Unilever(UK)(US:UL) Xin Jing Bao·2025-10-25 09:33Core Viewpoint - Unilever is adjusting the timeline for the spin-off of its ice cream business, now named Magnum Ice Cream Company, due to the ongoing U.S. government shutdown, but remains confident in completing the spin-off by 2025 [1][3][4]. Spin-off Timeline Adjustment - Unilever announced on October 21 that the spin-off of its ice cream business will be adjusted due to the U.S. government shutdown, with plans to complete the spin-off by 2025 [3][4]. - The spin-off is part of Unilever's strategy to simplify its operations and focus on its core business areas, which include beauty and health, personal care, home care, and nutrition [3][4]. Business Structure and Strategy - The board believes that under a different ownership structure, the ice cream business will better realize its growth potential, given its unique characteristics such as supply chain and sales channel dynamics [4]. - Post-spin-off, the ice cream management team will have operational and financial flexibility to optimize manufacturing and logistics networks and develop diverse distribution channels [4]. Financial Performance and Market Position - The newly formed Magnum Ice Cream Company has a business scale of €8.3 billion and operates in 76 countries, holding a 21% global market share [6]. - In 2022, the ice cream business reported a revenue of €7.888 billion, with a projected revenue of €8.282 billion for 2024 [6][7]. - The ice cream business's underlying sales grew by 9% in 2022, but faced challenges in 2023 with a 2.3% growth due to declining market share and profitability [7][8]. Market Dynamics in China - In the Chinese market, Magnum Ice Cream Company ranks second in market share, trailing behind Yili, and faces new challenges due to market changes and consumer preferences [1][11]. - The ice cream market in China is experiencing a shift towards more affordable products, with a notable decline in high-priced ice cream sales [11][12]. - The company is adapting to these changes by focusing on a more tailored market approach and product portfolio [9][10].