Medical aesthetic products. Unilever FY2022: price hikes push sales up 9 percent

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THE WHAT? Unilever has announced its results for fiscal 2022. The UK-based FMCG manufacturer reported underlying sales growth of 9 percent, driven by all units, with price growth of 11.3 percent and volumes dropping 2.1 percent.  

THE DETAILS Turnover was up 14.5 percent to €60.1 billion, and underlying operating profit improved slightly to €9.7 billion, despite inflation putting pressure on margins.

In terms of performance by category, the Beauty & Wellbeing unit saw underlying sales rise 7.8 percent, thanks to another year of strong growth in the Prestige and Health & Wellbeing divisions, which now account for more than €2.5 billion of turnover.

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Meanwhile, by region, Emerging markets grew underlying sales by 11.2 percent with China declining slightly but South Asia saw strong growth in both price and volume, and Latin America growing 20.1 percent in price. Developed markets put on a more modest 5.9 percent with volumes holding up better in North America than Europe.

THE WHY? CEO Alan Jope stated, “Unilever delivered a year of strong topline growth in challenging macroeconomic conditions… Despite sharp rises in material costs, we have prioritised stepping up our brand and marketing investment. Underlying operating margin was delivered in line with our guidance, with underlying operating profit up for the year.

“We have made further progress in the transformation of Unilever and continued to deliver against our strategic priorities. Our new operating model is already unlocking a culture of bolder and more rapid decision-making with improved accountability. We continue to improve our growth profile, with the sale of the global Tea business and the acquisition of Nutrafol. We are increasingly realising the benefits from the reshaped portfolio, accelerated savings delivery and improved execution.

“There is more to do, but the changes we have made mean that we start 2023 with momentum, setting us up well for delivering another year of higher growth, which remains our first priority.”

Medical aesthetic products refer to a category of products used in the field of medical aesthetics, which combines medical practices with cosmetic procedures to improve the appearance of individuals. These products are typically used under the supervision of trained medical professionals such as dermatologists, plastic surgeons, or specialized nurses. They are distinct from over-the-counter cosmetics in that they often contain higher concentrations of active ingredients or require medical expertise for their application.

Examples of medical aesthetic products include:

• Dermal Fillers: Injectable substances used to restore volume, fill wrinkles, and enhance facial contours. These may include hyaluronic acid fillers like Juvederm or collagen-stimulating fillers like Sculptra.

• Botulinum Toxin (Botox): Injectable neurotoxins used to temporarily paralyze facial muscles, reducing the appearance of wrinkles and fine lines caused by facial expressions.

• Chemical Peels: Solutions containing chemical exfoliants like glycolic acid, salicylic acid, or trichloroacetic acid, used to improve skin texture, treat acne scars, and reduce hyperpigmentation.

• Laser and Light Devices: Equipment used for various skin treatments, including hair removal, skin resurfacing, tattoo removal, and treatment of vascular and pigmented lesions.

• Prescription Skincare Products: Formulations containing active ingredients such as retinoids (e.g., tretinoin), hydroquinone, or prescription-strength antioxidants, designed to address specific dermatological concerns under medical supervision.

• Microneedling Devices: Devices that create tiny punctures in the skin to stimulate collagen production and improve skin texture and elasticity.

• Cosmeceuticals: High-quality skincare products that bridge the gap between cosmetics and pharmaceuticals, often containing biologically active ingredients with proven efficacy.