Gloomy outlook at Unilever

Consumer goods group Unilever said 2012 will be a difficult year as growth in emerging markets — which accounts for more than half its business — slows and demand in Europe and North America stays flat at best.

The gloomy outlook sent shares in the Anglo-Dutch group sharply lower yesterday, as chief executive Paul Polman cautioned emerging markets had slowed around 1% over the past year, after the group matched 2011 sales growth forecasts.

At a results briefing, he warned Unilever faced another tough year in 2012 with Europe set for a slow and long recovery, while input cost headwinds will persist although to a lesser extent than in 2011.