Grind the 1 Â¼ cup pistachios in a food processor. They should be finely ground, but not a paste.
In a large saucepan heat the milk, sugar, and 1 cup of the cream. Stir to dissolve the sugar. Stir in the ground nuts. Cover, remove from heat, and let sit for at least 30 minutes.
Strain the warm nuts mixture, pressing the nuts to remove as much liquid as possible. Throw away the nuts. Put the liquid back in the saucepan. In a separate bowl pour the remaining 1 cup of heavy cream. Cover this bowl with a strainer. Set this aside for later. In another bowl whisk together the egg yolds. Slowly pour the warm milk mixture into the egg yolks, stirring constantly. Then pour back into the saucepan.
Stir constantly over medium heat with a heatproof spatula until the mixture thickens and coats the spatula. You will want to make sure you scrape the bottom when you are stirring. Pour the custard through the strainer and into the cream. Add the vanilla and almond extract. Stir to combine.
Refrigerate until cold. Pour into an ice cream maker and freeze according to the directions. One finished churning, fold in the Â½ cup pistachios. Store in air tight container in freezer. Enjoy!