2026 Half Year Results Accessibility: Skip TopNav 2026 Half Year Results July 30, 2026 02:00 ET | Source: The
Magnum Ice Cream Company N.V. The Magnum Ice Cream Company N.V. TMICC H1 2026 results Solid performance, driven by
innovation and operational rigourH1 organic sales growth +4.7%; Full-year outlook reaffirmed Amsterdam, 30 July 2026 H1
2026 revenue €4.7 billion (H1 2025: €4.5 billion), +4.7% organic sales growth (OSG) balanced between volume +2.5%
and price +2.2%, and across all regionsQ2 2026 revenue €2.9 billion (Q2 2025: €2.7 billion), +4.9% OSGOperating
Profit €587 million (H1 2025: €569 million), reflects improved Adjusted EBIT partially offset by an increase in
adjusting itemsH1 2026 Adjusted EBIT €716 million (H1 2025: €666 million), H1 2026 Adjusted EBIT margin 15.3% (H1
2025: 14.8%), +50bps versus H1 2025H1 2026 Adjusted EBITDA €880 million (H1 2025: €853 million), H1 2026 Adjusted
EBITDA margin 18.7% (H1 2025: 19.0%), impacted -70bps by Transitional Service Agreements (TSAs), with previously
allocated depreciation charged as cash costs, and -30bps due to the acquisition in IndiaProductivity programme remains
on track, with €90 million of savings delivered in H1 2026Successfully integrated India and Portugal acquisitions
Financial HighlightsIn €, percentage (unaudited)H1 2026H1 2025Q2 2026Q2 2025Revenue (in €
billions)4.6914.5032.9212.711Reported revenue growth4.2%2.5%7.8%1.4%Organic Sales Growth(a) 4.7%5.8%4.9%7.0%Organic
Volume Growth2.5%3.5%2.3%4.9%Organic Price Growth(a)2.2%2.1%2.5%2.0% Operating profit (in €
millions)587569 Adjusted EBIT (in € millions)716666 Adjusted EBITDA (in €
millions)880853 Operating profit margin (% revenue)12.5%12.6% Adjusted EBIT margin (%
revenue)15.3%14.8% Adjusted EBITDA margin (% revenue)18.7%19.0% Free Cash Flow (FCF, in €
millions)273138 Diluted Earnings Per Share (€)0.55 Adjusted Earnings Per Share (€)0.72 (a) India and
Portugal were not in the perimeter and paid royalty for the use of TMICC brands prior to acquisitions completed on 30
March 2026 and 1 April 2026 respectively. The underlying growth of The Magnum Ice Cream Company N.V. (the ‘Company’
or ‘TMICC’) excluding these royalties would be Organic Sales Growth (OSG) 4.8% and Organic Price Growth (OPG) 2.3%.
Peter ter Kulve, CEO: “We delivered another solid performance for the first half, achieving growth of 4.7%, balancing
volume and value to outperform the growing global ice cream category. Growth in the first half continued to be powered
by market-making innovation and our occasion-led demand creation model. Each of our four leading brands – Magnum, Ben
& Jerry’s, Cornetto, and the Heartbrand – grew, with innovation across flavours and formats, exciting consumers
and customers. Ben & Jerry’s grew mid-single-digit and had an outstanding second quarter with 9.2% growth. Yasso,
our high-protein, low-calorie offering, continued to grow double-digit after its successful expansion from sticks to
pints. Our key summer selling season got off to a strong start. We grew and gained share in all regions, including the
US – our biggest market – supported by improved operational rigour. Our productivity programme remains on track,
helping us deliver underlying margin improvement and providing fuel for growth. This demonstrates the strength of our
frontline-first model and ownership culture, which is driving better end-to-end execution. Looking ahead, while we’re
clear-eyed on the wider external challenges, we are committed to our strategy, confident in our ability to execute, and
reaffirm our full-year outlook.” Performance review H1 2026 Revenue was €4.7 billion (H1 2025: €4.5 billion) with
Organic Sales Growth (OSG) for the first half +4.7%. Volume was +2.5% higher and price was up +2.2%. All three regions
contributed to growth, with Europe & ANZ +4.1%, Americas +3.2%, and AMEA +7.6%. Reported revenue was +4.2% higher
than last year, including +2.3% impact from the acquisitions in India and Portugal and -2.7% foreign currency
translation effects (forex). Forex translation effects related mainly to the strengthening of the euro against key
currencies, particularly the Turkish Lira and US Dollar. Adjusted EBIT was €716 million (H1 2025: €666 million) and
Adjusted EBIT margin was 15.3% (H1 2025: 14.8%), driven by improved gross margin, resulting from productivity savings
and pricing, partly offset by cost inflation. Operating profit €587 million (H1 2025: €569 million), was impacted by
adjusting items related to establishment costs. Adjusted EBITDA was €880 million (H1 2025: €853 million), with
Adjusted EBITDA margin at 18.7% (H1 2025: 19.0%), primarily impacted by -70bps from TSAs, as previously allocated
depreciation was charged as cash costs, and -30bps from the India acquisition. Operationally, savings from our
productivity programme and select pricing actions more than offset commodity and other supply chain cost inflation. Net
profit was €349 million (H1 2025: €464 million), with €50 million higher Adjusted EBIT more than offset by €62
million higher net finance costs, €40 million net monetary loss from hyperinflation in Türkiye, €32 million
additional establishment and restructuring costs, and €31 million higher taxes. Free Cash Flow was €273 million (H1
2025: €138 million), with the year-on-year increase primarily driven by a favourable working capital movement of
€173 million and higher cash from EBIT, partly offset by an increase in interest payments reflecting our standalone
financing and operating structure. The favourable working capital movement was largely driven by the interim operating
model with Unilever PLC (Unilever). Accordingly, the usual seasonal inventory build-up during the first half did not
result in a corresponding cash outflow. BrandsOur four leading brands – Magnum, Ben & Jerry’s, Cornetto, and the
Heartbrand – continued to drive organic sales growth: Magnum delivered mid-single-digit growth driven by the
successful launch of Magnum Signature La Pistache – ranked as the top ice cream innovation in Europe – and La Peche,
Bonbons in Europe & ANZ, and cones in multiple markets of Europe & ANZ as well as AMEA.Ben & Jerry’s
gained further momentum and grew mid-single-digit across the period, with performance accelerating in the second quarter
– for both the Americas and Europe & ANZ – with new stick and sandwich formats bringing new consumers to the
brand. Social reach and engagement continued to grow, and our annual Free Cone Day was the most successful yet, with
more than one million scoops shared with consumers.Cornetto delivered low-single-digit growth, supported by the launch
of Pistachio MAX in Europe and Türkiye and an improved 'windmill' structure for its famous topping as well as an
on-trend fruit sorbet variant in Europe, China, and selected Southeast Asia markets.The Heartbrand delivered
mid-single-digit growth, driven by the strong performance of Solero within the core range and newly introduced Bonbons,
as well as the continued momentum of Volcanix in Europe and Türkiye. InnovationGrowth continued to be powered by
market-making innovation: Our core portfolio superiority was enhanced with the success of new range additions, such as
Magnum Signature La Pistache and La Peche in Europe. New pint flavours for Ben & Jerry’s, including strawberry
doughnut-ee and churrifically churros-y, are among the top 10 new ice cream products in the UK, Netherlands, and
Germany. We continued to create the “perfect portfolio” with a clear offer across all price points, including new
launches for Popsicle in partnership with Hello Kitty and Bluey in the US, and reinventing Kwality Wall's in India to
lead with a new, improved, dairy recipe. We are taking our premium brands increasingly multi-format. Magnum sandwiches
and ball cones launched strongly in Türkiye, and Ben & Jerry's sticks make up four of the top 10 super premium
novelty innovations in the US, with Ben & Jerry's sandwiches the number one impulse ice cream new product in the UK.
