General Mills said it remains on track to deliver $750 million in cost savings this fiscal year and $3 billion by fiscal 2030, even as retail consumption fell 2% in the first quarter of fiscal 2027 and the company has not yet returned to growth. The $3 billion total breaks down into $2 billion from HMM and $1 billion from transformation initiatives, with the planned reduction of leverage back to a 3 times net debt to EBITDA target embedded in those transformation goals through 2030. Chief Financial Officer Kofi Bruce said first-quarter inflation landed at roughly the low end of the 4% to 5% range, around 4%, but that the fourth quarter could run just outside the range at around 6%, with wheat about three-quarters hedged for the year. Chief Operating Officer Dana McNabb said dollar sales improved by 2 points and share improved in the majority of categories, with price mix expected to improve starting in the second quarter as the company laps its base price investments, supported by premium innovation and price pack architecture. She flagged Totino's, where declines were cut in half, and fruit snacks as areas needing more work, and said the dry dog food business, particularly the Wilderness brand, saw accelerated declines and requires a complete overhaul of product, packaging and marketing. E-commerce is growing faster than brick-and-mortar, representing over 20% of human food sales and 30% of pet food sales, while new products have risen from 3% to 5% of net sales over the last two years.
General Mills IncOn track for $750M cost savings this fiscal year and $3B by fiscal 2030, with leverage reduction to 3x net debt/EBITDA.
