General Mills reaffirmed its annual sales and profit forecast, weeks after a downgrade, as weak demand and rising competition continue to weigh on performance.
The Cheerios maker faces pressure from constrained consumer spending and intensifying rivalry across pantry staples and snack categories.
Persistent inflation and geopolitical uncertainty, including tensions linked to Iran, are further dampening demand for packaged food products.
Shifting dietary trends toward healthier, protein-rich options, alongside the rapid adoption of GLP-1 weight-loss drugs, are reshaping consumer preferences.
Last month’s forecast cut triggered a sector-wide selloff, with peer Campbell’s also lowering its outlook soon after.
CEO Jeff Harmening said early-year declines aligned with expectations, but the company anticipates improved sales momentum and earnings growth in the fourth quarter.
General Mills maintained its outlook for adjusted profit to fall 16%–20% and organic sales to decline 1.5%–2% this year.
Third-quarter sales reached $4.44 billion, slightly above estimates, while adjusted earnings missed forecasts, reflecting ongoing margin pressure.
