FILE PHOTO: A Hershey’s chocolate bar is shown in this photo illustration in Encinitas, California January 29, 2015. REUTERS/Mike Blake/File Photo
October 28, 2021
(Reuters) -Hershey Co raised its annual net sales and adjusted earnings forecast on Thursday, helped by strong demand for its products such as Reese’s Peanut Butter Cups and KitKat chocolates for the Halloween season.
Demand for the company’s chocolates and candies strengthened this Halloween after the pandemic curtailed ‘trick-or-treat’ events last year.
Like other packaged food makers, Hershey has been raising prices in recent months to offset rising raw material costs and freight expenses due to global supply chain disruptions triggered by the pandemic.
Hershey said the raised outlook reflected increased consumer demand across regions and investments into the brand, which would help the company offset the higher costs.
The company forecast 2021 net sales to grow 8% to 9%, higher than its previous range of growth between 6% and 8%.
It also expects adjusted earnings per share to range between $6.98 and $7.11, a rise of 8% to 10% from the previous outlook.
(Reporting by Mehr Bedi in Bengaluru; editing by Arpan Varghese)
