London (AFP) – British consumer goods giant Unilever on Thursday said net profit fell five percent in the first six months of the year, as it prepares to demerge its ice cream business. Profit after tax dropped to 3.5 billion euros ($4 billion) compared with the first half of 2024, said the maker of products ranging from Dove soap and Cif surface cleaner to Hellmann’s mayonnaise.
Unilever’s turnover slipped three percent to 30.1 billion euros, while underlying sales grew more than expected thanks to a strong performance from its ice cream business, making the Ben & Jerry’s and Magnum brands. Unilever is undergoing a turnaround to boost its performance, which has included spinning off its ice cream division, job cuts, and bringing in new chief executive Fernando Fernandez.
The new standalone firm, The Magnum Ice Cream Company, is on track to begin operating by mid-November. Fernandez on Thursday said Unilever would focus on growing sales in the United States and India, as well as prioritizing its personal care and beauty divisions. The group maintained its sales outlook for the full year.
Without specifically referring to US tariffs, it highlighted an “uncertain” macroeconomic and currency environment, adding that the group “will be agile in adjusting…plans as necessary.” Fernandez took over as CEO in March after Hein Schumacher spent less than two years in the role, during which time the company posted two sets of disappointing annual results.
© 2024 AFP