Our category expanding innovation continued with the launch of Yasso pints in the US, tapping growing demand for
healthier scoopable frozen desserts, and Ice Balls in Asia. Channels Our frontline-first model and ownership culture
drove growth in all channels. The At-Home channel grew mid-single-digit, supported by improved service levels, which
enhanced availability. Growth was further supported by stronger in-store execution, driven by more frequent visits from
our dedicated sales force and a greater focus on merchandising. In the US, we continued to rebuild our business in the
value and club segments. The Away-from-Home channel delivered mid-single-digit growth, supported by the continued
expansion of our cabinet fleet in key markets – including India, Pakistan, China, and Mexico – setting us up better
for the key summer season. Digital commerce maintained double-digit growth, driven by solid execution and supported by
strong collaboration with key partners as well as improved digital assets. Productivity Our productivity programme
started in 2024 and is on track to deliver planned savings of €500 million in the medium term. During the first half,
we delivered €90 million in savings, including €70 million in supply chain and €20 million from overheads. We have
continued to reduce waste, improve factory utilisation, and debottleneck our supply chain. Perimeter and TSA progressOur
acquisitions in India and Portugal were completed on 30 March 2026 and 1 April 2026 respectively. Consistent with the
definition of OSG, which includes changes in sales of acquired businesses from the date of business combination, the
growth of India and Portugal has been reflected in reported OSG, Organic Volume Growth (OVG), and Organic Price growth
(OPG) from the second quarter onwards. We have appointed six strategic partners that will form the backbone of our
future technology stack, and we are now entering a key phase of transformation, building our systems, processes and
capabilities. All TSA exits planned for the first half of 2026 were concluded on time, and we continue working to exit
remaining TSAs by the end of 2027. Turkish Competition Authority Investigation UpdateThe Turkish Competition Authority
(TCA) has opened an investigation into our subsidiary in Türkiye focused on the use of cabinets in small retail
outlets. While they do this, they have announced an interim measure that, at retail points with closed net sales areas
of 100 square metres or less, where no other freezer cabinet directly accessible to consumers is present, 30% of the
total cabinet capacity of each TMICC-owned freezer cabinet shall be allocated to competing products or left empty. The
Company has until 15 August 2026 to implement the interim measure, and we will continue to cooperate with the TCA
throughout the process. Full Year 2026 Outlook Whilst we are mindful of continued uncertainty in the global environment,
particularly in the Middle East and the associated knock-on effects to inputs costs, our direct regional exposure
remains limited, and we are taking mitigating actions. Our focus is on executing our growth strategy and productivity
programme, and we are reaffirming our full year outlook. We expect Organic Sales Growth for 2026 to be between 3% to 5%
and an Adjusted EBITDA margin improvement of 40 to 60bps, on a comparable perimeter basis with 2025. The reported
improvement in Adjusted EBITDA margin is expected to be 0 to 20bps, primarily due to the impact of the acquisition of
the India business. -ENDS- Conference call and audio webcast Peter ter Kulve, CEO, and Abhijit Bhattacharya, CFO, will
host a conference call for investors and analysts at 11:00 CEST, to discuss the H1 2026 results. A live webcast of the
conference call will be available on the Magnum Ice Cream Company website and can be accessed here. EnquiriesMedia
Relationsmedia.relations-tmicc@magnumicecream.comInvestor Relationsinvestor.relations-tmicc@magnumicecream.com This
announcement has been submitted to the FCA National Storage Mechanism and is available for inspection at
https://data.fca.org.uk/#/nsm/nationalstoragemechanism. About The Magnum Ice Cream Company The Magnum Ice Cream Company
N.V. EURONEXT: MICC / NYSE: MICC / LSE: MICC is the world's leading ice cream business. Home to four of the world's five
largest ice cream brands: Magnum, Ben & Jerry's, Cornetto and the Heartbrand, our portfolio delights consumers in
80 markets around the world. Headquartered in Amsterdam, The Netherlands, we have a global team of 19,000 employees, a
network of 32 factories, 13 R&D centres, and a fleet of three million freezer cabinets. For more information, visit
www.corporate.magnumicecream.com. TMICC's legal entity identifier is 25490052LLF3XH6G9847. Other information Segment
performance (unaudited) EUROPE & ANZ In €, percentageH1 2026H1 2026Excluding Royalties (a)H1 2025Revenue (in
€ billions)1.9611.9611.861Reported revenue growth5.4%5.4%6.0%Organic Sales Growth4.1%4.3%6.1%Organic Volume
Growth4.8%4.8%3.8%Organic Price Growth-0.6%-0.4%2.2% Adjusted EBITDA margin17.7%17.7%17.2%Adjusted EBIT
margin14.6%14.6%13.6% (a) India and Portugal were not in the perimeter and paid royalty for the use of
TMICC brands. To reflect the underlying performance of the region, OSG and OPG have been presented by excluding these
royalties. Europe & ANZ delivered a solid performance, with +4.1% OSG and market share gains in key markets. Growth
was volume-driven, supported by favourable weather towards the end of the period. France and the UK were the main growth
drivers in the region, with France delivering double-digit growth and the UK posting mid-single-digit growth. In Italy,
we continued to execute our turnaround plan, stabilising sales and market share, following a prolonged period of
decline. Magnum and Ben & Jerry’s performed strongly, delivering high single-digit and mid-single digit growth
respectively, supported by new format innovations and new flavours. Growth was enabled by improved availability and
on-shelf execution, with key wins including new listings. Adjusted EBIT margin improved +100bps despite -50bps headwind
