General Mills released their fiscal 2025 third-quarter results, showing a 5% decline in net sales and a 2% drop in operating profit.
Q3 Financial Results
General Mills reported net sales of $4.8 billion, representing a 5% decrease from the previous year. The decrease was mainly due to lower volume and unfavorable currency exchange. Operating profit decreased by 2% to $891 million, while adjusted operating profit fell by 13% in constant currency to $801 million. Diluted EPS was $1.12, down 4%, and adjusted EPS decreased by 15%.
Analyst Reaction and Segment Performance
The report disappointed analysts who expected higher metrics. The anticipated EPS was $1.0 and revenue of $4.99 billion. The North America Retail segment saw a 7% decline in sales to $3 billion due to unfavorable pricing and volume decreases. The International segment also faced a 4% decrease.
Outlook for 2025-2026
General Mills updated its 2025 outlook, anticipating a 1.5%-2% decline in organic sales. The company plans to increase investments in innovation and consumer communication in 2026, funded by cost-saving measures.
The company continues to face challenges but remains committed to its long-term strategy for sustainable growth and shareholder returns.
