The Hershey Company (NYSE: HSY) recently reported its Q1 2024 earnings, surpassing both top and bottom-line estimates. With a Non-GAAP EPS of $3.07, exceeding expectations by $0.31, and a revenue of $3.25 billion marking an 8.7% year-over-year increase, Hershey has demonstrated robust performance in the face of evolving economic conditions and high cocoa prices.Are you looking for signals & alerts from pro-traders? Sign-up to Invezz Signals™ for FREE. Takes 2 mins.The company’s organic, constant currency ne ...

The Hershey Company (NYSE:HSY) Q1 2024 Earnings Conference Call May 3, 2024 8:30 AM ET Company Participants Melissa Poole - VP, IR Michele Buck - Chairman and CEO Steve Voskuil - SVP and CFO Conference Call Participants Andrew Lazar - Barclays Alexia Howard - Bernstein Ken Goldman - JPMorgan Max Gumport - BNP Nik Modi - RBC Capital Markets Michael Lavery - Piper Sandler Bryan Spillane - Bank of America Robert Moskow - TD Cowen David Palmer - Evercore ISI Chris Carey - Wells Fargo Securities Thomas Palmer - ...

Financial Performance - Net sales for Q1 2024 were $3,252.7 million, an increase of 8.9% from $2,987.6 million in Q1 2023, driven by a 5.2% favorable price realization and a 3.4% volume increase[143]. - Gross profit increased to $1,676.1 million in Q1 2024, up 21.3% from $1,382.3 million in Q1 2023, resulting in a gross margin of 51.5%, an increase of 520 basis points[143][148]. - Operating profit rose to $1,058.1 million in Q1 2024, a 32.3% increase from $799.9 million in Q1 2023, with an operating profit margin of 32.5%[143][151]. - Net income for Q1 2024 was $797.5 million, a 35.8% increase from $587.2 million in Q1 2023, with diluted EPS rising to $3.89, up 36.5% from $2.85[143][155]. - Total segment income for the company was $1,029.7 million in Q1 2024, compared to $989.6 million in Q1 2023, marking an increase of 4.0%[160]. Tax and Expenses - The effective income tax rate decreased to 19.1% in Q1 2024 from 22.7% in Q1 2023, influenced by investment tax credits[154]. - Selling, marketing, and administrative expenses increased to $618.0 million in Q1 2024, a rise of 6.3% from $581.6 million in Q1 2023[149]. - Unallocated corporate expenses decreased to $172.9 million in Q1 2024 from $177.1 million in Q1 2023, a reduction of 2.4%[169]. - Net interest expense increased by $2.1 million, or 5.7%, to $39.8 million in Q1 2024, primarily due to higher rates on long-term debt[152]. Sales and Market Performance - U.S. retail takeaway increased by 7.0% in Q1 2024, with candy, mint, and gum consumer takeaway rising by 8.1%[145]. - Net sales for the North America Confectionery segment increased to $2,707.3 million in Q1 2024, up 10.4% from $2,452.2 million in Q1 2023, driven by a 5.9% favorable price realization and a 4.5% volume increase[160]. - North America Salty Snacks segment net sales rose to $275.1 million in Q1 2024, a 1.9% increase from $270.0 million in Q1 2023, with a favorable price realization of 1.7%[164]. - International segment net sales reached $270.3 million in Q1 2024, reflecting a 1.8% increase from $265.4 million in Q1 2023, supported by a 3.5% favorable price realization[167]. Cash Flow and Capital Expenditures - Cash and cash equivalents totaled $520.4 million as of March 31, 2024, an increase of $118.5 million compared to the end of 2023[170]. - Capital expenditures in Q1 2024 were $213.3 million, up from $176.1 million in Q1 2023, primarily for ERP system implementation and capacity expansion[175]. - The company expects 2024 capital expenditures to approximate $600 million to $650 million, driven by the completion of key strategic initiatives[175]. - Operating activities generated cash of $569.2 million in Q1 2024, a decrease of $186.2 million from $755.4 million in Q1 2023, primarily due to increased cash consumption from working capital[173]. Shareholder Returns - Total dividend payments in the first quarter of 2024 were $273.4 million, an increase of $66.0 million compared to $207.4 million in the same period of 2023[179]. - The company repurchased shares worth $494.2 million in the first quarter of 2024, compared to $239.9 million in the same period of 2023[181]. Strategic Initiatives and Risks - The company completed the acquisition of assets from Weaver Popcorn Manufacturing on May 31, 2023, enhancing manufacturing capacity[138]. - The company anticipates moderation in consumer spending for the remainder of 2024 due to cost fatigue and labor market constraints[139]. - The company may not fully realize the expected cost savings and/or operating efficiencies associated with its strategic initiatives or restructuring programs, which could adversely impact its business[188]. - Complications with the design, implementation, or usage of the new enterprise resource planning system could adversely impact the company's business and operations[188].

