Financial Data and Key Metrics Changes - Underlying sales growth for the first half was 3.4%, with volumes contributing 1.5% and price growth at 1.9% [8][31] - Turnover for the first half was €30.1 billion, down 3.2% year on year, primarily due to a negative currency impact of 4% [31][36] - Underlying operating profit was €5.8 billion, a decline of 4.8% versus the prior year, with underlying earnings per share at €1.59, down 2.1% [36] Business Line Data and Key Metrics Changes - Beauty and Well-being underlying sales growth was 3.7%, driven by 1.7% volume and 2% price [15] - Personal Care delivered 4.8% underlying sales growth, with 1.4% from volume and 3.3% from price [19] - Homecare underlying sales grew 1.3%, with 1.1% from volume and 0.2% from price [23] - Foods delivered competitive sales growth of 2.2%, with 0.3% from volume and 1.9% from price [25] - Ice cream underlying sales grew 5.9%, driven by a 3.8% increase in volume and 2% price growth [26] Market Data and Key Metrics Changes - Developed markets represented 44% of group turnover, with first half underlying sales growth of 4.3% [10] - North America saw underlying sales growth of 5.4%, with volumes up 3.7% [5] - Asia Pacific Africa, representing 43% of group turnover, delivered underlying sales growth of 3.5% [12] - Latin America grew only 0.5%, with a 4.6% decline in volume [13] Company Strategy and Development Direction - The company is focused on a transformation towards beauty and well-being, with significant investments in premium brands and innovation [50][56] - The demerger of the ice cream business is set for mid-November, with plans to retain a stake of just below 20% [28][29] - The company aims for multiyear volume growth of at least 2% and consistent gross margin expansion [47][56] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving a second half underlying sales growth of 3% to 5%, with expectations for improved performance in emerging markets [42][46] - The macroeconomic environment remains uncertain, particularly in Latin America and China, but there are signs of recovery in India and Indonesia [46][94] - The company anticipates an improvement in underlying operating margin for the full year, with second half margins expected to be at least 18.5% [42][60] Other Important Information - The company completed a share buyback program of €1.5 billion, contributing 1.5% to earnings in the first half [38][41] - Free cash flow for 2025 was €1.1 billion, down from €2.2 billion in the prior year due to lower operating profit and ice cream separation costs [38][39] Q&A Session Summary Question: Expectations for ex-ice cream performance and volume acceleration - Management expects volume growth of about 2% for the remaining company in the second half, supported by improved market conditions and strong brand investments [63][65] Question: Insights on M&A strategy and recent acquisitions - The company remains committed to bolt-on M&A, focusing on beauty and personal care brands with strong digital presence and functionality, such as Doctor Squatch and Wilde [71][72] Question: Outlook for Latin America and performance in key markets - Management acknowledged a weak quarter in Latin America, with challenges in Brazil and Mexico, but expects improvements in the second half as pricing strategies are adjusted [77][81] Question: Recovery expectations in Asia, particularly India and Indonesia - Management is optimistic about growth in India, with strong performance in Home Care and e-commerce, while Indonesia is expected to show positive volume growth in the second half [89][92]