General Mills: Volume Growth Amid Price Cuts

about 1 month ago

Carol Master

"General Mills. The stock grows three and a half%. Let's go old school. Let's talk cereal. Yes. I know. So after the earnings beat expectations, a highlight was the positive volume growth in North America retail segment. So this is kind of like a nuance story because the CEO said North American consumers are buying food when they go on sale. So again, it just really emphasizes that households are feeling pinched. And no, companies, them included, weren't offering bigger discounts or more frequent discounts. It's just that whenever they go on sale, people buy more and more. Um, and in an effort to boost sales, they've lowered their prices across twothirds of their North American retail business. And when they did slash prices, that's when they saw an increase in volume. One thing that didn't do well is cereal, which I love. Um, anyway, the company said more and more people are looking to just consume protein, protein, protein. And remember, there's Cheerios with higher protein."

General Mills, trading under the ticker GIS, saw a modest 3.5% increase post-earnings, driven by effective price cuts that spurred volume growth in North American retail, although certain categories like cereal lagged.

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