By the way, what I was saying about KHC in last night’s newsletter is further confirmed in today’s press release:
Kraft Heinz tops organic sales expectations as at-home demand stays strong
Oct. 29, 2020 7:29 AM ET|About: The Kraft Heinz Company (KHC)|By: Clark Schultz, SA News Editor
Kraft Heinz (NASDAQ:KHC) reports organic sales increased 6.3% in Q3 to exceed the consensus mark of 5.1%. Organic sales were up 7.4% in the U.S. and rose 4.6% for international markets.
Pricing was up 3.7 percentage points, with positive pricing in each business segment and reduced promotional activity. Volume/mix was up 2.6 percentage points versus the year-ago period, driven by strong growth in retail, e-commerce, and club channels supported by continued growth of at-home consumption due, in part, to the COVID-19 pandemic.
The company generated adjusted EBITDA of $1.67B during the quarter vs. $1.27B consensus.
Looking ahead, Kraft sees mid-single-digit organic net sales growth and high-single-digit constant currency adjusted EBITDA growth as reasonable expectations for Q4. Mid-single-digit organic net sales growth is anticipated for the year.
CEO outlook: “We are heading into 2021 with our new operating model fully implemented, our platform strategy coming to life in the marketplace, and our growth investments ramping up. And although there are multiple future scenarios we must plan for and manage against, we are in a strong position to both accelerate and exceed the strategic plan we finalized earlier this year.”
Shares of Kraft are up 1.78% premarket to $29.75.