Kraft Heinz Q4 Earnings Beat Estimates Despite Revenue Decline

Kraft Heinz Company posted a strong Q4, with EPS of $1.76 and earnings growth. However, the revenue dropped 4.1%, raising concerns. Positive outlook remains with FY25 EPS guidance at $2.63 - $2.74.

Date: 12-02-2025

AI Rating: 6

The Kraft Heinz Company (KHC) reported notable earnings growth in its fourth quarter; its earnings increased significantly from the previous year. The bottom line soared to $2.131 billion, translating to an Earnings Per Share (EPS) of $1.76, a remarkable rise from $0.61 per share recorded in the previous year. This exceeds analyst expectations, who had estimated an EPS of $0.78.

Key Earnings Metrics:

- EPS: $1.76 vs. $0.61 last year (Rating: 8)
- Net Income: $2.131 billion vs. $757.00 million last year (Rating: 8)

Despite the impressive earnings figures, revenue presented a less favorable picture. Kraft Heinz experienced a decline of 4.1% in revenue, dropping from $6.860 billion last year to $6.576 billion for the current quarter. This decline could raise concerns about ongoing market challenges and demand for their products.

Revenue Decline: 4.1% decrease (Rating: 5)

The positive note in the report is the FY25 EPS guidance, which is projected between $2.63 and $2.74. This indicates expectations for continued profitability and potentially higher returns for shareholders in the upcoming fiscal year.

FY25 EPS Guidance: $2.63 - $2.74 (Rating: 7)

Overall, while Kraft Heinz has demonstrated strong earnings and better-than-expected EPS, the revenue decline could create volatility in stock price. Investors will need to monitor future revenue trends alongside profitability metrics.

Stocks: KHC