Q124 KHC earnings

The detailed summary of Kraft Heinz’s Q1 2024 earnings results and future guidance, along with key themes and notable quotes, is outlined below.

Profit and Revenue: Specific figures for profits and revenues were not disclosed.
Margins: Mentioned are improvements in gross margin guidance, though specifics were not provided.
Growth Percentages: Growth specifics were not disclosed, but there was a mention of expectations around organic growth and impacts from SNAP benefits changes.

Revenue Growth: Anticipation for mid-single-digit organic growth throughout the second half of the year, partly due to expected improvements in Emerging Markets and U.S. Retail.
Profit and Margins: An increase in gross margin guidance was noted, but exact future profit figures were not given.
Capital Expenditures and Expenses: Increased marketing investments were mentioned, indicating a potential rise in SG&A expenses. Details on capital expenditures were not provided.

Consumer Sentiment: Noted improvement in consumer sentiment, though with continued bifurcation between high and low earners.
Market Trends: Mention of trends such as shifting restaurant spending habits, with lower-income consumers preparing more meals at home.
Snap Benefits Impact: The decline in SNAP benefits negatively impacted profit margins and sales, particularly in the U.S. Retail business.
Away From Home Business: Mention of short-term disruptions but with expectations for second-half recovery, despite current restaurant industry slowdowns.
Inflation Impact: Expected low single-digit inflation, with commodity-specific mentions (cheese, meat, coffee) indicating specific pressures.

CEO, Carlos Abrams-Rivera: “We are here to meet the evolving needs and taste of all consumers,” highlighting the focus on innovation and consumer relevance.
Carlos Abrams-Rivera on Innovation: “We are on track to meet our goals of generating $2 billion incremental net sales from innovation.”
Regarding Market Share: Acknowledges challenges in certain platforms like ACCELERATE but details efforts to improve through innovation and renovation.
On Inflation and Pricing: “We are committed to provide families with affordable options… we only pass about 1% pricing to consumers,” highlighting a cautious approach to price increases amidst inflation.
Strategy on Beverage and Oscar Mayer Categories: Describes efforts to renovate and innovate within these product lines, aiming to protect profitability and cater to functional benefits consumers seek.