General Mills cuts FY26 organic sales to down 1.5%-2%, flags $165M costs
General Mills cut its fiscal 2026 organic net sales forecast to a 1.5%–2% decline, down from prior guidance of a 1% decrease to 1% growth, and now expects adjusted operating profit and EPS to fall 16%–20%, versus 10%–15% previously. The company also revealed restructuring costs of $160–165 million.
1. Guidance Revision
General Mills revised its fiscal 2026 guidance, lowering organic net sales growth to a decline of 1.5%–2%, versus prior guidance of a 1% decrease to 1% increase. Adjusted operating profit and diluted EPS forecasts were reduced to a 16%–20% decline, down from 10%–15%.
2. Restructuring Costs
Restructuring and integration expenses are now projected at $160–165 million for fiscal 2026, reflecting costs tied to ongoing portfolio adjustments and the Accelerate strategy rollout.
3. Accelerate Strategy and Innovation
Under the Accelerate strategy, General Mills expects new products to drive roughly 25% of net sales growth through bold flavors, familiar favorites and better-for-you innovations focused on protein and fiber benefits.
4. Analyst Outlook and Upcoming Update
Analysts have lowered full-year fiscal 2026 EPS estimates to $0.82 and revenue to $4.55 billion ahead of the next financial update on March 18, 2026, with an average price target near $53.56 and hold ratings prevailing.