TMICC reported full-year revenue of €7.9bn (€8.0bn expected), reflecting underlying sales growth of 4.2%. The miss was driven by softer than expected volume growth.
Underlying cash profit (EBITDA) fell 6% to €1.3bn. This was below market expectations due to unfavourable currency moves and higher-than-expected service agreement costs with Unilever.
Free cash flow fell 95% to €38mn due to separation costs. Net debt rose from €0.3bn to €3.0bn due to payments to Unilever to complete the separation.
In 2026, organic sales growth is expected to land in the 3-5% range. Underlying cash profit margins are expected to improve by 0.4-0.6 percentage points.
The shares fell 13.9% in early trading.
Our view
HL view to follow.
The Magnum Ice Cream Company key facts
All ratios are sourced from LSEG Datastream, based on previous day’s closing values. Please remember yields are variable and not a reliable indicator of future income. Keep in mind key figures shouldn’t be looked at on their own – it’s important to understand the big picture.
This article is original Hargreaves Lansdown content, published by Hargreaves Lansdown. It was correct as at the date of publication, and our views may have changed since then. Unless otherwise stated estimates, including prospective yields, are a consensus of analyst forecasts provided by LSEG. These estimates are not a reliable indicator of future performance. Yields are variable and not guaranteed. Investments rise and fall in value so investors could make a loss.
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