General Mills Bets on Pet Food and Protein to Reverse Slump

Chief Executive Jeff Harmening pointed to improved household penetration as a sign that the company is regaining its footing after a year that saw the stock shed roughly a quarter of its value. With price adjustments largely complete, the manufacturer of Cheerios and Annie’s Mac and Cheese is pivoting its strategy toward health-conscious consumers. Upcoming portfolios will emphasize higher protein and fiber content, while the company doubles down on its pet food segment—a rare bright spot where North American sales grew even as traditional retail categories softened.

The path forward includes a lean-operations mandate, with plans to cut $3 billion in costs by fiscal 2030 to combat persistent inflation. While revenue grew 1% to $4.61 billion, beating analyst forecasts, the broader outlook remains cautious. Chief Operating Officer Dana McNabb noted that consumer pressure shows no signs of immediate relief, with shoppers increasingly reliant on promotions and smaller package sizes. Consequently, the company projects adjusted earnings between $3 and $3.20 per share for the coming year, navigating a landscape where the appetite for growth remains tempered by a cautious, price-sensitive public.