The Magnum Ice Cream Company has lifted its annual sales forecast after the long, hot summer across European markets drove a jump in demand.
The Amsterdam-listed group, spun out from former owner Unilever in December last year, reported 9.6% organic sales growth for the third quarter. It said the "extended summer" contributed around 2% to 3% of that growth.
Upgraded Outlook
The company, the world's largest ice cream maker and the owner of brands including Cornetto and Carte D'or, now expects annual sales to grow by around 5.5%, compared with previous guidance of about 3% to 5%.
Alongside the boost from heatwaves and ongoing warm weather through September, the firm cited strong demand for new products such as its pistachio Magnum range, a "reinvigorated" Solero, and new Cornetto flavours as drivers of the quarterly performance.
Pricing and Market Share
Peter ter Kulve, chief executive of the Magnum firm, said: "Sales of our leading brands have accelerated, powered by innovation.
"All regions continued to grow, including the US, our biggest market.
"Improved execution and operational rigour enabled us to capitalise on strong demand, especially in Europe, and win share."
The update also showed the group raised prices to offset higher energy and oil costs linked to the Iran war. Price increases accounted for 2.2% of the 9.6% quarterly sales growth.
