(CercleFinance.com) – Unilever announced this morning the separation of its Ice Cream activities into an entity via a demerger with a structure comparable to listed companies.
The group also announced a productivity program which should bring restructuring costs to 1.2% of group turnover (compared to 1%) and generate 800 ME in cost savings per year over the next 3 years.
‘The group takes note of the impacts of this decision and announces an increase in its medium-term objectives. The organic growth objective is now mid-single digit in the medium term (vs. 3% to 5% ante) with the maintenance of the objective of modest progression in the operating margin,” indicates Oddo BHF.
‘We believe that Unilever can become a pure player in Consumer Care (care of the body, the interior of the body and the immediate environment of the body) by refocusing on Personal Care, Consumer Health and Home Care.’ indicates the analysis office.
Oddo BHF confirms its Outperformance opinion on the stock and its price target of E58.
‘This announcement should be very well received and give credibility to a refocusing scenario, which is an obvious factor of better operational performance, greater regularity and above all rerating in terms of PE’ indicates Oddo BHF.
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