General Mills Inc ( (GIS) ) has released its Q1 earnings. Here is a breakdown of the information General Mills Inc presented to its investors.
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General Mills, Inc. is a leading global food company that manufactures and markets branded consumer foods sold through retail stores, with a strong presence in the North American market and a diverse portfolio that includes cereals, snacks, and pet foods. The company is known for its focus on innovation and consumer-driven product development.
General Mills reported its fiscal 2026 first-quarter results, showing a mixed performance with net sales decreasing by 7% to $4.5 billion, primarily due to divestitures and acquisitions. Despite the decline in net sales, the company experienced a significant increase in operating profit, driven by a gain from the U.S. yogurt business divestiture.
Key financial highlights include a 108% increase in operating profit to $1.7 billion, largely due to a $1.05 billion gain from the yogurt divestiture, while adjusted operating profit decreased by 18% in constant currency. Diluted earnings per share rose by 116% to $2.22, although adjusted diluted EPS fell by 20% in constant currency. The company’s strategic focus on innovation and market competitiveness was evident in its efforts to grow or maintain market share in major U.S. categories.
The company is committed to restoring organic sales growth through strategic investments in consumer value and product innovation, including the launch of Blue Buffalo into the fresh pet food market. Despite current challenges, General Mills aims to achieve sustainable growth by leveraging its Holistic Margin Management productivity program and global transformation initiatives.
Looking ahead, General Mills reaffirms its full-year fiscal 2026 outlook, expecting organic net sales to range between a 1% decrease and a 1% increase. The company anticipates adjusted operating profit and adjusted diluted EPS to decline by 10 to 15% in constant currency, with a focus on long-term growth and profitability.