1 Green Flag for Unilever, and 1 Red Flag
Inflation is grabbing headlines today as consumers face rising prices throughout their daily lives. One place inflation is easily noticeable is the grocery store, where products from companies like Unilever (NYSE: UL) line the shelves. Consumer products makers are dealing with their own inflation headwinds and are passing on the financial hit as fast as they can.
Here's how Unilever is faring in this effort and why inflation remains a big problem for the company.
Unilever was able to increase prices by a huge 11.2% in the second quarter of 2022. That comes after price increases of 8.3% in the first quarter and 4.9% to close out 2021. It is, without a doubt, moving quickly to forward its rising costs on to consumers. That is exactly what Unilever should be doing right now, and the action is having the desired effect. Notably, in the second quarter, organic sales rose a hefty 8.8%.
Source Fool.com
