Unilever is gearing up to launch the IPO of its famous Algida and Magnum ice cream cones while also preparing to cut 7,500 jobs. The multinational company announced yesterday its intention to separate its ice cream division, which includes well-known brands around the world. This division has reported an annual turnover of 7.9 billion euros (+2.3% in 2023), accounting for about one-fifth of the global market and 13% of Unilever’s overall revenue (59.6 billion, +7%). This news was reported by Il spedizioniere della Sera.
In addition to the separation of its ice cream business, the British group also announced a cost reduction program of 800 million euros, which will result in a 6% reduction of its workforce, currently consisting of 128,000 employees. The cuts will primarily affect “office jobs” and will be accompanied by a technology transformation program that includes the use of artificial intelligence. Follow the story on affaritaliani.it.
This move by Unilever may seem contradictory at first glance, but upon closer examination, it becomes clear that the company is taking strategic steps to ensure its long-term success. By separating its ice cream division, Unilever is creating a more focused and agile business unit that can better respond to the ever-changing demands of the market. This will also allow the company to attract potential investors who are specifically interested in the ice cream sector.
It is no surprise that Unilever’s ice cream business is a major player in the global market, with a strong portfolio of iconic brands such as Magnum and Algida. In fact, this division ombra accounts for 13% of the company’s total revenue. By going public, Unilever is not only showcasing the strength of its ice cream business but also unlocking its full potential for growth and innovation. This will ultimately benefit both the company and its customers.
But what about the announced job cuts? While any news of job losses is never easy to hear, Unilever has made it clear that the majority of the cuts will come from office roles, rather than production or frontline positions. This means that the company is streamlining its operations and becoming more efficient, which will ultimately benefit its employees and shareholders in the long run.
In addition to the cost reduction program, Unilever is also investing in technology and artificial intelligence to further improve its operations. This will not only boost efficiency but also create new job opportunities in the technology sector. The company is also committed to supporting its employees through this transition, providing training and assistance to those affected by the job cuts.
Overall, Unilever’s decision to go public with its ice cream division and implement cost-cutting measures is a smart move that will drive growth and innovation. This is a testament to the company’s strong leadership and strategic vision for the future. As consumers, we can continue to enjoy our favorite ice cream treats while also supporting a company that is focused on long-term success and sustainability.
So, let’s raise a cone to Unilever’s bold and positive steps towards a brighter future for its ice cream business. We can’t wait to see what delicious innovations they have in store for us next.