Latest news with #WKKellogg
Yahoo
5 days ago
- Health
- Yahoo
Walmart's Sam's Club to remove synthetic dyes from private brand by year end
(Reuters) -Walmart-owned Sam's Club said on Thursday it would eliminate over 40 ingredients, including artificial colors and aspartame, from private label brand Member's Mark by the end of this year. Under the initiative, called 'Made Without', Sam's Club is altering its food products and beverages to offer items that are in tandem with the evolving dietary preferences of customers as more people, mainly Gen Z and millennials, turn health conscious. The move comes a couple of months after Health Secretary Robert F. Kennedy Jr laid out plans to remove synthetic food dyes from the U.S. food supply, in a broader move to address chronic diseases and health conditions such as obesity among Americans. Most of the packaged food companies are also working on their existing products as well as on introducing items without artificial dyes. W.K. Kellogg is reformulating its cereals served in schools to not include artificial dyes, and has said it would not launch any products with the dyes beginning next year. Tyson Foods is also "proactively reformulating" food products containing petroleum-based synthetic dyes, which according to the company were to be eliminated from its production process by May end. Sam's Club has already rolled out cookies and snacks without artificial colors. The retailer is also offering fresh sushi as part of its 'Made Without' program. Sign in to access your portfolio
Yahoo
26-05-2025
- Climate
- Yahoo
Battle Creek cemetery closed for months due to storm damage
BATTLE CREEK, Mich. (WOOD) — During Memorial Day weekend and beyond, a Battle Creek cemetery is closed due to storm damage from last week. Oak Hill Cemetery experienced 'extensive damage' during , according to a social media post by the cemetery. It will be closed for up to 2.5 months to clean up the damage. NWS confirms 2 tornadoes touched down near Battle Creek A sign that read 'Closed due to weather damage' was posted on the front gate Sunday. Each year, tourists worldwide visit the cemetery to see the final resting places of several historical figures like W. K. Kellogg, John Harvey Kellogg , C.W. Post and Sojourner Truth. 'We are saddened by the news, especially with it being Memorial Day this weekend,' wrote Oak Hill Cemetery. For more information, you can call Oak Hill's office at 269.964.7321. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Yahoo
15-05-2025
- Business
- Yahoo
Breakfast cereal is in dire need of a makeover
This story was originally published on Food Dive. To receive daily news and insights, subscribe to our free daily Food Dive newsletter. After years of shrinking sales, cereal is no longer the star of breakfast. Now, food giants like General Mills and WK Kellogg are plotting how to get the former staple back on the table. Shifts in morning routines, rising costs and cereal's sugar-laden image have dragged down the category for years. But as consumers become even more concerned with inflation, those declines have recently accelerated, and companies are making it more of a priority to turn around the cereal category. At Froot Loops maker WK Kellogg, first-quarter sales declined 6.2% compared to last year. A similar story is playing out at its competitors. General Mills CEO Jeff Harmening told investors in March that cereal's performance "wasn't great," while Post Holdings, which owns brands like Fruity Pebbles, recently closed two cereal plants amid headwinds in the category. Many cereal giants are beginning to lean into consumer demand for healthier foods, noting that shoppers are willing to pay more for offerings they perceive to have more nutritional value. Upstarts like Magic Spoon, which offers a high-protein and no-sugar cereal, have taken away market share from traditional stalwarts. PepsiCo's Life brand debuted a multigrain cereal, Mighty Life, this year aimed at boosting immunity. 'It's a real dichotomy. You see some of the more premium organic natural [cereal] marketed as healthier for you …. doing well in the category while the overall category is not performing well,' Jeff Zadoks, chief operating officer of Post Holdings, told investors this month. 'There's a pocket of consumers that are spending for what they perceive as better for them, and are willing to pay essentially whatever necessary to get that type of product.' To reach that pocket of consumers, big companies are moving to relaunch big-name brands with added protein options or lower sugar. Kellogg debuted Special K Protein, while General Mills introduced Cheerios Protein. 'As we're seeing a shift in the category, we need to shift with it,' Kellogg CEO Gary Pilnick said on an earnings call in early May. Companies are also pouring more into marketing or redesigns to remake cereal's image as sugary or unhealthy. WK Kellogg faced protests to remove artificial dyes from its cereals, and manufacturers now face pressure from Health and Human Services Secretary Robert F. Kennedy Jr. to phase out synthetic colors as part of his 'Make America Healthy Again' initiative. 'We do believe the entire cereal category should be perceived better from a health perspective,' Pilnick said. WK Kellogg intends to focus more on health and wellness brands, including Special K and Kashi, which is being relaunched. Pilnick said consumer interest in health and nutrition is 'more than a fad,' and the company is accelerating plans to lean into those better-for-you attributes. 'While there are smaller brands in the market that are winning, we could do that, too,' Pilnick told investors. Recommended Reading Post Holdings sees cereal demand dip as Gen Z seeks healthier breakfasts
