Hershey publishes Q3 2026 earnings Q&A transcript
HSY•Hershey maintained its 2027 sales growth outlook of 2%-4%, while saying persistent consumer pressure could push results toward the lower end. Management said EPS growth could fall short of its original double-digit framework if current cost pressures persist.
1. Outlook and costs
Hershey CEO Kirk Tanner, CFO Dave Hulays and investor relations vice president Anoori Naughton discussed the company’s outlook during its October 29 third-quarter earnings Q&A. Management maintained its 2027 sales growth outlook of 2%-4%, but said persistent consumer pressure could push results toward the lower end. EPS growth could fall short of the original double-digit framework if current conditions persist, reflecting higher freight, logistics and non-cocoa input costs.
2. Innovation and margins
The innovation pipeline is expected to expand 50% and contribute three times more to growth, with some major launches scheduled for the first quarter. Management expects meaningful margin improvement, while recovery to mid-40% margins remains an ambition for 2028 onward and depends partly on freight and inflation trends.
