RSS   Newsletter   Contact   Advertise with us

Kraft Heinz Q1 net sales down 3.8% to $6.6 billion

Share on Twitter Share on LinkedIn
Staff writer ▼ | May 4, 2016
The Kraft Heinz Company reported first quarter 2016 results. Net sales were $6.6 billion, down 3.8 percent versus pro forma net sales for the year-ago period.
Kraft Heinz
Kraft Heinz   A negative 4.5 percentage point impact from currency
r>
This is due to a negative 4.5 percentage point impact from currency and a negative 0.4 percentage point impact from divestitures. Organic Net Sales increased 1.1 percent versus the year-ago period.

Pricing increased 0.3 percentage points despite deflation in key commodities in the United States and Canada, primarily dairy and coffee. Volume/mix increased 0.8 percentage points due to strong growth in condiments and sauces globally, Lunchables and P3, and United States foodservice that was partially offset by lower shipments of ready-to-drink beverages in the United States.

Adjusted EBITDA increased 21.3 percent versus the year-ago period to $2.0 billion, despite a negative 6.0 percentage point impact from currency, primarily due to gains from cost savings initiatives and favorable pricing net of commodity costs. Adjusted EPS increased 37.7 percent versus the year-ago period to $0.73, primarily reflecting the growth in Adjusted EBITDA.

United States net sales were $4.7 billion, up 0.2 percent versus pro forma net sales for the year-ago period. Pricing increased 0.1 percentage points despite deflation in key commodities, primarily dairy and coffee.

Canada net sales were $504 million, down 8.5 percent versus pro forma net sales for the year-ago period, primarily due to a negative 10.0 percentage point impact from currency. Organic Net Sales increased 1.5 percent versus the year-ago period.

Europe net sales were $553 million, down 11.7 percent versus pro forma net sales for the year-ago period, primarily due to a negative 4.1 percentage point impact from divestitures and a negative 3.9 percentage point impact from currency.

Rest of World net sales were $798 million, down 15.6 percent versus pro forma net sales for the year-ago period, due to a negative 26.0 percentage point impact from currency, including a negative 17.0 percentage point impact from the devaluation of the Venezuelan bolivar in June 2015.

POST Online Media Contact