07:57 AM EDT, 09/09/2025 (MT Newswires) -- Unilever ( UL ) unit Magnum Ice Cream Co. is targeting average annual organic sales growth of 3%-5% in the medium term from 2026 when it is spun off from the parent firm, it said Tuesday.

Ahead of its first meeting with investors, the company said its expects an improvement in its average annual adjusted earnings before interest, taxes, depreciation and amortization margin of 40-60 basis points from 2026. Free cash flow is seen between 800 million euros ($939 million) and 1 billion euros in 2028 and 2029.

A "productivity program" is expected to deliver cumulative gross savings of 500 million euros in the medium term, Magnum said in a statement. It has a dividend pay-out ratio of 40% to 60% of net income after adjusting items, with the first dividend to be paid in 2027.

Magnum's split from Unilever ( UL ) is on track to be completed by mid November, although it's been operating as a standalone unit since July 1, it said. Magnum will apply to list shares in New York, Amsterdam and London.