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Investing.com -- Kraft Heinz edged slightly lower in premarket trading Wednesday even as the packaged foods giant beat second-quarter expectations and raised its full-year outlook.
The company reported second-quarter earnings per share of $0.56, beating the analyst estimate of $0.53. Revenue came in at $6.26 billion, ahead of the $6.11 billion consensus estimate.
Organic net sales fell 1.3% overall, with declines of 2.7% in North America and 0.7% in international developed markets, partly offset by 8.5% growth in emerging markets.
Adjusted gross profit margin was flat at 34.1%.
“We delivered another solid quarter, with results that exceeded our expectations across U.S. Retail, Global Away From Home, and Emerging Markets,” said Steve Cahillane, CEO of Kraft Heinz. “Our brands are resonating with consumers, and our share performance is improving. The progress we are seeing gives us the confidence to raise our Organic Net Sales outlook for the year.”
Kraft Heinz raised its full-year 2026 EPS guidance to $2.03 to $2.09, up from a prior range of $1.98 to $2.10, and in line with the $2.06 consensus estimate at the midpoint.
The company narrowed its organic net sales outlook to a decline of 0.5% to 2.0%, an improvement from its previous forecast of a 3.5% to 1.5% decline. The updated guidance includes an approximately 100-basis-point impact from incremental SNAP-related headwinds.
Kraft Heinz also raised its adjusted gross profit margin guidance, now expecting a decline of 50 to 10 basis points, improved from a prior forecast of a 75-to-25-basis-point decline.
The company said it is increasing incremental investments by $100 million, to approximately $700 million in 2026.
Separately, the company’s board declared a regular quarterly dividend of $0.40 per share, payable September 25, 2026, to shareholders of record as of September 4, 2026.
