Unilever's ice cream sales soar before major business shift

In the first half of 2025, Unilever demonstrated significant growth primarily driven by its ice cream division, which includes popular brands such as Ben & Jerry’s and Magnum. Within those six months, sales from this sector increased by 5.9%, primarily due to a favorable increase in consumer demand linked to warmer weather and strategic price adjustments. More specifically, there was a notable 3.8% rise in unit volumes purchased by consumers, as higher temperatures encouraged ice cream consumption. The company noted that Magnum experienced remarkable double-digit sales growth, while another key brand, Cornetto, grew in the high single-digit range. Looking ahead, Unilever is on track to separate its ice cream business from its broader operations, a process set to culminate in a demerger scheduled for mid-November 2025. This separation will result in the formation of the Magnum Ice Cream Company, which will be primarily listed in Amsterdam. Despite this divestiture, Unilever plans to retain a minority stake of less than 20% in the newly formed entity. This strategic move is part of a larger corporate vision aimed at shifting Unilever's focus towards beauty and personal care markets, thus reducing its concentration on food-based products. In light of this strategic reorientation, Unilever has also sold its Vegetarian Butcher plant-based brand and is actively considering the potential sale of its Graze snacking line. Company officials indicated that these decisions reflect a comprehensive effort to streamline operations and concentrate on high-growth areas. In the latest statement, Unilever pointed out a 2.2% growth in its overall food range, combining products that include Hellmann's mayonnaise and Marmite, alongside personal care and beauty categories, which grew by 4.8% and 3.7%, respectively. The chief executive of Unilever, Fernando Fernandez, emphasized the company's effective performance in both developed and emerging markets. He noted that their focused interventions in these regions have accelerated growth to 3.8% during the second quarter of 2025, contributing to positive volume growth across all business sectors. The given results and positive outlook are indicative of Unilever's commitment to enhancing its marketing and sales strategies, aiming to build a robust framework that fosters high desirability in their core brands and ensures consistent volume growth as well as improved gross margin.