Kraft Heinz (KHC) Q1 2026 Earnings Transcript

Motley Fool Transcribing, The Motley Fool Wed, May 6, 2026 at 9:09 PM GMT+7 24 min read KHC Image source: The Motley Fool. Chief Executive Officer — Steve Cahillane Head of Global Investor Relations — Anne-Marie Megela Operator: Greetings. 2026 first quarter earnings conference call. At this time, all participants are in a listen-only mode. A question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, as a reminder, this conference is being recorded. I would now like to turn the conference over to your host, Anne-Marie Megela. Thank you. You may begin. Anne-Marie Megela: Thank you, and thank you all for joining us today. Welcome to the Q&A session for our first quarter 2026 business update. During today s call, we may make forward-looking statements regarding our expectations for the future. These statements are based on how we see things today, and actual results may differ materially due to risks and uncertainties. Please see the cautionary statements and risk factors contained in today s earnings release and our most recent SEC filings for more information regarding these risks and uncertainties. Additionally, we may refer to non-GAAP financial measures. Please refer to today s earnings release and the non-GAAP information available on our website for a discussion of our non-GAAP financial measures and reconciliations to the comparable GAAP financial measures. Joining me today to answer your questions is our chief executive officer, Steve Cahillane, and our chief financial officer, Andre Maciel. Operator, please open the call for the first question. Operator: Thank you. At this time, we will be conducting a question and answer session. If you would like to ask a question, please press 1 on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press 2 if you would like to remove your question from the queue. For participants using speaker equipment, it may be necessary to pick up your handset before pressing the star keys. One moment please while we poll for questions. Our first question comes from Peter Galbo of Bank of America. Your line is now live. Peter Thomas Galbo: Hey, good morning, everybody. Thanks for the question. Steve, I was actually hoping to start with Hold, Win, and Win Big. Just comparing what you said at CAGNY a few months ago to what you are presenting today, at least in the slides, I think there have been a few shifts of some of the platforms and/or sub-platforms. Can you touch on the decision between the different categories and some of those changes, and then as a part b to that question, whether that signals anything in terms of how you are viewing potential asset sales of different platforms? Steve Cahillane: Yes. Thanks for the question, Peter. As I said at the outset, we reserve the right to continue to get smarter, and that is what we have done as we have made some of these changes. A couple of examples: we did downgrade our Frozen from Win Big to Hold. We think that is based on what the category is showing us, what our real opportunities are, and really confronting the facts as they stand and being realistic about them. Equally, we looked at hydration and moved that from Win to Win Big. We see strong category growth. We really like our brands in this space. We really like Capri Sun and its ability to follow the cohort when young and age with them with our new hydration platform that is coming out now. So we see a real opportunity to Win Big there based on our brands and our place in the category. Equally, we have moved cheese from Hold to Win. We like the margin there. We like our brands. We like our opportunities. Those are some of the changes that we have made. I think they are all positive and they point to the fact that we are continuing to look at our portfolio, challenge our portfolio, invest in our portfolio, and look for those areas where we can grow. Peter Thomas Galbo: Great. Thank you for that. And, Andre, maybe just as a follow-up: I know the guidance is largely unchanged after what was probably a better than expected Q1. You called out some timing factors. Maybe just expand a little bit on your prepared remarks around Q2 and how you view the evolving outlook. I know you bumped that up a little bit today. Thanks very much. Andre Maciel: Good morning, Peter. Thanks for the question. We expect the second quarter to have top line between minus 3% and minus 5%. This is a consequence of the Easter shift that we have explained a few times, combined with the fact we still anticipate and expect SNAP to be a 100 bps headwind in the year starting in the second quarter. Nothing that we have seen so far indicates otherwise. We do expect to continue to see market share improving like we observed in Q1, but given softness in the category, we expect that to be a headwind in the second quarter. These will all be partially offset by continuous improveme

Kraft Heinz (KHC) Q1 2026 Earnings Transcript

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Kraft Heinz (KHC) Q1 2026 Earnings Transcript

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