A Business at a Glance
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Kraft Heinz Co
KHC
$30.4B
Mkt Cap
$25.67
+1.22%
Kraft Heinz Co (KHC) has a 5-year average return on invested capital (ROIC) of 1.2%. This is below average and may indicate limited pricing power.
Kraft Heinz Co (KHC) has a market capitalization of $30.4B. It is classified as a large-cap stock.
Yes, Kraft Heinz Co (KHC) pays a dividend with a trailing twelve-month yield of 6.24%. The company also returns capital through share buybacks, with a buyback yield of 1.43%.
Kraft Heinz Co (KHC) operates in the Canned, Frozen & Preservd Fruit, Veg & Food Specialties industry, within the Consumer Defensive sector.
Kraft Heinz Co (KHC) reported annual revenue of $24.9 billion in its most recent fiscal year, based on SEC EDGAR filings.
Kraft Heinz Co (KHC) has a net profit margin of -23.4%. The company is currently unprofitable.
Kraft Heinz Co (KHC) generated $3.7 billion in free cash flow in its most recent fiscal year. Positive free cash flow supports dividends, buybacks, and debt reduction.
The Kraft Heinz Company is a global food and beverage manufacturer with 2025 net sales of approximately $25 billion, operating through four geographic segments: North America, International Developed Markets (Europe and Pacific), West and East Emerging Markets, and Asia Emerging Markets. The company manages its portfolio through eight consumer-driven product platforms—Taste Elevation (condiments, sauces, dressings, spreads), Easy Ready Meals (Kraft Mac & Cheese, frozen products), Substantial Snacking (Lunchables, frozen snacks, pickles), Desserts, Hydration (ready-to-drink and powdered beverages), Cheese, Coffee, and Meats—each assigned strategic roles (Accelerate, Protect, Balance) to guide resource allocation. Kraft Heinz sells through its own sales organizations and independent brokers to chain retailers, convenience stores, mass merchants, foodservice distributors, institutions, and e-commerce platforms; Walmart represents approximately 21% of net sales. The company's competitive position rests on iconic trademarks including Kraft, Heinz, Oscar Mayer, Philadelphia, Lunchables, Velveeta, and Ore-Ida, supported by substantial patent portfolios and proprietary processes. Unit economics are characterized by commodity-dependent manufacturing requiring large-scale procurement of dairy, meat, sugar, oils, and packaging materials, with pricing power constrained by private-label competition and retailer concentration; the company employs hedging strategies and centralized procurement to manage input cost volatility. Geographic diversification spans North America (largest segment), developed international markets, and emerging markets, with the company pursuing productivity initiatives and targeted marketing investments to drive growth while managing inflationary pressures and shifting consumer demand.
【Inflation moderation and investment payoff】 Management expects inflationary trends in supply chain costs to moderate through 2026, though significant uncertainty persists, particularly around energy and resin costs stemming from geopolitical conflicts. The company is deploying $600 million in incremental investments focused on price competitiveness, product innovation, and marketing to drive market share recovery and volume growth, with results expected to accelerate in the second half of 2026 as investments mature and prior-year comparisons normalize. Productivity initiatives targeting over $2 billion in efficiencies through 2025 and $2.5 billion by 2027 are expected to offset inflation and fund growth investments while maintaining the company's target net leverage ratio of 3x and investment-grade status. Management remains focused on restoring growth in the Taste Elevation platform, which has faced prolonged recovery, and capitalizing on strength in emerging markets and away-from-home channels, while navigating near-term headwinds from SNAP funding reductions and consumer sentiment weakness.
| Metric | Target | Period |
|---|---|---|
| Organic net sales | down 1.5% to down 3.5% | FY2025 |
| Constant currency adjusted operating income | down 5% to down 10% | FY2025 |
| Adjusted EPS | $2.51–$2.67 | FY2025 |
| Free cash flow | flat versus prior year | FY2025 |
| Q2 FY2026 organic net sales | down 3% to down 5% | Q2 FY2026 |
Organic net sales (FY2025): “We continue to expect organic net sales in the range of down 1.5% to down 3.5%.”
Constant currency adjusted operating income (FY2025): “For constant currency adjusted operating income, we continue to expect a decline of 5%-10%.”
Adjusted EPS (FY2025): “We continue to expect Adjusted EPS to be in the range of $2.51-$2.67.”
Free cash flow (FY2025): “From a free cash flow perspective, we expect 2025 to be flat versus prior year, with free cash flow conversion of at least 95%.”