due to lower royalties from India. Strong gross margin delivery was partially offset by previously allocated
depreciation charged as cash costs, which adversely impacted Adjusted EBITDA margin by -90bps. AMERICAS In
€, percentageH1 2026H1 2025Revenue (in € billions)1.4631.479Reported revenue growth-1.1%-2.6%Organic Sales
Growth3.2%1.8%Organic Volume Growth0.1%0.6%Organic Price Growth3.1%1.2% Adjusted. EBITDA margin16.0%15.5%Adjusted
EBIT margin12.9%11.5% The Americas delivered +3.2% OSG and continued to gain market share in both the US and Mexico,
while continuing to execute our turnaround plan in Brazil, where the business remained in decline. Reported revenue was
-1.1% versus last year, due to -4.1% impact from forex translation. In North America, growth was driven by our leading
US brands, with Yasso and Popsicle continuing double-digit growth and Ben & Jerry’s outperforming the broader
market, resulting in market share gains. Innovation continues to revitalise our US portfolio. Strategic partnerships –
including with Hershey and Disney – supported growth across key brands, while Popsicle benefitted from successful
collaborations with Hello Kitty and Bluey. Ben & Jerry’s delivered strong growth, especially during the second
quarter, supported by the launch of stick and sandwich formats.Growth was further supported by increased availability
across the value and club segments for the At-Home channel, as well as through digital commerce. Continued expansion of
our cabinet fleet in Latin America strengthened our presence in the Away-from-Home channel. Adjusted EBIT margin
improved +140bps due to carry-over pricing effect from H2 2025 and savings from our productivity programme, which more
than offset increased distribution costs. Adjusted EBITDA improved +50bps, due to higher EBIT partially offset by
previously allocated depreciation charged as cash costs. AMEA In €, percentageH1 2026H1 2025Revenue (in €
billions)1.2671.163Reported revenue growth9.0%3.8%Organic Sales Growth7.6%10.7%Organic Volume Growth1.9%7.1%Organic
Price Growth5.6%3.4% Adjusted EBITDA margin23.5%26.2%Adjusted EBIT margin19.0%20.9% AMEA continued to grow with
+7.6% OSG. Türkiye performed strongly with double-digit growth despite being impacted by the measures imposed by the
Turkish Competition Authority (TCA). Pakistan continued double-digit momentum, while Indonesia achieved mid-single-digit
growth and significant share gains. India, which was included in the perimeter from the second quarter onwards, also
delivered double-digit growth. OSG was moderated by China, which was impacted by unfavourable weather towards the end of
the period. Reported revenue increased +9.0%, including +6.8% acquisition impact from India and -5.2% forex translation
effects. Growth was driven by innovations from our global brands, such as the Magnum sandwich in Türkiye, and
market-specific launches including Cornetto multi-layer sticks as well as further premiumisation of the core Cornetto
range, including a new windmill structure and a fruit sorbet variant. This was achieved by driving consumption occasions
and expanding market penetration through festive activations, as well as joint business plans with retail partners,
resulting in greater product availability and consumer reach. Adjusted EBIT margin declined -190bps due to significant
external headwinds, including material cost inflation, hyperinflation and measures imposed by the TCA, as well as our
acquisition in India. These impacts were partly mitigated by selective pricing actions and disciplined execution of our
cost management programme. Adjusted EBITDA margin decreased by -270bps, also reflecting previously allocated
depreciation charged as cash costs. Historical half-yearly organic sales, price, and volume growth and Q2 growth per
regions Half-yearly Growth for TMICC In percentageH1 2024H2 2024H1 2025H2 2025H1 2026Organic Sales
Growth-0.7%7.6%5.8%2.2%4.7%Organic Volume Growth-1.7%4.9%3.5%-1.0%2.5%Organic Price
Growth1.1%2.5%2.1%3.2%2.2% Q2 Growth per RegionIn percentageOrganic Sales GrowthOrganic Volume GrowthOrganic
Price GrowthQ2 2026Q2 2025Q2 2026Q2 2025Q2 2026Q2 2025Europe &
ANZ4.2%6.8%5.0%4.2%-0.8%2.5%Americas3.6%1.7%0.1%1.8%3.5%-0.1%AMEA7.5%14.3%0.1%10.2%7.3%3.7% Additional commentary on the
unaudited condensed financial statements (H1 2026) Finance costsNet finance costs totalled €72 million (H1 2025: €10
million), primarily driven by interest cost on credit facilities and bonds. During H1 2025, finance costs did not
include any allocation of interest incurred by Unilever or interest bearing fundings. Taxation Adjusted effective tax
rate for the first half was 30.2% (H1 2025: 21.5%), due to factors including higher unrecognised losses, non-deductible
interest costs, together with a one-off benefit arising from tax settlements in the prior year. The effective tax rate
was 30.4% (H1 2025: 20.7%). For the full year 2026, the adjusted effective tax rate excluding the impact of prior year
tax settlements is expected to be around 27%, at the upper end of our medium-term plan. Net monetary loss Net monetary
loss arising from hyperinflation adjustments for Türkiye was €13 million (H1 2025: gain of €27 million). The
first-half loss compared to a gain for last year is related to a higher net monetary asset position, driven by indirect
tax receivables recognised on asset transfers. Net debt Net debt was €3,264 million (FY 2025: €2,967 million; H1
2025: €300 million). The increase compared with year-end 2025 primarily reflects additional funding raised to support
our strategic growth initiatives, including acquisitions completed during the period, and to meet working capital
requirements as the Company increasingly operates as a standalone business. This was partially offset by a higher cash
balance at period end. Compared with the same period last year, net debt increased primarily as a result of debt
financing raised in November 2025 to fund the settlement of amounts payable to Unilever arising from the separation.
