Unilever has reported a decline in profit due to costly disposals and adverse currency fluctuations.
The FTSE-100 company, which owns brands such as Dove, Colman's and Persil, recorded a turnover of €30.1bn - a decrease of 3.2% year on year.
Sales increased by 3.4% in the first half of the year, bolstered by a robust performance from Unilever's Gloucester-based ice cream division, which has spun off and will be listed later this year as part of its simplification strategy.
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The independent, listed firm will be named The Magnum Ice Cream Company (TMICC), housing brands like Magnum and Ben & Jerry's. Unilever plans to retain a 20%t stake in TMICC for up to five years.
Turnover in the ice cream division, which represents 15% of sales, rose 5.9% per cent to €4.6bn, although underlying operating profit fell 2.2%, as reported by .
Under the leadership of CEO Peter ter Kulve, the company will have a triple listing, with Amsterdam as the primary listing location and London and New York as secondary listings.
The costs associated with the demerger are estimated to be around €850m.
Sales in food, home care, personal care and beauty – each accounting for approximately 20% of turnover – grew 2.2%, 1.3%, 4.8% and 3.7%, respectively.
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Underlying operating profit declined in every segment except food, with underlying earnings per share down 2.1% to €1.59.
Unilever is focusing on productivity savings.
Unilever stated its efficiency programme "remains ahead of schedule". The firm aims to achieve €650m in cost reductions by the conclusion of 2025 and €150m in savings during 2026.
Former chief Hein Schumacher's expansion strategy emerged during a difficult period when the multinational encountered reduced profitability as consumers restricted spending throughout the cost-of-living squeeze.
Reorganisation expenses from the initiative totalled €239m during the first six months, representing a marginal fall from €248m in the corresponding period.
Throughout the complete year, Unilever anticipates restructuring expenditure of approximately 1.4% of revenue.
Free cash generation in the opening half of 2025 stood at €1.1bn, compared with €2.2bn achieved in the first half of 2024, attributed to expenses related to divesting its ice cream division and reduced earnings.
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For 2025, Unilever projects underlying revenue expansion of between 3-5%, with second-half performance exceeding first-half results despite muted market circumstances.
Chief Executive Fernando Fernandez said: "Our first half performance positions us well for the full year. In the second half, we expect further acceleration in emerging markets, particularly in Asia, and sustained momentum in developed markets.
"We are on track to demerge Ice Cream by mid-November, with the operational separation now complete and competitive performance improving.
"Looking ahead, our priorities are clear: more Beauty & Wellbeing and Personal Care; disproportionate investment in the US and India; and, a sharper focus on premium segments and digital commerce."