Total Revenue

-4.2% " "

The overall revenue decline reflects a composite of weaker performance across key segments, with significant pressure from the International segment and modest declines in core domestic categories. These issues continue trends seen in prior periods driven by supply, pricing, and FX challenges. " "

Grocery & Snacks Revenue

-2% " "

Previously recovering from a product recall and benefiting from a 4% price/mix improvement, this segment now shows a modest decline, suggesting that the temporary rebound may have normalized as pricing pressures and volume erosion set in compared to earlier periods. " "

Refrigerated & Frozen Revenue

-4% " "

After earlier quarters where supply constraints and unfavorable price/mix adjustments led to sharper declines, the current period’s 4% drop indicates a persistence of these operational challenges, albeit at a slightly moderated pace relative to previous quarters. " "

International Revenue

-13.8% " "

In contrast to prior periods that benefitted from favorable FX and volume gains (offset partly by divestiture effects), this period suffered from a reversal in currency trends and volume declines. The absence of earlier FX gains and lost ATFL contributions drove the severe drop. " " " "

Foodservice Revenue

-4% " "

The overall decline in Foodservice revenue continues themes from previous periods marked by deteriorating restaurant traffic and operational disruptions. This is further underscored by the pronounced weakness in its refrigerated sub-segment, which has accelerated the overall decline. " " " "

Foodservice Refrigerated Sub‑segment

-7.3% " "

This sub‑segment experienced a sharper drop than the overall Foodservice category, reflecting intensifying challenges such as manufacturing disruptions and softer commercial demand, which have worsened relative to prior periods and pushed declines beyond the 5% threshold. " "

Sales Growth

FY 2026

no prior guidance [N/A]

Organic sales growth: -1% to +1% " "

no prior guidance

Core Inflation

FY 2026

no prior guidance [N/A]

4% " "

no prior guidance

Tariff Impact

FY 2026

no prior guidance [N/A]

Tariffs add 3% to costs, with 1% mitigated "

no prior guidance

Productivity

FY 2026

no prior guidance [N/A]

Total productivity (including tariff mitigation): north of 5% "

no prior guidance

Capital Expenditures

FY 2026

no prior guidance [N/A]

Forecasted to increase by 16% "

no prior guidance

Debt Reduction

FY 2026

no prior guidance [N/A]

Plan to reduce debt by $700 million "

no prior guidance

Cash Flow Conversion

FY 2026

no prior guidance [N/A]

Expected to be 90% "

no prior guidance

Dividend

FY 2026

no prior guidance [N/A]

Plan to maintain the dividend at its current level "

no prior guidance

Operating Margin

FY 2026

no prior guidance [N/A]

Expected to be between 11% and 11.5% "

no prior guidance

Volume and Pricing

FY 2026

no prior guidance [N/A]

Investments in pricing and merchandising in H1; pricing actions in H2 with elasticity expected to be close to -1 " "

no prior guidance

Frozen and Snacks Segments

Q1 discussions highlighted category growth and consumer responsiveness with strong volume growth and share gains " " ; Q2 and Q3 emphasized innovation, positive shipment/consumption trends, and snack volume growth with specific mentions of frozen leadership " " " " "

Q4 stressed investments in frozen and snacks – emphasizing volume growth strategy, premium product launches like Banquet Mega Chicken Filets, and improved service levels (98%) despite supply constraints " " " "

Continued focus on these strategic categories with robust investments, though emerging supply/capacity constraints are beginning to temper growth sentiment

Operational Efficiency and Productivity

Q1 highlighted absorption challenges turning into tailwinds and margin recovery efforts " ; Q3 focused on operational efficiency improvements and productivity initiatives to address supply disruptions and build margins " " " ; Q2 provided minimal detail (N/A)

Q4 provided detailed emphasis on productivity improvements, investments in modernizing supply chain infrastructure, and repatriation initiatives to drive margin recovery, even with temporary absorption headwinds " " "

An increasing focus in Q4 on addressing supply chain inefficiencies through repatriation and automation to secure longer‐term margin expansion

Product Innovation and Premiumization

Q1 discussed aggressive brand building, innovation in packaging and product design for frozen and snacks, and early steps in premiumization with products like FATTY for meat snacks " " " ; Q2 mentioned innovation in frozen and snacks but less explicitly on premiumization; Q3 had no explicit mention

Q4 emphasized modernizing brands through innovations (e.g., Banquet Mega Chicken Filets), detailed premiumization across frozen foods (multi-serve packaging) and outlined active portfolio reshaping " "