Finance and liquidity During the first half no bonds matured, were repaid, nor issued. On 30 June 2026, the Company had
undrawn facilities and revolving credit facilities aggregating to €1.1 billion. Principal Risks The principal risks
and uncertainties faced by TMICC and its subsidiaries are set out on pages 36 to 39 of the 2025 Annual Report and in the
‘Cautionary Statement’. The nature and potential impact of these risks remain substantially unchanged for the
remaining six months of 2026. Cautionary statement This document may contain forward-looking statements, including
‘forward-looking statements’ within the meaning of the United States Private Securities Litigation Reform Act of
1995, concerning the financial condition, results of operations and businesses of The Magnum Ice Cream Company N.V. (the
‘Company’). All statements other than statements of historical fact are, or may be deemed to be, forward-looking
statements. Words such as ‘will’, ‘aim’, ‘expects’, ‘anticipates’, ‘intends’, ‘looks’,
‘believes’, ‘vision’, ‘ambition’, ‘target’, ‘goal’, ‘plan’, ‘potential’, ‘work towards’,
‘may’, ‘milestone’, ‘objectives’, ‘outlook’, ‘probably’, ‘project’, ‘risk’, ‘seek’,
‘continue’, ‘projected’, ‘estimate’, ‘achieve’ or the negative of these terms, and other similar
expressions of future performance or results and their negatives, are intended to identify such forward-looking
statements. Forward-looking statements also include, but are not limited to, statements and information regarding the
Company’s strategy, plans and expected trends, financial results and results of operations, including trends in the
global ice cream market, the Company’s outlook and expected modelled or potential financial results including, sales
growth and Adjusted EBITDA margin improvement, expectations with respect to the Company’s productivity programme, the
anticipated growth of the global ice cream market, expectations with respect to Company’s strategic partners,
statements with respect to external environment, statements relating to costs and anticipated benefits from pricing such
as increase in supply chain costs, plans and ambitions of the Company to maintain a leadership position in the global
ice cream market, statements with respect to the Turkish Competition Authority investigation, statements regarding the
Company’s exposure to the Middle East and impact of geopolitical events and hostilities, including those in the Middle
East as well as consequences of mitigating actions, statements on the Company’s financial results and result of
operations, the Company’s expected financial and operational position, finalisation of exits from remaining TSAs by
the end of 2027. Forward-looking statements can be made in writing but also may be made verbally by directors, officers
and employees of the Company (including during management presentations) in connection with this document. These
forward-looking statements are based upon current expectations, assumptions, plans and projections regarding anticipated
developments and other factors affecting the Company. They are not historical facts, nor are they guarantees of future
performance or outcomes. All forward-looking statements contained in this document are expressly qualified in their
entirety by the cautionary statements contained or referred to in this section. Readers should not place undue reliance
on forward-looking statements. Because these forward-looking statements involve known and unknown risks and
uncertainties, a number of which may be beyond the Company’s control, there are important factors that could cause
actual results to differ materially from those expressed or implied by these forward-looking statements. Among other
risks and uncertainties, the material or principal factors which could cause actual results to differ materially from
those expressed in the forward-looking statements included in this document are: the Company’s global brands not
meeting consumer preferences; the Company’s ability to innovate and remain competitive; the Company’s investment
choices in its portfolio management; the effect of climate change on the Company’s business; the Company’s ability
to find sustainable solutions to its packaging; significant changes or deterioration in customer relationships; the
Company’s reliance on Unilever; the recruitment and retention of talented employees; disruptions in the Company’s
supply chain and distribution; increases or volatility in the cost of raw materials and commodities; the production of
safe and high-quality products; secure and reliable IT infrastructure; execution of acquisitions, divestitures and
business transformation projects; economic, social and political risks and natural disasters; financial risks; failure
to meet high ethical standards; and managing regulatory, tax and legal matters and practices with regard to the
interpretation and application thereof and emerging and developing ESG reporting standards including differences in
implementation of climate and sustainability policies in the regions where the Company operates. The foregoing list of
risk factors is not exhaustive. You should carefully consider the foregoing factors and the other risks and
uncertainties described in the “Risk Factors” section of the Company’s annual report for the year 2025 and filed
by the Company on Form 20-F with the U.S. Securities and Exchange Commission (the ‘SEC’) on 18 March 2026, the
Company’s other documents on file, and filed from time to time, by the Company with the SEC. These filings do or will
identify and address other important risks and uncertainties that could cause actual events and results to differ
materially from those contained in the forward-looking statements. There may be additional risks that the Company does
not presently know or that the Company currently believe are immaterial that could also cause actual results to differ
from those contained in the forward-looking statements. The forward-looking statements are based on our beliefs,
assumptions and expectations of our future performance, taking into account all information currently available to us.
Forward-looking statements are not predictions of future events. These beliefs, assumptions and expectations can change
as a result of many possible events or factors, not all of which are known to us. If a change occurs, our business,
financial condition, liquidity and results of operations may vary materially from those expressed in our forward-looking
statements. The forward-looking statements speak only as of the date of this document. Except as required by any
applicable law or regulation, the Company expressly disclaims any obligation or undertaking to release publicly any
updates or revisions to any forward-looking statements contained herein to reflect any change in the Company’s
expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is
based. New risks and uncertainties arise over time, and it is not possible for us to predict those events or how they
may affect us. In addition, we cannot assess the impact of each factor on our business or the extent to which any
factor, or combination of factors, may cause actual results to differ materially from those contained in any
forward-looking statements. Market and Industry Information All references to market share, market data, industry
statistics and industry forecasts in this document consist of estimates compiled by industry professionals, competitors,
organisations or analysts, of publicly available information or of the Group’s own assessment of its sales and
markets. Rankings are based on sales unless otherwise stated. None of the Company or its affiliates, representatives,
partners, members, directors, officers, employees, advisers or agents. make any representation or warranty with respect
to the accuracy of such information, and each expressly disclaim any responsibility or liability for any damages or
losses in connection with the use of such information herein. Comparability Prior to 1 July 2025, TMICC did not operate
as a standalone Group. Whilst a part of Unilever, TMICC has historically been reported as an operating segment under
IFRS 8 in Unilever’s annual report and HY condensed financial reporting ('Ice Cream'). The basis of preparation of the
financial information utilised in this announcement is in Appendix A and differs from the Ice Cream segment as presented
historically in Unilever’s financial reporting. As a result, while the two sets of financial information are similar,
there are certain differences in accounting and disclosure under IFRS. These differences primarily include: Removal of
countries (Russia, India, Portugal) which are not in the carve-out perimeter, but historically reported within ‘Ice
Cream’ Other minor adjustments Non-IFRS Financial Measures Definitions The information in this announcement contains
certain measures not defined by, or calculated in accordance with, IFRS, including Organic Sales Growth (OSG), Organic
Price Growth (OPG), Organic Volume Growth (OVG), Adjusted EBITDA, Adjusted EBITDA margin, Adjusted EBIT, Adjusted EBIT
margin, Adjusted Earnings per Share, Free Cash Flow, Net Debt and Adjusted Effective Tax Rate. The non-IFRS financial
measures presented in this announcement may not be comparable to other similarly titled measures used by other
companies, have limitations as analytical tools and should not be considered in isolation, or as a substitute for,
financial information presented in compliance with IFRS. The definition and reconciliation with IFRS measures are
presented in Appendix B. Appendix A Condensed financial statements as of and for the first half ended 30 June 2026
(unaudited) Condensed consolidated income statement (unaudited) In millions of € First
half Notes20262025Change% Revenue24,6914,5031884.2Operating Profit 587569183.1Net finance
costs (72)(10)(62) 650.1-Pensions and similar obligations (1)(5) -Finance income 73 -Finance
costs (78)(8) Net monetary gain/(loss) arising from hyperinflationary economies (13)27(40) (147.6)Profit
before taxation 502586(84) (14.4)Taxation3(153)(122)(31) 25.7Net profit 349464 (115) (24.8)Attributable
to: -Non-controlling interests 710 -Shareholders of the Company / Parent investment 342454 Earnings per
share, in € Basic earnings per share50.56N/A Diluted earnings per share 0.55N/A Condensed
consolidated statement of comprehensive income (unaudited) In millions of € First halfNotes20262025Net
profit 349464Other comprehensive incomeItems that will not be reclassified to profit or loss, net of
tax: Remeasurement of defined benefit pension plans 1122Items that may be reclassified subsequently to profit or
loss, net of tax: Cash flow hedges losses (7)(48)Currency retranslation gains/(losses) 61(236)Total
comprehensive income 414202Attributable to: Non-controlling interests 87Shareholders’ equity / Parent
investment 406195 Condensed consolidated statement of changes in equity (unaudited) In millions of €Invested Capital
Share CapitalShare premiumRetained EarningsOther ReservesTotal Shareholders' Equity(e)Non-controlling InterestsTotal
EquityFirst half 2026 1 January 2026 2,1435,798(172)(7,144)6258633Profit for the
period 342-3427349Other comprehensive income, net of tax Remeasurement of defined benefit
pension plans 11-11 11 Cash flow hedges losses -(7)(7) (7) Currency retranslation
gains(a) -6060161Total comprehensive income 353534068414Movements in shares for employee share
plans (8)(2)(10) (10)Share-based payment credit (b) 18-18 18Hedging losses transferred to non-financial
assets -4242 42Acquisition of non-controlling interests ---252530 June
2026 2,1435,798191(7,051)1,081411,122 First half 2025 1 January
20252,385 3932,778232,801Profit for the period(d)454 -45410464Other comprehensive income, net of
tax Remeasurement of defined benefit pension plans- 2222 22Cash flow hedges
losses- (48)(48) (48)Currency retranslation losses(a)- (233)(233)(3)(236)Total comprehensive
income454 (259)1957202Dividends paid to Unilever(10) -(10)-(10)Share-based payment
credit(b)19 -19-19Dividends declared to non-controlling interests- --(6)(6)Hedging gains transferred to
non-financial assets- (36)(36)-(36)Other transactions with Unilever(c)(111) -(111)-(111)Transactions with
owners of the non-controlling interests- --3330 June 20252,737 982,835272,862 (a) Includes a
hyperinflation adjustment in relation to Türkiye.(b) In H1 2025, the share-based payment credit relates to the
non-cash charge recorded against operating profit in respect of the fair value of Unilever share options and awards
allocated to the Ice Cream Business. It includes the fair value of Unilever share awards allocated to the Group which is
presented in Invested Capital. Following the Demerger and during H1 2026, the Group granted its own share awards to
employees, and the related non-cash charge in operating profit for these awards is presented in Retained Earnings.