HERSHEY, Pa., May 3, 2024 /PRNewswire/ -- The Board of Directors of The Hershey Company (NYSE: HSY) today announced quarterly dividends of $1.370 on the Common Stock and $1.245 on the Class B Common Stock.  The dividends were declared May 2, 2024, and are payable June 14, 2024, to stockholders of record as of May 17, 2024.  It is the 377th consecutive regular dividend on the Common Stock and the 158th consecutive regular dividend on the Class B Common Stock. SOURCE The Hershey Company ...

Exhibit 99.1 FINANCIAL CONTACT: MEDIA CONTACT: Melissa Poole Allison Kleinfelter mpoole@hersheys.com akleinfelter@hersheys.com Hershey Reports First-Quarter 2024 Financial Results; Reaffirms 2024 Net Sales and Earnings Outlook HERSHEY, Pa., May 3, 2024 - The Hershey Company (NYSE: HSY) today announced net sales and earnings for the first quarter ended March 31, 2024, and reaffirmed its 2024 net sales and earnings outlook. "We are off to a strong start and remain on track to deliver our business strategies a ...

Although the demand for inflation-resistant stocks has fallen in the past six to 12 months as consumer prices have moderated, JPMorgan Chase (NYSE:JPM) CEO Jamie Dimon isn’t convinced inflation has gone the way of the dodo bird. “Many key economic indicators today continue to be good and possibly improving, including inflation. But when looking ahead to tomorrow, conditions that will affect the future should be considered. For example, there seems to be a large number of persistent inflationary pressures, w ...

Investors are always looking for stocks that are poised to beat at earnings season and The Hershey Company (HSY) may be one such company. The firm has earnings coming up pretty soon, and events are shaping up quite nicely for their report.That is because Hershey is seeing favorable earnings estimate revision activity as of late, which is generally a precursor to an earnings beat. After all, analysts raising estimates right before earnings — with the most up-to-date information possible — is a pretty good in ...

As The Hershey Company (HSY) prepares to release its first-quarter 2024 earnings results on May 3, before market open, investors are evaluating the potential opportunities and risks tied to the company. Despite Hershey’s enticing investment profile, underpinned by a strong brand portfolio, customer-centric innovations, pricing leverage and financial resilience, it comes with its set of uncertainties.Analysts' expectations paint a mixed picture for Hershey’s upcoming release, with the Zacks Consensus Estimat ...

Wall Street analysts expect Hershey (HSY) to post quarterly earnings of $2.72 per share in its upcoming report, which indicates a year-over-year decline of 8.1%. Revenues are expected to be $3.12 billion, up 4.3% from the year-ago quarter.Over the last 30 days, there has been an upward revision of 0.4% in the consensus EPS estimate for the quarter, leading to its current level. This signifies the covering analysts' collective reconsideration of their initial forecasts over the course of this timeframe.Ahead ...

Investors are closely watching how major chocolate manufacturers Hershey and Mondelez International will address the recent sharp increases in cocoa and sugar prices as they release their first-quarter results this week.Are you looking for signals & alerts from pro-traders? Sign-up to Invezz Signals™ for FREE. Takes 2 mins.Both companies have faced elevated costs over the past several quarters, partly mitigating these through consumer price hikes. Challenges posed by cocoa price surge and crop issuesCopy li ...