Hershey maintains 2025 financial outlook at CAGNY conference

Published 18/02/2025, 15:22
Hershey maintains 2025 financial outlook at CAGNY conference

HERSHEY, Pa. - The Hershey Company (NYSE: NYSE:HSY) executive leadership, including Chairman, President, and CEO Michele G. Buck, and CFO Steven E. Voskuil, addressed the 2025 Consumer Analyst Group of New York (CAGNY) conference today. They discussed the company’s strategies for growth and the steps being taken to enhance commercial capabilities and improve the operating model, with the goal of increasing long-term shareholder value. The confectionery giant, currently valued at $32 billion, has demonstrated strong dividend reliability, maintaining payments for 55 consecutive years according to InvestingPro data.

During the presentation, the confectionery giant reaffirmed its full-year financial expectations for 2025, which were initially provided in the earnings release on February 6, 2025. Hershey anticipates at least a 2% increase in net sales growth. However, reported earnings per share (EPS) are projected to decrease in the high-40% range, with adjusted EPS expected to see a mid-30% range decline. InvestingPro analysis shows 13 analysts have revised their earnings downward for the upcoming period, though the company maintains strong fundamentals with a healthy 47.5% gross profit margin and robust EBITDA of $3.5 billion.

The forecast includes an approximate 30 basis point benefit to net sales growth due to the acquisition of Sour Strips. Conversely, foreign currency exchange rates are predicted to present an approximate 30 basis point headwind to net sales growth for the year.

Investors and interested parties can review the CAGNY presentation and accompanying slides on The Hershey Company’s corporate website, under the "CALENDAR OF EVENTS" section.

The company’s statements contain forward-looking information that involves risks and uncertainties. Factors that could influence actual results include supply chain disruptions, raw material costs and availability, changes in consumer preferences, market competition, and international operations risks, among others. Hershey emphasizes that the information presented is current as of today and that they do not commit to updating any forward-looking statements to reflect subsequent events or circumstances.

This news article is based on a press release statement from The Hershey Company.

In other recent news, The Hershey Company reaffirmed its earnings outlook for 2025, including a net sales growth of at least 2% and an anticipated decline in earnings per share growth. These projections were shared at the 2025 Consumer Analyst Group of New York conference, where Hershey’s top executives discussed growth strategies and operational optimizations. However, recent analyst notes from UBS, DA Davidson, and Stifel have seen a reduction in Hershey’s stock price target. UBS analyst Peter Grom, despite a price target reduction, maintains a Neutral rating and believes Hershey’s 2025 outlook is achievable. DA Davidson analyst Brian Holland also retained a Neutral rating but expressed skepticism about a substantial improvement for Hershey in FY26 due to cocoa market volatility. Stifel analysts adjusted their outlook on Hershey shares, lowering the price target while retaining a Hold rating, citing a projected decline in FY25 earnings per share. These are recent developments that reflect the company’s financial health and strategic direction.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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