(c) In H1 2025, other transactions with Unilever reflect the fact that the Ice Cream Business does not retain cash
generated from operating activities and represent the cash outflow associated with repatriating such cash to Unilever,
net of any movements in working capital, financing and investing activities. (d) In H1 2025, Profit for the period
is presented within Invested Capital. (e) In the 2025 condensed combined carve-out financial statements this
referenced as Net Parent Investment. Condensed consolidated balance sheet (unaudited) In millions of €Notes30 Jun
202631 Dec 202530 Jun 2025Assets Non-current assets Goodwill 885510531Intangible
assets 764731716Property, plant and equipment 2,6002,3062,258Pension asset for funded schemes in
surplus 917840Deferred tax assets 468520126Other non-current assets 19618629Total non-current
assets 5,0044,3313,700 Current assets Inventories 1,1148731,054Trade and other current
receivables 3,0191,7901,388Current tax assets 55458Cash and cash equivalents457744149Assets held for sale --3Other
financial assets 418-Total current assets 4,8063,1572,502Total
assets 9,8107,4886,202 Liabilities Non-current liabilities Financial
liabilities 3,4733,311260Pensions and post-retirement healthcare liabilities - Funded schemes in deficit 211-
Unfunded schemes 687587Provisions due after more than one year 403140Deferred tax liabilities 218206262Other
non-current liabilities 13012410Total non-current liabilities 3,9313,748660Current liabilities Financial
liabilities due within one year437210589Trade payables and other current liabilities 4,2832,9212,535Current tax
liabilities 794220Provisions 233935Liabilities held for sale --1Total current liabilities 4,7573,1072,680Total
liabilities 8,6886,8553,340 Equity Shareholders' equity (a) 1,0816252,835Non-controlling
interests 41827Total equity 1,1226332,862Total liabilities and equity 9,8107,4886,202 (a) In the H1 2025 condensed
combined carve-out financial statements this is referenced as Net Parent Investment Condensed consolidated statement of
cash flows (unaudited) In millions of €First half20262025 Net profit349464Taxation153122Net monetary (gain)/loss
arising from hyperinflationary economies13(27)Net finance costs7210Operating profit587569Adjustments for -
Depreciation, amortisation and impairment (direct and allocated) (a)164187- Non-cash charge for share-based
compensation1819- Elimination of losses on disposals58Changes in working capital:(131)(304)- Inventories(137)(198)-
Trade and other receivables(1,155)(956)- Trade payables and other liabilities1,161850Pensions and similar obligations
less payments(5)(16)Provisions less payments(13)(64)Other adjustments(2)(1)Cash flow from operating
activities623398Income tax paid(84)(122)Net cash flow from operating activities539276Interest received (b)73Purchase of
property, plant and equipment(182)(150)Disposal of property, plant and equipment117Acquisition of businesses, net of
cash(445)-Disposal of other non-current investments-1Net cash flow used in investing activities(619)(129)Dividends paid
to Unilever-(10)Interest paid (b)(92)(8)Net change in short-term borrowings249-Proceeds from loans and
borrowings8406Repayment of loans and borrowings(747)-Lease payments(34)(30)Purchase of shares for employee share
plans(8)-Other transactions with Unilever and owners of non-controlling interests (b)-(122)Net cash flow from / (used
in) financing activities208(164)Net increase / (decrease) in cash and cash equivalents128(17)Cash and cash equivalents
at the beginning of the period43667Effect of foreign exchange rate changes10(5)Cash and cash equivalents at the end of
the period (c)57445 (a) In H1 2025, depreciation, amortisation and impairment (direct and allocated) reflects
amortisation and depreciation charges relating to intangible assets, property, plant and equipment, and leased assets
and liabilities included in the condensed consolidated balance sheet and an allocation of amortisation and depreciation
charges for those software and land and buildings used by the Ice Cream Business but which were not transferred to the
Group. In H1 2026, these depreciation and amortisation costs are included within the TSA charge from Unilever,
reflecting the Group’s continued use of those assets during the Transitional Period. (b) In H1 2025, Unilever used a
centralised approach to cash management and financing its operations, transactions between Unilever and the Ice Cream
Business were accounted for through Invested Capital. Accordingly, none of the cash, cash equivalents, debtor related
interest income and expense at the corporate level were assigned to the Ice Cream Business. Cash that was held in newly
incorporated holding companies for the sole purpose of the restructuring prior to demerger has also been excluded. Only
cash, debt and related interest held by entities that only contain Ice Cream related trading activities was assigned in
H1 2025. The other transactions with Unilever and non-controlling interests reflected the fact that the Ice Cream
Business did not retain cash generated from operating activities and represented the cash outflow associated with
repatriating such cash to Unilever, net of any movements in working capital, financing and investing activities. This
balance represents Group transactions and cash pooling activities between Unilever and the combined Ice Cream
Business.(c) Cash and cash equivalent at the end of the period in the statement of cash flow includes bank
overdrafts of €3 million (H1 2025: €4 million), excluding those the cash and cash equivalents at H1 2026 is €577
million ( H1 2025: €49 million). NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS The accompanying notes are
an integral part of these condensed consolidated financial statements. 1. Basis of preparation, accounting
policies, estimates and judgements Reporting Entity The Magnum Ice Cream Company N.V. (‘TMICC’) is a public limited
liability company (naamloze vennootschap) domiciled in the Netherlands. TMICC is headquartered in Amsterdam and
its registered address is Reguliersdwarsstraat 63, 1017BK Amsterdam, the Netherlands. The condensed consolidated