Yahoo
09-05-2025
- Business
- Yahoo
Long-Term Decline In Cereal Market Poses Structural Challenges For Kellogg, Analyst Says
J.P. Morgan analyst Ken Goldman on Tuesday assigned a Neutral rating on the shares of WK Kellogg Co (NYSE:KLG) with a price forecast of $19.00. The company reported first-quarter earnings per share of 20 cents, missing the street view of 34 cents. Quarterly sales of $663 million missed the analyst consensus estimate of $679.49 million. KLG revised its 2025 outlook, now expecting organic net sales to decline 2.0% to 3.0%, and adjusted EBITDA to be flat or down 2.0%, versus previous forecasts of milder declines and EBITDA outlook reflects modest tariff impacts on raw materials, assuming continued trade exemptions with Canada and Mexico, though the company warned future tariff changes could further affect results. On the positive side, the analyst sees significant potential for margin expansion and believes the stock's current low valuation could help support its price. However, the analyst remains cautious about the company's projections for EBITDA margin gains, especially given weak sales trends. The long-term decline in the cereal market poses structural challenges, and upcoming restructuring and capital expenditures will strain cash flow, noted the analyst. The analyst said KLG shares should trade at a discount compared to larger packaged food companies due to ongoing difficulties in the cereal category, substantial upcoming spending on capital projects and restructuring, and the company's smaller scale. Price Action: KLG shares closed lower by 3.90% to $17.23 on Wednesday. Read Next:Photo by JHVEPhoto via Shutterstock UNLOCKED: 5 NEW TRADES EVERY WEEK. Click now to get top trade ideas daily, plus unlimited access to cutting-edge tools and strategies to gain an edge in the markets. Get the latest stock analysis from Benzinga? This article Long-Term Decline In Cereal Market Poses Structural Challenges For Kellogg, Analyst Says originally appeared on © 2025 Benzinga does not provide investment advice. All rights reserved.
Yahoo
07-05-2025
- Business
- Yahoo
Lower Q1 sales, tariff outlook sees WK Kellogg cut forecasts
A decline in first-quarter sales and concerns about the impact of US tariffs have led WK Kellogg to lower forecasts for the full year. The cereal maker expects its organic net sales to decline by 2-3% in 2025, compared to its previous projection of a 1% decrease. WK Kellogg has also lowered its forecast for adjusted EBITDA. It now expects that metric to be, at best, flat year on year, or, at worst, down 2%. The group had been forecasting an increase of 4-6%. Announcing its first-quarter financial results yesterday (6 May), WK Kellogg pointed to "weaker than expected consumption trends". It also said its outlook "now includes a modest impact from tariffs, primarily related to the sourcing of raw materials outside of North America". The company said its forecast "assumes that most of our production remains exempt from tariffs on imports from and exports to Canada and Mexico". However, it added: "There can be no assurance that this suspension will remain in place indefinitely or whether any new or expanded tariffs may further impact our business and results of operations." For the quarter to 29 March, WK Kellogg reported a 45.5% drop in net income to $18m. Net sales declined 6.2% of $663m compared to the same period last year. Organic net sales fell 5.6% to $667m. The Rice Crispies manufacturer reported a first-quarter operating profit of $20m, down 56.5% year-over-year. Adjusted EBITDA also fell 4% to $72m, primarily due to lower sales volumes. WK Kellogg chairman and CEO Gary Pilnick said: 'Despite the lower than expected first quarter performance which resulted in revising our 2025 outlook, we continue to make great progress on our strategic priorities, including the supply chain modernisation initiative. "We remain on track to deliver circa 500 basis points of margin improvement as we exit 2026." Pilnick added: 'In the first quarter, we saw consumers continue to focus on health and nutrition, which we view as a positive development for the category. 'We believe our portfolio is well positioned to meet the needs of our consumers, and we are taking further actions to accelerate our plans in this area.' In August, WK Kellogg announced the closure of its plant in Omaha, Nebraska and scaled back production at its Memphis facility in Tennessee. Navigate the shifting tariff landscape with real-time data and market-leading analysis. Request a free demo for GlobalData's Strategic Intelligence here. "Lower Q1 sales, tariff outlook sees WK Kellogg cut forecasts" was originally created and published by Just Food, a GlobalData owned brand.
