UNVR - Net profit drops 10.54% in 1H24

UNVR - Net profit drops 10.54% in 1H24 Unilever Indonesia (UNVR) recorded a decline in performance in terms of profit and revenue in the first semester of 2024. According to the financial report released on the Indonesian Stock Exchange website, Wednesday (24/7), UNVR recorded a net profit of IDR2.47 tn. UNVR's net profit fell 10.51% from the same period in 2023, namely IDR2.76 tn. Likewise, UNVR's revenue in the first half of 2024 fell by 6.16% to IDR19.04 tn. Even though in the same period last year UNVR recorded revenue of IDR20.29 tn. UNVR's profit fell more deeply than revenue due to a smaller decrease in expenses. UNVR's cost of revenue fell 5.89% to IDR9.57 tn. Previously, in the same period in 2023, UNVR's principal cost was recorded at IDR10.17 tn. So UNVR's gross profit also decreased by 6.42% to IDR9.46 tn. Sales of the home and personal care segment and the food and beverage segment both fell. Home and personal care segment sales fell 7.32% to IDR12.28 tn. Meanwhile, sales in the food and beverage segment fell 3.98% to IDR6.76 tn. Furthermore, UNVR's total assets in the first semester of 2024 amounted to IDR19.72 tn or an increase of 18.37%. Likewise, total liabilities also increased 27.03% year to date to IDR16.86 tn. Meanwhile, UNVR's total equity actually decreased by 15.68% to IDR 2.85 tn. (Source : Kontan) Comment : UNVR 1H24 net profit came in a run rate of 48.6% and 47.8% of ours and consensus ‘24F net profit figure for UNVR. We expect UNVR to record better earnings in the following quarters mainly back by softer product boycott and continuing soft commodity price.