financial statements of TMICC as at and for the six months ended 30 June 2026 comprise TMICC and its subsidiaries
(together referred to as ‘TMICC’, the ‘Company’ or the ‘Group’). TMICC is the global leader in the ice cream
industry, operating in 80 markets with an extensive portfolio of global and local brands. TMICC derives from the
demerger of the Ice Cream Business previously owned by Unilever PLC (Unilever Group) and is publicly listed with its
shares admitted to trading on Euronext Amsterdam, the London Stock Exchange, and the New York Stock Exchange on 8
December 2025. Basis of Preparation and Accounting policies These condensed consolidated financial statements have been
prepared in accordance with IAS 34 Interim Financial Reporting, as issued by the International Accounting Standards
Board and as endorsed by the European Union. They have been prepared on a going concern basis using the same accounting
policies, judgements and estimates as those applied in the Group’s consolidated financial statements for the year
ended 31 December 2025. They do not include all disclosures required for annual financial statements and should be read
together with the Group’s 2025 annual financial statements. Selected explanatory notes are included where relevant to
explain events and transactions significant to an understanding of the changes in the Group’s financial position and
performance since 31 December 2025. Comparative information for the first half of 2025 represents combined carve-out
financial information derived from Unilever’s consolidated accounting records prior to legal execution of the
demerger. During that period, the results included allocations of certain centrally incurred and corporate costs from
Unilever. Following the demerger, these were replaced by charges under TSAs. These condensed consolidated financial
statements were authorised for issue by the Board of Directors on 30 July 2026. Standards and amendments effective from
1 January 2026 were not applicable or material to the Group. IFRS 18 Presentation and Disclosure in Financial
Statements, effective from 1 January 2027, will replace IAS 1 and introduce new requirements for the presentation of the
income statement, including defined categories and disclosures for management-defined performance measures. The Group is
currently assessing the impact of IFRS 18. All other standards, amendments and interpretations issued but not yet
effective are not expected to have a material impact on the Group. Due to rounding, the figures presented in the
condensed consolidated financial statements and notes may not add up precisely to the totals provided and percentages
may not precisely reflect the absolute figures. Seasonality The operations of the Ice Cream Business are subject to
seasonal fluctuations that affect financial performance. Historically, revenue and adjusted EBITDA are higher in the
first half of the financial year driven by strong activity in the most seasonally affected markets. No adjustments have
been made to defer or anticipate revenues or costs that are seasonal, cyclical, or occasional in nature.
2. Segment information The operating segment information for the Group is provided based on three
geographical areas: Europe & ANZ, Americas and AMEA. In millions of € Europe & ANZ Americas AMEA(a) Total
H1 2026 H1 2025 H1 2026 H1 2025 H1 2026 H1 2025 H1 2026 H1
2025 Revenue (b)1,961 1,861 1,463 1,479 1,267 1,163 4,6914,503Operating Profit
(b) 230 226 142 126 214 217 587569Adjusting items (c)56 27 46 4427 26 12997Adjusted
EBIT 286 253 188 170 241 243 716666Adjusted EBIT
% 14.6% 13.6% 12.9% 11.5% 19.0% 20.9% 15.3%14.8%Depreciation and
amortisation 61 67 45 59 57 61 164187Adjusted EBITDA 347 320 233 229 298 304 880853Adjusted EBITDA
% 17.7% 17.2% 16.0% 15.5% 23.5% 26.2% 18.7%19.0% (a) In the Condensed combined carve-out financial statements for
H1 2025 this was referred to as Rest of World. (b) In H1 2025, Revenue and operating profit included royalties of €9
million primarily from Unilever’s ice cream business in India. In H1 2026, due to the acquisition of India no material
royalties were recognised (H1 2026: €0.9 million). (c) Adjusting items include acquisition and disposal related costs
of €110 million (H1 2025: €121m) and restructuring costs of €19 million (H1 2025: credit of €26 million). In the
first half of 2025, a net release of €43 million was recognised in relation to restructuring provisions, partly offset
by €17 million of charges for supply chain projects and other corporate initiatives. The release was mainly driven by
higher redeployment of employees who had been expected to exit as at FY 2024. Adjusting items are classified separately
due to their nature and/or frequency of occurrence. Net monetary gain/loss arising from hyperinflationary economies is
also an adjusting item due to its nature and size, however, it is not included in operating profit therefore not
included within adjusting items above. Adjusted EBITDA is the primary measure by which we evaluate segment profit or
loss and make resource-allocation and performance-assessment decisions. 3. Taxation The tax charge for the
first half of 2026 was determined using jurisdiction-specific effective tax rates and may not be representative of
future periods. The effective tax rate for the first half is 30.4%, compared with 20.7% in 2025. The tax rate is
calculated by dividing the tax charge by the pre-tax profit. The primary drivers for the increase compared to H1 2025
effective tax rate are higher unrecognised losses, non-deductible interest costs, together with the prior year
inclusion of a one-off benefit arising from tax settlements. In addition, H1 2026 includes the impact of the
non-deductible monetary loss related to Türkiye (2025: non-taxable monetary gain). 4. Financial
Instruments The Company aims to protect the value of financial investments, while maximising returns. The fair value of
financial assets is the same as the carrying amount for H1 2026, FY 2025, and H1 2025. Cash resources are shown below.
