The Kraft Heinz Company · NASDAQ:KHC
The Kraft Heinz — Q3 2025 Earnings Presentation
27 slides from The Kraft Heinz's earnings presentation, Oct 29, 2025
Slide 1: Q3 2025 Business Update
Kraft October 29,2025 Acreamy touch of magic. a Q3 2025 BUSINESS UPDATE TO ACCOMPANY MANAGEMENT COMMENTARY
Slide 2: Non-GAAP Financial Measures
OCTOBER 29, 2025 This presentation contains a number of forward-looking statements as defined under U.S. federal securities laws, including, but not limited to, statements, estimates, and projections relating to our business and long-term strategy; our ambitions, goals, targets, and commitments; our
Slide 3: Q3 2025 Business & Strategy Update
Q3 2025 Business & Strategy Update Chief Executive Officer CARLOS ABRAMS-RIVERA
Slide 4: We are generating modest recovery in year over year top line trends
Q3 2025 Business Update • We are generating modest recovery in year over year top line trends. • Our continued investments across Marketing, R&D, and Technology are driving improvement. • We are generating attractive cash flow, maintaining our Net Leverage1 target, and returning capital to stockhold
Slide 5: Moderate Improvement in Top Line vs H1, with Continued Strength in Cash Flow
Moderate Improvement in Top Line vs H1, with Continued Strength in Cash Flow Q3 2025 Business Update Constant Currency Total Adjusted Gross Year-to-Date Organic Net Sales1 Adj. Operating Adjusted EPS1 Profit Margin1 Free Cash Flow1 Kraft Heinz Income1 Q3 ‘25 $6.2B 32.3% $1.1B $0.61 $2.5B vs PY (2.5%
Slide 6: Modest Recovery in YoY Top Line Trends Coming from Improvements in Volume
Modest Recovery in YoY Top Line Trends Coming from Improvements in Volume Q3 2025 Business Update Rest of Business Cold Cuts Indonesia Rest of Business Cold Cuts Indonesia H1 25 Q3 25 H1 25 Q3 25 (1.6%) (2.5%) (2.9%) (3.5%) (2.5%) (3.3%) (3.5%) (4.2%) 1| Non-GAAP financial measure. See the accompany
Slide 7: Continued Growth in Emerging Markets and International Away From Home
Continued Growth in Emerging Markets and International Away From Home Q3 2025 Business Update Q3 ‘25 vs PY Year-over-year pressure primarily driven by declines in Mac & Cheese, Spoonables, and Frozen Snacks. (4.2%) Reflects a year-over-year improvement of 100 basis points from the first half largely
Slide 8: Encouraging Share Improvement Across Key U.S. Accelerate Categories
Encouraging Share Improvement Across Key U.S. Accelerate Categories N.A. Retail Accelerate Dollar Share1 vs PY Dollar Share1 vs PY Dollar Share1 vs PY Dollar Share1 vs PY H1 25 Q3 25 Sep 25 H1 25 Q3 25 Sep 25 H1 25 Q3 25 Sep 25 H1 25 Q3 25 Sep 25 1.1pp 1.0pp 1.0pp 0.7pp 0.8pp 0.8pp 0.6pp 0.5pp 0.5pp
Slide 9: Despite Continued U.S. Industry Pressure, We Remain Committed to Our Strategy
Despite Continued U.S. Industry Pressure, We Remain Committed to Our Strategy Global Away From Home Away From Home channels across brands & categories through sales excellence % of North America Away From Home Net Sales Leveraging Away From Home to Increase Success in Retail Organic Net Sales1,2 Q3
Slide 10: Emerging Markets Growth Powered by Heinz and Go To Market Model
Emerging Markets Growth Powered by Heinz and Go To Market Model Emerging Markets Emerging Markets Organic Net Sales1,2 Approximately +14% Q3 ‘25 vs PY Total Distribution Points3 Q3 ‘25 vs PY 1| Non-GAAP financial measure. See the accompanying Non-GAAP Information and Reconciliations at ir.kraftheinz
Slide 11: Leveraging Brand Growth System to Drive Category Growth via Brand Superiority
Leveraging Brand Growth System to Drive Category Growth via Brand Superiority Q3 2025 Business Update Build an everlasting emotional Deliver superior quality, taste, and Offer differentiated value that uniquely Drive consistent availability alongside connection with our consumers consumer experience
Slide 12: Fueling Consumer-Led Innovation to Drive Positive Momentum Globally
Fueling Consumer-Led Innovation to Drive Positive Momentum Globally Q3 2025 Business Update Heinz Flavored Mayo Now in Canada Capri Sun Single Serve Bottles Renovation of TK Zero in Europe Total Heinz Mayo Quartile Performance Total Heinz Ketchup Canada Dollar Share1 at Major Retailers Int’l Develop
Slide 13: And Powering Marketing that Resonates with Consumers and Drives Results
And Powering Marketing that Resonates with Consumers and Drives Results Q3 2025 Business Update Investing Behind Product-Centric Revitalizing our Brands by Finding Unlocking Value Through Creative that is Effective and Efficient Relevant Moments in Culture “Must Win” Moments Consumer Reach with Pare
Slide 14: Resulting in Continued Progress Across All Four Focus Categories in North America
