 | 18 |
Shareholders\u2019 equity | 3,787 | 314 | 485 |
Basic earnings per share from discontinued operations (\u20ac) | 1.73 | 0.14 | 0.22 |
Diluted earnings per share from discontinued operations (\u20ac) | 1.73 | 0.14 | 0.22 |
\u20ac million 2025 | \u20ac million 2024 | \u20ac million 2023 | |
Net operating cash flows attributable to discontinued operations | 298 | 1,058 | 1,033 |
Net investing cash flows attributable to discontinued operations | (724) | (202) | (883) |
Net financing cash flows attributable to discontinued operations | 3,070 | (112) | (109) |
Business combinations are accounted for using the acquisition accounting method as at the acquisition date, which is the date at which control is transferred to the Group. Goodwill is measured at the acquisition date as the fair value of consideration transferred, plus non-controlling interests and the fair value of\u00a0any previously held equity interests less the net recognised amount (which is generally fair value) of the identifiable assets and liabilities assumed. Goodwill is subject to an annual review for impairment (or more frequently if necessary) in accordance with our accounting policies. Any impairment is charged to the income statement as it arises. Detailed information relating to goodwill is provided in note 9 on pages 152 to\u00a0154. Non-controlling interests are valued based on the proportion of net assets of the acquired company at the date of acquisition. Transaction costs are expensed as incurred. Changes in ownership that do not result in a change of control are accounted for as equity transactions and therefore do not have any impact on goodwill. The difference between consideration and the non-controlling share of net assets acquired is recognised within equity. |
Deal\u00a0completion\u00a0date | Acquired/disposed business |
1 April 2025 | Acquired 100% of Wild, a UK-based company known for its natural, refillable deodorants, lip balms, body washes and\u00a0handwashes. |
1 April 2025 | Sold Conimex brand to Paulig Group. |
1 April 2025 | Acquired the remaining 20% of Nutraceutical Wellness, Inc. (Nutrafol), bringing the Group\u2019s ownership to 100%. |
21 April 2025 | HUL acquired 90.5% of Minimalist, an India-based premium actives-led beauty brand. |
2 September 2025 | Acquired 98.7% of Dr. Squatch, a US-based brand specialising in natural personal care products. |
Deal\u00a0completion\u00a0date | Acquired/disposed business |
1 February 2024 | Acquired 91.88% of K18, a US-based premium hair care brand. The acquisition complements Unilever\u2019s existing Beauty & Wellbeing portfolio, with a range of high-quality, hair care products. |
1 June 2024 | Sold Elida Beauty to Yellow Wood Partners LLC. Elida Beauty comprises more than 20 beauty and personal care brands, such as Q-Tips, Caress, Timotei and TIGI. |
1 August 2024 | Sold Qinyuan Group (also known as \u2019Truliva\u2019) to Yong Chao Venture Capital Co., Ltd. Qinyuan Group offers a range of water purification solutions to households in China. |
8 October 2024 | Sold the Russian subsidiary to Arnest Group. The sale includes all of Unilever\u2019s business in Russia and its four factories in the country, along with our business in Belarus. |
1 November 2024 | Sold Pureit to A.O. Smith. Pureit offers a range of water purification solutions across India, Bangladesh, Sri Lanka, Vietnam and Mexico, among others. |
\u20ac million 2025 | \u20ac million 2024 | |
Intangible assets | 1,109 | 382 |
Other non-current assets | 67 | 14 |
Trade and other receivables | 66 | 15 |
Other current assets (a) | 134 | 36 |
Non-current liabilities(b) | (311) | (99) |
Current liabilities | (85) | (15) |
Net assets acquired | 980 | 333 |
Non-controlling interest | (30) | (27) |
Goodwill (c) | 784 | 310 |
Total consideration | 1,734 | 616 |
of which: | ||
Cash | 1,687 | 616 |
Deferred consideration | 47 | \u2013 |
\u20ac million 2025 | \u20ac million 2024 | |
Goodwill and intangible assets(a) | 71 | 1,107 |
Other non-current assets | 27 | 218 |
Current assets | 8 | 700 |
Liabilities | (1) | (683) |
Net assets sold | 105 | 1,342 |
Loss on recycling of currency retranslation on disposal | 24 | 545 |
Non-controlling interest | 0 | (85) |
Profit/(loss) on sale attributable to Unilever | (36) | (406) |
Total consideration | 93 | 1,396 |
of which: | ||
Cash | 93 | 1,299 |
Non-cash items and deferred consideration | 0 | 97 |
Business combinations are accounted for using the acquisition accounting method as at the acquisition date, which is the date at which control is transferred to the Group. Goodwill is measured at the acquisition date as the fair value of consideration transferred, plus non-controlling interests and the fair value of\u00a0any previously held equity interests less the net recognised amount (which is generally fair value) of the identifiable assets and liabilities assumed. Goodwill is subject to an annual review for impairment (or more frequently if necessary) in accordance with our accounting policies. Any impairment is charged to the income statement as it arises. Detailed information relating to goodwill is provided in note 9 on pages 152 to\u00a0154. Non-controlling interests are valued based on the proportion of net assets of the acquired company at the date of acquisition. Transaction costs are expensed as incurred. Changes in ownership that do not result in a change of control are accounted for as equity transactions and therefore do not have any impact on goodwill. The difference between consideration and the non-controlling share of net assets acquired is recognised within equity. |