Financial assets (unaudited) (a) In millions of € H1 2026FY 2025H1 2025Cash and cash equivalents Cash at bank
and in hand26240235Short-term deposits with maturity of less than three months3153914Total financial assets57744149 (a)
Financial assets exclude 'trade and other current receivables' and 'other financial assets'. All financial assets are
classified as current. Financial liabilities (unaudited) (a) In millions of € H1 2026FY 2025H1
2025 CurrentNon-currentTotalCurrentNon-currentTotalCurrentNon-currentTotalBank loans and
overdrafts(b)28422873413539-39Bonds and other loans-3,1683,168-3,0773,077---Lease
liabilities571692264310014349115164Loans with Unilever------1-1Derivatives31-3128-28---Other financial
liabilities(c) -133133-133133-145145Total financial liabilities3723,4733,8451053,3113,41689260349 (a)
Financial liabilities exclude trade payables and other liabilities. (b) Bank loans and overdrafts do not include any
secured liabilities. This includes Commercial Papers of €200 million raised in June 2026.(c) Other financial
liabilities consist of an option to acquire non-controlling interests in Magnum RFM Ice Cream Inc from RFM Corporation,
the Philippines Joint Venture (the ‘Philippines Put Option’). The Group holds 50% plus one share in the joint
venture. According to the shareholder agreement established in March 1999, RFM Corporation is entitled, each year within
one month following 31 December year end, to require the Group to acquire all or a portion of RFM Corporation’s shares
in the joint venture at a price determined by the agreement. RFM Corporation has executed a waiver stipulating that they
waive their right to exercise the option until April 2028. There have been no material changes in the classification of
the fair value of financial assets and financial liabilities since FY 2025. Additionally, there have been no significant
movements between the fair value hierarchy classifications during this period. Calculation of fair values The fair
values of the financial assets and liabilities are defined as the price that would be received to sell an asset or paid
to transfer a liability in an orderly transaction between market participants at the measurement date. Methods and
assumptions used to estimate the fair values are consistent with those used in FY 2025. Assets and liabilities carried
at fair value Derivatives liabilities of €31 million (FY 2025: €28 million) and short-term deposits of €315
million (FY 2025: 39 million) are valued using valuation techniques with market observable inputs (Level 2). There are
no derivatives assets and other cash equivalents valued at quoted prices for identical instruments (Level 1) or not
based on observable market data (Level 3). The Philippines Put Option is valued annually at the redemption value with
subsequent changes in financecosts (Level 3). The redemption value is derived from a formula defined in the shareholder
agreementwhich uses historical financial information, multipliers, and CPI adjustments. The impact in the
incomestatement for the first half of 2026 due to the Philippines Put Option is €nil (H1 2025: €nil). Assets and
liabilities carried at amortised cost Bonds issued by the Group are measured at amortised cost. The fair value of these
bonds using quoted prices in active markets (Level 1 of the fair value hierarchy) is €2,962 million (FY 2025: €2,998
million and H1 2025: €nil). The models incorporate various inputs including the credit quality of counterparties,
foreign exchange spot and forward rates, interest rate curves and forward rate curves of the underlying commodities.
Other financial assets and liabilities Cash and short-term deposits, trade and other current receivables, overdrafts,
trade payables and other current liabilities have fair values that approximate to their carrying amounts due to their
short-term nature. Lease liabilities and non-current receivables and payables have a fair value that approximate the
carrying value based on the net present value of the anticipated future cash flows associated with these instruments
using rates currently available for debt on similar terms, credit risk and remaining maturities. 5. Earnings
per share (EPS) The earnings per share calculations are based on the weighted average number of ordinary shares of TMICC
in issue during the period less the weighted average number of shares held as treasury shares. In calculating diluted
earnings per share, the weighted average number of shares is adjusted to reflect the dilutive effect of potential
ordinary shares, principally arising from employee and executive share-based payment arrangements. Prior to 6 December
2025, the Company was under the control of Unilever and did not have any issued shares. Accordingly, EPS has not been
calculated for H1 2025. EPS for total operations for the six months is calculated as follows: H1 2026EPS –
Basic Net profit attributable to shareholders' equity (in € millions) 342Average number of shares (millions of
share units) 612EPS – basic (€) 0.56EPS – Diluted Net profit attributable to shareholders' equity (in €
millions) 342Adjusted average number of shares (millions of share units) 617EPS – diluted (€) 0.55 The number of
ordinary shares has not changed compared to 31 December 2025. On 16 June 2026, the Group granted 10,952,635 share
options under the Foundation Plan for Growth, a one-off equity-settled share-based payment arrangement for selected
senior executives. The options vest in two equal tranches after three and four years. They are subject to continued
employment and a relative Total Shareholder Return (TSR) market condition. They are measured at grant-date fair value
using an option pricing model (Monte Carlo Simulation), with the related expense recognised over the vesting period with
a corresponding entry in equity. 6. Acquisitions and Disposals Acquisitions Business combinations are
accounted for using the acquisition accounting method as at the acquisition date, which is the date at which control is
transferred to the Group. Deal completion dateAcquired business30 March 202661.90% shareholding in Kwality Wall’s
(India) Limited (‘KWIL’). KWIL comprises the Indian ice cream business, including manufacturing, distribution, sales
and related operations. An open offer to acquire up to 26% of KWIL’s public shares was announced on 16 February 2026
and completed on 7 May 2026, increasing the Group’s shareholding to 61.91%.1 April 2026100% of UL Ice
Cream Comercial, Lda. (‘ULICC’) which is the demerged Ice-cream marketing and sales operations in Portugal of
Unilever Fima Lda. The sourcing unit acquisition will complete separately, following receipt of additional regulatory
and operational approvals. A refundable €16 million advance payment has been made with respect to the sourcing unit
until legal ownership transfers to TMICC. The acquisitions are consistent with the Group’s strategy to establish a
standalone global ice cream business following the separation from Unilever. During the three months ended 30 June 2026,
KWIL contributed €79 million revenue and €10 million operating profit, while ULICC contributed €44 million revenue
and €10 million operating profit. Had both acquisitions occurred on 1 January 2026, management estimates that
consolidated revenue and operating profit for the period would have been €4,749 million and €572 million,
respectively. The following table sets out the opening balance sheets which remain provisional pending finalisation of
the purchase price allocation. This has not yet been completed as the transactions took place at the start of the second
quarter. In millions of €KWILULICCTotal Intangible assets101020Property, plant and equipment11714131Other
non-current assets112Trade and other receivables231033Inventories281947Other current assets123Non-current
liabilities(45)(3)(48)Current liabilities(66)(26)(92)Total identifiable net assets at fair
value692796 Non-controlling interest(25)-(25)Goodwill arising on acquisition235125360Purchase consideration
transferred279152431 For both acquisitions, the consideration transferred was measured at fair value at
the acquisition date. The consideration was settled entirely in cash, with no contingent consideration or equity
instruments issued. Goodwill primarily reflects expected growth opportunities, operational efficiencies and synergies.
