Chicago – Volume growth remains elusive for Kraft Heinz Co. For the tax year 2024, the volume/mix fell by 3.5% with North America first with a decrease of 4.2%. Business-wide organic net turnover fell by 2.1% to $ 25.9 billion for the year.
Carlos Abrams-Rivera, Chief Executive Officer, attributed the weak version of North America to four brands: Lunchables, Kraft Mayonnaise, Kraft Mac & Chees and Capri Sun.
“In each of these brands we have started the ‘brand growth system’, forensic-like assessments that will discover the most meaningful possibilities to stimulate brand superiority,” said Abrams-Rivera during a conference of 12 February discuss the results of the company And the fourth quarter.
With Lunchables, the company is aimed at expanding the brand in new occasions, improving the perception of quality and adding flavors that meet the evolving flavors of the consumer.
“In our mayonnaise company, we strengthen our value proposition to respond again to expired users and to attract new ones,” he said. “We bring new flavors, including Pickle Mayo, which had a successful rollout in the US. And we follow this taste expansion strategy worldwide and launch new flavors in countries such as Canada, Australia, the UK and the Central East. “
New flavors, package sizes and partnerships are seen as a key for Kraft Mac & Cheese to regain the momentum, while the company has renovated its Capri Sun brand with the launch of a 64-OZ Multi-Serve bottle and bottles with one service.
In response to the question of a securities analyst about why Kraft Heinz lags behind in categories that run close to the historical growth rates, Abrams-Rivera continued to call on the four struggling brands.
“Our portfolio is around 200 brands in more than 40 countries,” he said. “If you think of today, where we see our challenges, they concentrate in four brands and only in the American retail company.”
The net income of the Kraft Heinz Co. For the year ending on December 28, $ 2.7 billion, equal to $ 2.26 per share on the ordinary shares, and a decrease of 3.9% from the same period of the previous year when the company $ 2.9 billion earned, or $ 2.31 per share.
The annual turnover amounted to $ 25.8 billion, a decrease of the year before the turnover was $ 26.6 billion.
The company’s business income fell by 63% to $ 1.7 billion of $ 4.6 billion the year before. The steep decline was due to a value reduction of around $ 3 billion that the company took during the year. During the third quarter, the company took a depreciation of $ 1.4 billion mainly against the activities of Lunchables and in the fourth quarter a costs were attributed to the Oscar Mayer activities of the company.
The turnover within the business unit of the Noord -America company fell by 2.9% to $ 19.5 billion of $ 20.1 billion the year before. The results for the other, much smaller business units of the company were comparable. The International Developed Markets Unit had a turnover decrease of 2.4%and went to $ 3.5 billion out of $ 3.6 billion the year before. The turnover of emerging markets fell by 4.3% to $ 2.8 billion out of $ 2.9 billion.
For Fiscal 2025, Kraft Heinz will lead to organic sale in a series of flat to a decrease of 2.5% versus tax 2024.
“This includes the growth of the full year in our emerging markets and worldwide away from home pillars, with an elongated recovery that is expected in by retailing in American retail trade,” said Andre Maciel, global financial director.
During the fourth quarter, Kraft Heinz earned $ 2.1 billion, or $ 1.76 per share, and a significant increase compared to the same period of the year before the company earned $ 757 million, or 61 ¢ per share. The quarterly increase was usually due to a deferred taxactive of $ 3 billion, according to the company.
The quarterly turnover fell by 4.1% to $ 6.6 billion out of $ 6.9 billion the year before.