Model update

Research evidence excerpt

Model update

Update

July 9, 2026 11:45 AM GMT

Morgan Stanley & Co. International plc+MUnilever PLC | Europe Sarah Simon

Equity Analyst

Model update Sarah.Simon@morganstanley.comTilly Eno +44 20 7425-6064

Tilly.Eno@morganstanley.com +44 20 7677-3662

We update estimates to reflect FX (more favourable), latest David J Roux

M&A activity (Gruns), scanner data, management commentary, Equity Analyst

David.Roux@morganstanley.com +44 20 7425-1040

and newsflow emanating from India FMCG groups. All in, we Chris Linford, CFA

increase FY26 EPS by 3%. Note that our model does not yet ResearchChris.Linford@morganstanley.comAssociate +44 20 7425-1639

reflect the pending disposal of Foods. Richard Li

Research Associate

Richard.Li@morganstanley.com +44 20 7425-1976

Key Takeaways

Unilever PLC (UL.N, UL US)

We note strong operating results from a number of Indian CPG groups; volumes

Household & Personal Care Products | United Kingdom

appear to have held up well, despite price increases taken during the quarter

Stock Rating ++

Industry View In-Line

We also note management commentary suggesting confidence in an acceleration

Price target ++

in sell-in for Beauty & Wellness in Q2 (particularly Liquid IV) Shr price, close (Jul 8, 2026) €54.08

52-Week Range €65.56-47.88

At Q1 results, the company indicated that it expected margins to be broadly Mkt cap, curr (mn) €118,476

Net debt (12/26e) (mn)* €21,633

similar in H1/H2, with modest margin expansion for the year despite cost inflation EV, curr (mn)* €143,749

We see risk to the upside on the H1 margin, though, given price increases already * = GAAP or approximated based on GAAP

implemented (but cost inflation back loaded) and savings ahead of plan. Fiscal Year Ending 12/25 12/26e 12/27e 12/28e

Sales / Revenue 50,503 52,213 54,084 56,004