Specifically, for KWIL and ULICC, this represents the customer and distribution growth, local market expertise as well
as product innovation, and premiumisation opportunities. The amount of goodwill is not expected to be deductible for
income tax purposes. Disposal of Venezuelan Ice Cream BusinessDuring H1 2025, the Company entered into an agreement to
sell its Venezuela business, which was classified as held for sale at 30 June 2025, with the transaction completing on 3
July 2025 and resulting in a net loss on disposal of €4 million. 7. Events after Balance Sheet date
Subsequent to the reporting date, the Group repaid in full the outstanding balance of €190 million drawn under the
term loan facility previously classified as non-current liabilities as well as €150 million to Unilever in respect of
the working capital subsidy. Further commercial papers of €290 million were issued with repayments of €340 million
leading to a decrease from €200 million to €150 million, which is in line with ongoing short-term liquidity
management. These transactions do not have any impact on net debt as at the reporting date. Appendix B Definitions and
Reconciliation of non-IFRS Financial measures The sections below provide reconciliations of the closest measures
prepared in accordance with IFRS to the non-IFRS measures used by the Group. Constant currency The Group uses
“constant rate” and “organic” measures primarily for internal performance analysis and targeting purposes. The
Group presents certain items, percentages and movements, using constant exchange rates, which do not include the
impact of fluctuations in foreign currency exchange rates. Constant currency values are calculated by translating both
the current and the prior period local currency amounts using the prior year average exchange rates into euro, except
for the local currency of entities that operate in hyperinflationary economies. These currencies are translated into
euro using the prior year closing exchange rate before the application of IAS 29. OSG, OVG, OPG OSG refers to the
increase in revenue for the period, excluding any change in revenue resulting from disposals, changes in currency and
price growth in excess of 26%. in hyperinflationary economies. Inflation of 26% per year compounded over three years
is one of the key indicators within IAS 29 to assess whether an economy is deemed to be hyperinflationary. The impact
of disposals is excluded from OSG for a period of 12 calendar months from the applicable closing date. OSG includes
increases or decreases in sales of an acquired business immediately following the business combination, unless a
reliable historical baseline is not available for the 12 months prior to the acquisition, in which case sales during
the first 12 months of the acquisition are excluded from OSG. The Group believes this measure provides
valuable additional information on the organic sales performance of the business and it is a key measure used
internally. OVG is part of OSG and means, for the applicable period, the increase in revenue in such period calculated
as the sum of: (i) the increase in revenue attributable to the volume of products sold; and (ii) the increase in revenue
attributable to the composition of products sold during such period. OVG therefore excludes any impact on OSG due to
changes in prices. OPG is part of OSG and means, for the applicable period, the increase in revenue attributable to
changes in prices during the period. OPG therefore excludes the impact to OSG due to (i) the volume of products sold;
and (ii) the composition of products sold during the period. In determining changes in price, the Group excludes the
impact of price growth in excess of 26% per year in hyperinflationary economies as explained in OSG above. The
following table presents a reconciliation of changes in the IFRS measure of revenue to OSG for H1 2026 and H1 2025:
H1 2026H1 2025Revenue (in € millions) 4,6914,503Revenue growth(a) (%) 4.22.5Effect
of acquisitions(b) (%) 2.3-Effect of disposals(c) (%) -(0.1)Effect of
currency-related items(d) (%) (2.7)(3.0)of which: Exchange rate changes
(%) (3.1)(4.1)Extreme price growth in hyperinflationary markets (%) 0.31.1OSG(e)
(%) 4.75.8Of which: OVG(f) 2.53.5OPG(g) 2.22.1 (a) Revenue growth is calculated as current
period revenue minus prior year revenue divided by prior period revenue. (b) Effect of acquisitions is calculated
using constant exchange rates and is the difference between revenue growth and what revenue growth would have been if
the revenue associated with acquisitions was removed from the current year. This excludes the change in revenue of the
acquisitions compared to their historical base, if this change has been included in the OSG. (c) Effect of disposals
is calculated using constant exchange rates and is the difference between revenue growth and what revenue growth would
have been if the revenue associated with disposals was removed from the prior year. (d) Effect of currency-related
items is comprised of the effect of foreign currency exchange rate movements on revenue growth and price growth in
excess of 26% per year in hyperinflationary economies which is excluded from OSG. The calculation of effect of
currency-related items is as follows: Effect of currency-related items = [(1+Effect of exchange rate changes) multiplied
by (1+ Effect of extreme price growth in hyperinflationary markets)] minus 1. There may be minor discrepancies between
the number arrived at through the application of this calculation and the final figure set out above, which is as a
result of rounding. (e) OSG is revenue growth adjusted to remove the impacts of acquisitions, disposals and the
impact of currency-related items (being movements in exchange rates and extreme price growth in hyperinflationary
markets). The calculation of OSG is as follows: (1 plus revenue growth) divided by [(1 plus effect of acquisitions)
multiplied by (1 plus effect of disposals) multiplied by (1 plus effect of currency related items)] minus 1. There may
be minor discrepancies between the number arrived at through the application of this calculation and the final figure
set out above, which is as a result of rounding. The reconciliation of OSG to revenue is as set out in the table
above. (f) OVG and OPG are multiplied on a compounded basis to arrive at OSG through application of the following
formula: OSG equals (1 plus OVG) multiplied by (1 plus OPG) minus 1. (g) OPG in excess of 26% per year in
hyperinflationary economies has been excluded when calculating the OSG in the tables above, and an equal and opposite
amount is shown as extreme price growth in hyperinflationary markets. Adjusting items Several non-IFRS measures
are Adjusted to exclude items defined as adjusting. Management considers adjusting items to be significant, or unusual
or non-recurring in nature and so believes that separately identifying them helps in understanding the financial
performance of the Group from period to period. Adjusting items within operating profit are: gains or losses on
business disposals which arise from business disposal projects; restructuring costs which are costs that are directly
attributable to a restructuring project. Management defines a restructuring project as a strategic, major initiative
that delivers cost savings and materially changes either the scope of the business or the manner in which the business
is conducted; impairments of assets which includes impairments of goodwill, intangible assets, and
property, plant and equipment; and other approved items which are any additional matters considered by management
to be significant and outside the course of normal operations;acquisition and disposal-related costs which are costs
that are directly attributable to a business acquisition or disposal project. Adjusting items not in operating profit
but within net profit are net monetary gain/(loss) arising from hyperinflationary economies and significant and unusual
items in net finance cost and taxation. Several non-IFRS measures are adjusted to exclude items defined as adjusting.
The following table sets out the calculation of adjusting items for H1 2026 and H1 2025. In millions of €H1 2026H1
2025Acquisition and disposal-related
costs(a) (110)(121)Restructuring costs(b) (19)26Other -(2)Total
adjusting items within operating profit (129)(97)Net monetary (loss)/gain(13)27Total adjusting items
not in operating profit(13)27Total adjusting items(142)(70) (a) H1 2026 and H1 2025 comprise costs relating to the
separation and establishment. (b) H1 2026 mainly relates to supply chain projects and other corporate initiatives. H1
2025 comprises a net release of €26 million related to the restructuring provision. The release was driven by a
significantly higher redeployment of employees in 2025 that were due to exit at the end of 2024.
Adjusted EBIT, Adjusted EBITDA, Adjusted EBIT margin, Adjusted EBITDA margin Adjusted EBIT is defined as
operating profit before the impact of adjusting items within operating profit. Adjusted EBITDA is defined as Adjusted
EBIT before the impact of depreciation, amortisation. Adjusted EBITDA margin and Adjusted EBIT margin is calculated as
Adjusted EBITDA and Adjusted EBIT divided by revenue for the period. Those measures are used to evaluate the
performance of the Group and its segments. Items are classified as adjusting due to their nature and/or frequency of
occurrence. The Group’s management believes this measure provides useful information in understanding and evaluating
the Group’s operating results. The following table sets out a reconciliation of net profit to Adjusted EBIT and
Adjusted EBITDA for H1 2026 and H1 2025 as well as Revenue to Adjusted EBIT margin and Adjusted EBITDA margin. In
millions of €H1 2026H1 2025Revenue4,6914,503Net profit 349464Net finance
costs 7210Net m