General Mills Targets $3 Billion Cost Savings by FY2030 as Annual Sales Fall 5%
Updated
Updated · CBS New York · Jul 1
General Mills Targets $3 Billion Cost Savings by FY2030 as Annual Sales Fall 5%
3 articles · Updated · CBS New York · Jul 1
Summary
General Mills said it aims to deliver $3 billion in cumulative cost savings by fiscal 2030, with about one-quarter of that target expected in fiscal 2027.
$2 billion of the savings is slated to come from its Holistic Margin Management program, with the rest tied to a global transformation initiative, supply-chain redesign and streamlined business processes.
The push comes as the food maker tries to offset elevated inflation and a tough consumer backdrop; CEO Jeff Harmening said the company is focused on lifting efficiency to support earnings, cash flow and growth investment.
Net sales for the fiscal year ended May 31 fell 5% to $18.4 billion, though fourth-quarter sales rose 1% to $4.6 billion.
For fiscal 2027, General Mills expects category growth to track recent trends and remain below its long-term historical rate.