Kraft Heinz cut full-year revenue and profit guidance after CEO Carlos Abrams‑Rivera said U.S. consumer sentiment is “one of the worst in the past decade.” The company reported Q3 organic sales down 2.5%, with declines in coffee, meats, frozen snacks and some condiments; shares fell about 3.4%.
Kraft Heinz now expects full‑year organic net sales to fall 3.0–3.5% (previously forecast at -1.5% to -3.5%) and also lowered its profit outlook. Management cited higher prices from inflation, slower growth in emerging markets and retail pressure in the U.S., as well as expected negative effects of a U.S. government shutdown on food‑assistance funding.
The company is preparing a planned split into two standalone businesses in the second half of next year: one housing faster‑growing brands (including condiments and packaged meals) and the other slower‑growing staples such as Oscar Mayer and Lunchables, as it seeks to persuade investors amid shifting consumer preferences. #KHC #consumerconfidence #inflation #FiatNews