Business combinations are accounted for using the acquisition accounting method as at the acquisition date, which is the date at which control is transferred to the Group. Goodwill is measured at the acquisition date as the fair value of consideration transferred, plus non-controlling interests and the fair value of\u00a0any previously held equity interests less the net recognised amount (which is generally fair value) of the identifiable assets and liabilities assumed. Goodwill is subject to an annual review for impairment (or more frequently if necessary) in accordance with our accounting policies. Any impairment is charged to the income statement as it arises. Detailed information relating to goodwill is provided in note 9 on pages 152 to\u00a0154. Non-controlling interests are valued based on the proportion of net assets of the acquired company at the date of acquisition. Transaction costs are expensed as incurred. Changes in ownership that do not result in a change of control are accounted for as equity transactions and therefore do not have any impact on goodwill. The difference between consideration and the non-controlling share of net assets acquired is recognised within equity. |
A related party is a person or entity that is related to the Group. These include both people and entities that have, or are subject to, the influence or control of the Group. | ||||
Related party balances | \u20ac million Total 2025 | \u20ac million Total 2024 |
Sales to joint ventures | 1,018 | 1,168 |
Purchases from joint ventures | 128 | 110 |
Receivables from joint ventures | 90 | 112 |
Payables to joint ventures | 149 | 111 |
Loans to joint ventures | 205 | 227 |
Royalties and service fees | 23 | 9 |
A related party is a person or entity that is related to the Group. These include both people and entities that have, or are subject to, the influence or control of the Group. | ||||
\u20ac million 2025 | \u20ac million 2024 | \u20ac million 2023 | |
Fees payable to the Group\u2019s auditors for the audit of the consolidated and parent | |||
company accounts of Unilever PLC | 13 | 12 | 7 |
Fees payable to the Group\u2019s auditors for the audit of accounts of subsidiaries of | |||
Unilever PLC pursuant to legislation(a)(b) | 19 | 20 | 16 |
Total statutory audit fees | 32 | 32 | 23 |
Fees payable to the Group\u2019s auditors for the audit of non-statutory | |||
financial statements (c) | 15 | 8 | \u2013 |
Audit-related assurance services(d) | 2 | 1 | \u2013 |
Other taxation advisory services | \u2013 | \u2013 | \u2013 |
Services relating to corporate finance transactions | \u2013 | \u2013 | \u2013 |
Other assurance services(e) | 10 | 7 | 1 |
All other non-audit services(f) | \u2013 | \u2013 | \u2013 |
Total fees payable | 59 | 48 | 24 |
Where events occurring after the balance sheet date provide evidence of conditions that existed at the end of the reporting period, the impact of these events is adjusted within the financial statements. Otherwise, events after the balance sheet date of a material size or nature are disclosed below. | ||||
Country | Name of company | Shareholding |
Argentina | Unilever de Argentina S.A. | 100% |
Australia | Unilever Australia Limited | 100% |
Brazil | Unilever Brasil Ltda. | 100% |
Canada | Unilever Canada, Inc. | 100% |
China | Unilever Services (Hefei) Co. Ltd | 100% |
England and Wales | Unilever Global IP Ltd | 100% |
England and Wales | Unilever U.K. Central Resources Limited | 100% |
England and Wales | Unilever UK & CN Holdings Limited | 100% |
England and Wales | Unilever U.K. Holdings Limited | 100% |
England and Wales | Unilever UK Limited | 100% |
France | Unilever France S.A.S. | 100% |
Germany | Unilever Deutschland GmbH | 100% |
Germany | Unilever Deutschland Holding GmbH | 100% |
India | Hindustan Unilever Limited | 62% |
Indonesia | PT Unilever Indonesia Tbk | 85% |
Italy | Unilever Italia Mkt Operations S.R.L. | 100% |
Mexico | Unilever de Mexico, S. de R.l. de C.V. | 100% |
Mexico | Unilever Manufacturera S. de R.L. de C.V. | 100% |
Netherlands | Unilever Europe B.V. | 100% |
Netherlands | Unilever Nederland B.V. | 100% |
Netherlands | Mixhold B.V. | 100% |
Netherlands | Unilever Finance Netherlands B.V. | 100% |
Netherlands | Unilever International Holdings B.V. | 100% |
Netherlands | Unilever IP Holdings B.V. | 100% |
Netherlands | UNUS Holding B.V. | 100% |
Pakistan | Unilever Pakistan Limited | 99% |
Philippines | Unilever Philippines, Inc. | 100% |
Singapore | Unilever Asia Private Limited | 100% |
South Africa | Unilever South Africa (Pty) Limited | 100% |
Switzerland | Unilever Finance International AG | 100% |
Thailand | Unilever Thai Trading Limited | 100% |
Turkey | Unilever Sanayi ve Ticaret Turk A.S. | 100% |
United States of America | Conopco, Inc. | 100% |
United States of America | Nutraceutical Wellness, Inc. | 100% |
United States of America | Paula's Choice, Inc. | 100% |
United States of America | The LIV Group, Inc. | 100% |
United States of America | Unilever Capital Corporation | 100% |
United States of America | Unilever North America Supply Chain Company LLC | 100% |
United States of America | Unilever United States, Inc. | 100% |
Vietnam | Unilever Vietnam International Company Limited | 100% |