Resulting in Continued Progress Across All Four Focus Categories in North America Q3 2025 Business Update Dollar Sales1 vs PY Dollar Sales1 vs PY Dollar Sales1 vs PY Dollar Sales1 vs PY Q1 25 Q2 25 Q3 25 Q1 25 Q2 25 Q3 25 Q1 25 Q2 25 Q3 25 Q1 25 Q2 25 Q3 25 6% 10% 0% 0% 8% 2% (1%) (4%) 6% (2%) (2%)
Slide 15: Advancements in Technology and AI Driving Efficiencies Across the Value Chain
Advancements in Technology and AI Driving Efficiencies Across the Value Chain Q3 2025 Business Update Streamlines Ketchup Production Enhances Real-Time Decision Making Enables Nutritional Advancement • AI-powered tool that gives employees • Internally developed AI platform that • A product formulati
Slide 16: Company Separation Remains on Track to Close in H2 2026
Company Separation Remains on Track to Close in H2 2026 Q3 2025 Business Update 2024 Net Sales ~$15.4B 2024 Net Sales ~$10.4B 2024 Adjusted EBITDA1 ~$4.0B 2024 Adjusted EBITDA1 ~$2.3B Generate substantial reliable free cash flow through Drive leading growth with iconic brands and local operational e
Slide 17: Q3 2025 Business & Strategy Update
Q3 2025 Business & Strategy Update Global Chief Financial Officer ANDRE MACIEL
Slide 18: Growth in Emerging Markets and Canada More than Offset by Elongated US Recovery
Growth in Emerging Markets and Canada More than Offset by Elongated US Recovery Q3 2025 Business Update Organic Q3 25 vs Q3 24 Net Sales 1 Price Volume / Mix Total Kraft Heinz (2.5%) 1.0pp (3.5pp) • Organic Net Sales YoY improvement of 80bps from H1 of (3.3%) vs PY North America (3.8%) 0.4pp (4.2pp)
Slide 19: Declines Driven by Inflation and Volume Pressure, Partially Offset by Efficiencies
Declines Driven by Inflation and Volume Pressure, Partially Offset by Efficiencies Q3 2025 Business Update Adjusted Constant Currency Adjusted Operating Adj. Operating Operating Income Q3 25 vs Q3 24 Income 1 Currency Income 1 Margin1 Total Kraft Heinz (16.9%) 0.1pp (17.0%) 17.7% (3.1pp) vs PY North
Slide 20: Inflation, Mix, and One-Time Items Weigh on Margins, Partially Offset by Productivity
Inflation, Mix, and One-Time Items Weigh on Margins, Partially Offset by Productivity Q3 2025 Business Update 34.3% $0.75 32.3% $0.61 Q3 '24 Q3 '25 Q3 '24 Q3 '25 vs Q3 2024 vs Q3 2024 + Continued best-in-class levels of productivity Results of Operations: ($0.14) Effective Tax Rate: ($0.02) – Tariff
Slide 21: Committed to Continued Investments for Sustainable, Long-Term Growth
Committed to Continued Investments for Sustainable, Long-Term Growth Q3 2025 Business Update Continuing to Deliver Value to our Supporting our Brands by Bigger and Investing in R&D to Strengthen Capabilities Consumers By Investing in Price Smarter Investments in Marketing and Drive Strategic Objecti
Slide 22: By Funding Investments With Best-In-Class Levels of Productivity
By Funding Investments With Best-In-Class Levels of Productivity… Q3 2025 Business Update (% COGS) ($B) 5.0% 2.5 • Leveraged technology to improve 4.0% ability to predict and mitigate 2.0 disruptions 3.0% LTA 1.5 • Improved demand planning to 2.0% reduce excess inventory 1.0% 1.0 • Enhanced digital
Slide 23: Combined with Continued Strong Cash Flow Generation
…Combined with Continued Strong Cash Flow Generation Q3 2025 Business Update +34pp YTD '24 YTD '25 2023 FY 2024 FY 2025 FYE Primarily driven by improved inventory Working capital improvements driving an increase in management and demand planning initiatives as our 2025 FY Free Cash Flow Conversion e
Slide 24: We Continue to be Excellent Stewards of Capital
We Continue to be Excellent Stewards of Capital Q3 2025 Business Update 2025E Investments: 2025 LTM: Divested Business: 2025 YTD Capital Returned: +$160M vs Plan ~3.0X Italy Infant +$1.8B • Targeting both companies to be investment grade • In aggregate, current dividend level expected to be maintain
Slide 25: Maintaining a Healthy Balance Sheet While Returning Capital to Stockholders
Maintaining a Healthy Balance Sheet While Returning Capital to Stockholders Q3 2025 Business Update Returned Incremental to Stockholders Year-to-Date • Non-programmatic Yield3 • Function of excess cash 2019 2024 LTM • Macro-economic and KHC Net Leverage1 separation considerations 1| Non-GAAP financi
Slide 26: 2025 Outlook
2025 Outlook Q3 2025 Business Update • FY25 impact from currency at current FX rates: ~flat • Slightly positive contribution from price • Adjusted Gross Profit Margin1: ~(100bps) YoY • FY25 impact from currency at current FX rates: ~flat • Marketing: at least 4.8% of net sales • Inflation: 5% to 7%
Slide 27: Q3 2025 Business & Strategy Wrap Up
Q3 2025 Business & Strategy Wrap Up Chief Executive Officer CARLOS ABRAMS-RIVERA
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