Q2 FY2026 organic net sales (Q2 FY2026): “Look, we expect second quarter to have top line between -3% and -5%.”
Generated solely from the company's own reports listed below — not from third-party data. Hallucination risk is low. · Sources: 10-K, Q1 FY2026 Earnings Call, Q4 FY2025 Earnings Call, Q3 FY2025 Earnings Call, Q2 FY2025 Earnings Call
| Metric | TTM | FY2025 | FY2024 | FY2023 | FY2022 | FY2021 |
|---|---|---|---|---|---|---|
| Revenue | 24.9B | 24.9B | 25.8B | 26.6B | 26.5B | 26.0B |
| Net Income | -5.8B | -5.8B | 2.7B | 2.9B | 2.4B | 1.0B |
| EPS | $-4.93 | $-4.93 | $2.26 | $2.31 | $1.91 | $0.82 |
| Free Cash Flow | 3.7B | 3.7B | 3.2B | 3.0B | 1.6B | 4.5B |
| ROIC | -5.9% | -9.0% | 2.5% | 5.3% | 4.4% | 3.1% |
| Gross Margin | 33.3% | 33.3% | 34.7% | 33.5% | 30.7% | 33.3% |
| Debt/Equity | 0.56 | 0.56 | 0.42 | 0.42 | 0.41 | 0.44 |
| Dividends/Share | $1.60 | $1.60 | $1.60 | $1.60 | $1.60 | $1.60 |
| Operating Income | -4.7B | -4.7B | 1.7B | 4.6B | 3.6B | 3.5B |
| Operating Margin | -18.7% | -18.7% | 6.5% | 17.2% | 13.7% | 13.3% |
| ROE | -14.0% | -12.9% | 5.6% | 5.8% | 4.9% | 2.0% |
| Shares Outstanding | 1,186M | 1,186M | 1,214M | 1,236M | 1,237M | 1,234M |
Kraft Heinz Co passes 3 of 9 quality checks, indicating weak fundamentals.
On a free-cash-flow basis, the stock trades at 8.3x vs a median of 11.1x. The company's 5-year average ROIC is 1.2% with a gross margin of 33.1%. Total shareholder yield (dividends + buybacks) is 7.7%. At current prices, the estimated annualized return to fair value is +2.5%.
Kraft Heinz Co (KHC) has a debt-to-equity ratio of 0.56. This indicates moderate leverage.
Kraft Heinz Co (KHC) reported earnings per share (EPS) of $-4.93 in its most recent fiscal year.
Kraft Heinz Co (KHC) has a return on equity (ROE) of -12.9%. A negative ROE may indicate losses or negative equity.
Kraft Heinz Co (KHC) has a 5-year average gross margin of 33.1%. This indicates decent pricing power.
The Ledger Terminal provides 11 years of financial data for Kraft Heinz Co (KHC), sourced directly from SEC EDGAR filings. This includes income statements, balance sheets, cash flow statements, and key financial ratios.
Kraft Heinz Co (KHC) has a book value per share of $35.14, based on its most recent annual SEC filing.
Based on recent SEC filings and earnings disclosures, Management expects inflationary trends in supply chain costs to moderate through 2026, though significant uncertainty persists, particularly around energy and resin costs stemming from geopolitical conflicts. The company is deploying $600 million in incremental investments focused on price competitiveness, product innovation, and marketing to drive market share recovery and volume growth, with results expected to accelerate in the second half of 2026 as investments mature and prior-year comparisons normalize. Productivity initiatives targeting over $2 billion in efficiencies through 2025 and $2.5 billion by 2027 are expected to offset inflation and fund growth investments while maintaining the company's target net leverage ratio of 3x and investment-grade status. Management remains focused on restoring growth in the Taste Elevation platform, which has faced prolonged recovery, and capitalizing on strength in emerging markets and away-from-home channels, while navigating near-term headwinds from SNAP funding reductions and consumer sentiment weakness.
Based on recent SEC filings and earnings calls, Kraft Heinz Co (KHC) has provided the following forward guidance: Organic net sales: down 1.5% to down 3.5% (FY2025); Constant currency adjusted operating income: down 5% to down 10% (FY2025); Adjusted EPS: $2.51–$2.67 (FY2025); Free cash flow: flat versus prior year (FY2025); Q2 FY2026 organic net sales: down 3% to down 5% (Q2 FY2026).