Heinz profits fall 10.9% amid inflationary pressures
The Kraft Heinz Company have published its second quartile results revealing “strong price realization and resilient demand” despite an EBITDA decrease of 10.9%. The FMCG company reported a 13.4% decrease in gross profit in the year ending June 25 compared to the previous year.

The company’s EBITDA decreased by 10.9% to $1.5 billion with performance points and an unfavourable 1.1% impact from currency
However, its Organic Net Sales saw an increase of 10.1% compared to 2021. Pricing was also up by 12.4% which was primarily driven by price increases to mitigate rising input costs. Net income loss increased by 1136.4% versus a year ago to $265 million due to lower tax expenses in the current year period.
The fall in EBITDA has been cited as a result of higher pricing and efficiency gains that were offset by higher commodity costs in dairy, packaging materials, soybean and vegetable oils as well as meat. Supply chain costs were also specified as a factor due to the inflationary pressure in procurement, logistics and manufacturing sosts.
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