Consumer goods giant Unilever is on track to complete the demerger of its Ice Cream business by the end of 2025. This strategic move, which was slightly delayed by the US government shutdown, aims to create a “simpler and more focused” Unilever while also establishing a “world-leading” standalone ice cream entity. The portfolio includes powerhouse brands such as Ben & Jerry’s, Magnum, and Cornetto.
The separation process has already impacted Unilever’s financial reporting. In its third-quarter results, the company reported a 3.5% decline in overall turnover, largely due to the impending demerger. However, excluding the ice cream unit, Unilever delivered a stronger underlying sales growth of 4.0%. Despite the ongoing separation, the ice cream division itself reported a 3.7% sales growth in Q3.
CEO Fernando Fernandez stated that this demerger will allow Unilever to operate with a “sharper focus and structurally higher margin profile”. The company maintains its full-year growth forecast of 3-5%, supported by productivity gains and a stronger performance in both developed and emerging markets.