A renewed and more detailed focus on product innovation and premiumization in Q4 compared with earlier periods, signaling elevated strategic importance

Persistent Inflation and Cost Pressures

Q1 noted inflation drivers such as beef and sweeteners with adjustments in forecasts (3%-3.2%) " " ; Q2 and Q3 mentioned 4% inflation levels with FX and other cost pressures affecting EPS " " ; early cost pressures were acknowledged

Q4 provided a more granular discussion – citing over $2 billion in additional costs, 11% cost increases over fiscal 2025/26, and specific impacts from tariffs, with targeted actions to mitigate these pressures " "

Persistent inflation remains a critical concern; while the sentiment has been consistently cautious, Q4 shows a sharper focus on detailed mitigation strategies (tariff impacts, productivity)

Supply Chain, Capacity Constraints, and Inventory Management

Q3 outlined supply disruptions, inventory rebuilding via third-party co-manufacturers, and shipment/consumption gaps " " " " ; Q2 touched on solid inventory management through working capital improvements " ; Q1 did not offer significant details

Q4 emphasized significant supply chain resiliency investments, capacity constraints in chicken processing, inventory challenges leading to service level recovery reaching 98%, and absorption headwinds from repatriation initiatives " " "

An escalated focus in Q4 on addressing capacity constraints through strategic investments, with renewed discussions on supply chain resiliency and in-house production to overcome prior supply challenges

Tariff Impacts and Raw Material Price Uncertainty

Q1 and Q2 did not mention these topics; Q3 offered brief comments that tariffs were not a major Q4 concern at the time "

Q4 provided detailed analysis: outlining that tariffs add approximately 3% inflation (e.g., tinplate for canned foods) and highlighting raw material price uncertainty in key inputs like animal proteins and cocoa " "

Emerging as a more prominent topic in Q4 relative to prior periods, with increased scrutiny and explicit mitigation strategies indicating growing concern

Volume Growth and Market Share Expansion

Q1–Q3 consistently reported steady volume improvements and share gains in key categories, citing positive shipment growth, inventory normalization, and strong brand performance in frozen and snacks " " " " "

Q4 maintained a focus on volume growth and market share expansion, emphasizing aggressive investments in frozen and snacks despite temporary supply issues, and noting strategic pricing and elasticity assumptions " " "

A sustained positive outlook on volume and market share, though tempered by near-term supply constraints, with a clear commitment to long-term growth via strategic reinvestments

Financial Health, Cash Flow Management, and Leverage Dynamics

Across Q1–Q3, discussions emphasized strong cash flow conversion (e.g., 125% in Q3), debt reduction progress, and leverage targets (3.0x to 3.4x) supported by free cash flow and disciplined capital allocation " " " " "

Q4 reiterated strong cash flow management, with plans for a 90% conversion rate, robust debt paydown (targeting $700 million), and ongoing balance sheet improvements despite temporary margin compression " "

Consistent focus on financial discipline remains; an unwavering commitment to debt reduction and strong cash flow has persisted, underpinning the company’s strategic investment plans

Capital Expenditure and Investment Timing Challenges

Q1 had no notable discussion; Q2 mentioned slight shifts in investment timing with trade and innovation spend adjustments " ; Q3 focused on a $40 million CapEx guidance reduction due to timing shifts and planned catch-up in FY 2026 "

Q4 discussed an estimated 16% increase in capital spending for fiscal 2026 focused on supply chain and capacity improvements, along with recognition of timing challenges causing temporary absorption headwinds until repatriation projects reverse the trend " "

An increased strategic commitment to CapEx in Q4, with clearer acknowledgment of timing challenges that affect near-term margins, highlighting the trade-off between long-term progress and short-term cost pressures

Brand Performance and Specific Market Issues

Q1 mentioned positive brand performance in frozen and snacks alongside challenges from disruptions like the Hebrew National issue and fluctuating consumer behavior " " " ; Q2 and Q3 reinforced strong performance in key segments with rising snack volumes and effective consumer connectivity " " "

Q4 reaffirmed robust brand performance in the growth categories, detailed strategic differentiation within the canned business due to tariffs, and highlighted renewed consumer value behavior as well as specific market challenges such as supply constraints and channel-specific issues " " " "

Brand performance has consistently been strong across periods, but Q4 features a more nuanced explanation of market issues including regulatory/tariff impacts and advanced consumer behavior insights, underscoring the need for adaptive strategies