The Magnum Ice Cream Company N.V.

Magnum Ice Cream Company has welcomed a US court decision that significantly narrows a lawsuit brought by former Ben & Jerry's independent directors over the ice-cream brand's activism and governance changes. Judge Kevin Castel of the federal court in Manhattan on Friday dismissed seven of the ten counts and trimmed another, while holding that Magnum, the Amsterdam-headquartered ice-cream business created from Unilever's spin-off last year, should stand as the main defendant in place of the FMCG conglomerate. The case was filed by former Class I directors linked to Ben & Jerry's independent board, accusing Unilever and Magnum of breaching commitments dating back to the UK-listed group's 2000 acquisition of the US ice-cream brand, under which Ben & Jerry's retained unusual protections around its board structure, social mission and foundation. Two claims that remain in full relate to previous settlement agreements with Unilever, and a further claim that partially survives relates solely to an ongoing governance dispute, including allegations tied to missed payments under a 2022 settlement over the sale of Ben & Jerry's trademark rights in Israel. Magnum said the decision to drop Ben & Jerry's from the case rightly demonstrates that the former directors had no right to sue on behalf of Ben & Jerry's, which is thriving under TMICC's ownership, and that the judge has ruled only on whether there is legal basis for the claim to proceed, not on their merits.

The Magnum Ice Cream Company posted first-half core earnings above analyst expectations on July 30, driven by cost cuts since its 2025 spinoff from Unilever and a heatwave-driven summer surge for Ben & Jerry's. Revenue reached €4.7 billion, up from €4.5 billion a year earlier, with organic sales growth of 4.7% across every region, while adjusted EBIT climbed 7.5% to €716 million, though separation costs pulled net profit down to €349 million. Ben & Jerry's led the gains, accelerating to 9.2% growth in the second quarter as new stick and sandwich formats attracted buyers in the Americas and Europe. A productivity programme launched in 2024 delivered €90 million in first-half savings, mostly from the supply chain, and a favorable working capital swing nearly doubled free cash flow to €273 million. Management reaffirmed full-year guidance of 3% to 5% organic sales growth as the company enters peak summer demand.

Longleaf Partners Fund highlighted The Magnum Ice Cream Company N.V. as a contributor in the second quarter of 2026, citing improved results and market recognition. The fund noted that Magnum reported better results in May, and the market began to recognize the company's potential for 3–5% revenue growth and margin improvement, with free cash flow power expected to exceed €1.50 per share in two years. The fund also mentioned reports of private equity interest in acquiring Magnum, which it said would make sense given the successful PE investment in industry number-two player Froneri. Magnum had struggled after its spinout from Unilever late last year and a poorly received first quarterly call in February, but the stock has since recovered, closing at $18.53 on July 10 with a market capitalization of $11.41 billion and a year-to-date gain of 16.91%.

The Magnum Ice Cream Company N.V. has granted options over ordinary shares to 12 persons discharging managerial responsibilities under its one-time Foundation Plan for Growth. The grants, made on 16 June 2026, total 7,075,408 options at exercise prices of EUR15.33, GBP13.23, or USD17.82 depending on the trading venue. Chief Executive Officer Peter ter Kulve received 2,362,060 options, Chief Financial Officer Abhijit Bhattacharya received 1,330,010 options, and other senior leaders received amounts ranging from 48,212 to 1,071,235 options. The options vest 50% after three years and 50% after four years, subject to continued holding of personal investments and the company's total shareholder return exceeding the median of its sector peer group.