Domestic sales at Unilever Indonesia grew by 3.5%, supported by a\n2.1% increase in underlying volume growth. Meanwhile, net sales from\ncontinuing operations reached Rp 8.4 trillion, marking a 2.8% rise\ncompared to the same period last year.<\/p>\n
On the profit front, the company recorded net profit from continuing\noperations of Rp 1.3 trillion, a 14.1% increase from the previous year.\nThe gross margin from continuing operations stood at 48.2%, down 18\nbasis points year-on-year. However, excluding transformation costs, the\ngross margin remained at 48.8%.<\/p>\n
Profit before tax from continuing operations also rose to 18.9%, up\n167 basis points from last year. In the first quarter of 2026, Unilever\nIndonesia completed the divestiture of its SariWangi tea business.<\/p>\n
Management States Performance Momentum Continues to Strengthen<\/p>\n
President Director of Unilever Indonesia, Benjie Yap, stated that\nthis first-quarter achievement represents an important step for the\ncompany to continue the growth momentum built throughout 2025.<\/p>\n
\u201cThe first-quarter 2026 results mark an important step forward,\nreflecting the momentum established throughout 2025. Amid still\nchallenging external conditions, the disciplined measures we have\nimplemented over the past year are beginning to show progress in the\nquality of growth, market execution strength, and the resilience of the\ncompany\u2019s financial performance,\u201d said Benjie Yap in a written statement\non Thursday (30\/4\/2026).<\/p>\n
\u201cThese first-quarter performance results further strengthen our\nconfidence that our business is on a positive advancement path,\nsupported by continuously improving fundamentals and increasingly\nstrengthening momentum,\u201d he added.<\/p>\n
Focus on Categories, Sales Channels, and Costs<\/p>\n
Unilever Indonesia stated that the company\u2019s business strategy is\ncentred on three main pillars: categories, sales channels, and costs.\nThese three pillars are directed to support more quality long-term\ngrowth.<\/p>\n
On the category pillar, the company focuses on building broader\nconsumer interest through optimisation of the portfolio in\nfaster-growing segments. Unilever is also accelerating its social-first\ndemand creation strategy to ensure that product innovations remain\nrelevant and strongly appealing to consumers.<\/p>\n
The company continues to enhance product affordability through the\nlaunch of value-priced packaging. Additionally, brand activations are\nexpanded to reach more consumers, accompanied by innovations tailored to\nthe needs of each channel.<\/p>\n
To strengthen core brands, Unilever Indonesia applies a 6P approach,\nnamely Product, Packaging, Proposition, Promotion, Place, and Pricing.\nPortfolio transformation is also ongoing towards higher-growth segments.\nThe contribution from these segments increased from 8.3% in Q1 2025 to\n10.0% in Q1 2026.<\/p>\n
Strengthen General Trade, Modern Trade, to Digital Commerce<\/p>\n
On the sales channel side, Unilever Indonesia continues to strengthen\nmarket infrastructure and execution. Domestic sales growth of 3.5% was\nsupported by momentum in General Trade and Modern Trade channels, as\nwell as contributions from Health and Beauty and Digital Commerce.<\/p>\n
The company views this achievement as reflecting improvements in\nfield execution quality, including alignment between demand creation and\nproduct availability in stores.<\/p>\n
In addition to General Trade and Modern Trade, Unilever is driving\ngrowth in future channels, particularly Health and Beauty. This strategy\nis pursued through portfolio development aligned with consumer needs,\nstrengthening strategic partnerships, and category growth. The exclusive\nlaunch of TRESemm\u00e9 Silk Press and partnership with AS Watson are part of\nthese steps.<\/p>\n
Digital Commerce is also one of the company\u2019s priorities. Unilever\nIndonesia leverages relevant momentum and conversations, strengthens\nsearch visibility, and collaborates with affiliate communities to expand\nmarket reach.<\/p>\n
Costs<\/p>\n
From the cost side, the company continues to strive to improve gross\nmargins through productivity across all business lines and acceleration\nof digital transformation. Cost discipline and the transformation agenda\nare said to enhance the resilience of the company\u2019s margins.<\/p>\n
Along with the recovery in sales volume, the impact of operational\nleverage is starting to show in the profit and loss performance. This\nhelps support gross margins even as the company still faces pressures\nfrom rising input costs and foreign exchange fluctuations.<\/p>\n
Future Targets<\/p>\n
Looking ahead, Unilever Indonesia will remain focused on driving\ngrowth that outperforms the market and anticipating external pressures.\nThe company also forecasts moderate margin increases throughout\n2026.<\/p>\n
\u201cAlthough market conditions continue to change, we still expect\nmoderate margin improvements for 2026 overall. Our priorities remain the\nsame: strengthening the business foundation, achieving consistent\ngrowth, and creating sustainable value for shareholders,\u201d Benjie\nconcluded.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/profits-soar-unilever-indonesias-earnings-rise-14-1-to-rp-1-3-trillion-in-q1-2026-1777539229", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }