NYSE$HSY

Hershey Co · Q4 2024 earnings

Q4 2024 earnings · · Before market open · Investor relations

Briefing

Hershey's net sales and earnings increased, driven by organic growth and strategic pricing actions.

The Hershey Company reported strong fourth-quarter and full-year 2024 financial results, with net sales increasing by 8.7% and organic constant currency net sales up by 9.0%. Net income saw a significant increase of 130.6%, while adjusted earnings per share also rose by 33.2%. The company is navigating expected pressures from rising cocoa prices in 2025 by focusing on top-line growth, share momentum, and productivity programs.

  • Consolidated net sales increased by 8.7% to $2,887.5 million.
  • Organic, constant currency net sales grew by 9.0%.
  • Reported net income increased by 130.6% to $796.6 million.
  • Adjusted earnings per share increased by 33.2% to $2.69.

Headline financials

Total Revenue

$2.89B

No prior period
EPS (adj)

$2.69

No prior period
Organic Net Sales Growth

9.0%

No prior period
Net Income

$797M

No prior period
Operating Income

$939M

No prior period
Gross Profit

$1.56B

No prior period

Revenue & EPS history

Hershey · Revenue · Quarterly

$2.89B

Q4 2024
Beat estimate in 12 of 15 quarters(80%)
ActualEstimate

Revenue by segment

Hershey · $2.36B total across 2 segments · Q3 2021

  • North America
    $2.13B+5.5%
  • International
    $234M+13.9%

Forward guidance

The company expects net sales growth of at least 2%, driven primarily by net price realization. Reported earnings per share is expected to be down in the high-40% range and adjusted earnings per share to be down in the mid-30% range.

Tailwinds

  • Net sales growth of at least 2% driven by net price realization.
  • Sour Strips acquisition to provide an approximate 30 basis point benefit to net sales growth.
  • Advancing Agility & Automation Initiative savings of approximately $125 million.
  • The company projects adjusted earnings per share to be down in the mid-30% range when excluding one-time costs associated with cost savings initiatives and acquisition integration activities.
  • A reported and adjusted effective tax rate in the range of approximately 14% to 15%.

Headwinds

  • Reported earnings per share is expected to be down in the high-40% range.
  • Higher commodity costs are expected to put significant pressure on 2025 earnings.
  • Rebased incentive compensation is expected to negatively impact earnings.
  • A higher economic tax rate is expected to negatively impact earnings.
  • The impact of foreign currency exchange rates is anticipated to be an approximate 30 basis point headwind to net sales growth.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2024

Historical avgQ4 2024

+0.3%

Avg return

Earnings day

+1.4%

Avg return

5 days after

+2.0%

Avg return

30 days after

54%

37 / 68 earnings

Positive

+9.0%

Q4 2025

Best reaction

-6.7%

Q4 2017

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-2.6%-2.2%+2.8%
Q4 2025+9.0%+11.3%+9.3%
Q3 2025-2.4%-5.3%+7.3%
Q2 2025+1.4%+2.2%-1.3%
Q1 2025-0.0%+1.7%-3.9%
Q4 2024+4.4%+8.5%+26.8%
Q3 2024-0.7%+2.6%-1.2%
Q1 2024+0.3%+2.1%+1.0%
Q3 2023-5.3%-3.7%-1.4%
Q2 2023-2.0%-4.1%-9.6%
Q1 2023+4.3%+4.8%-1.5%
Q4 2022+4.9%+5.2%+5.8%
Q3 2022-1.2%-0.6%+1.1%
Q2 2022+4.5%+5.0%+4.8%
Q1 2022+1.6%-1.0%-4.3%
Q4 2021+2.1%+4.3%+7.2%
Q3 2021-2.3%-2.2%-0.9%
Q2 2021+1.3%+1.9%-0.5%
Q1 2021+3.4%+5.1%+8.9%
Q4 2020+0.0%+2.1%+2.6%
Q3 2020+3.5%+6.3%+4.3%
Q2 2020+5.2%+5.3%+6.5%
Q1 2020-5.3%-6.3%-9.1%
Q4 2019+2.7%+0.9%-4.7%
Q3 2019-4.3%-4.0%-1.9%
Q2 2019+4.2%+3.7%+7.0%
Q1 2019+6.9%+6.6%+11.2%
Q4 2018-0.8%+0.5%+6.3%
Q3 2018-5.2%-0.1%-1.8%
Q2 2018+4.5%+5.8%+7.5%
Q1 2018-0.2%-2.4%-1.6%
Q4 2017-6.7%-8.2%-10.4%
Q3 2017-4.2%-2.2%-1.1%
Q2 2017-0.9%-2.0%-2.1%
Q1 2017-1.0%-1.3%+6.9%
Q4 2016+1.7%+1.3%+2.9%
Q3 2016+7.3%+6.6%+2.3%
Q2 2016+2.4%+3.7%+2.5%
Q1 2016-0.5%
Q4 2015+4.4%
Q3 2015-5.7%
Q2 2015-0.4%
Q1 2015-3.8%
Q4 2014-5.1%
Q3 2014-0.7%
Q2 2014-1.6%
Q1 2014-3.8%
Q4 2013+2.8%
Q3 2013+0.3%
Q2 2013+1.7%
Q1 2013-2.0%
Q4 2012+0.4%
Q3 2012+0.6%
Q2 2012+0.2%
Q1 2012+1.4%
Q4 2011+0.3%
Q3 2011-1.5%
Q2 2011-0.8%
Q1 2011+1.6%
Q4 2010+2.7%
Q3 2010-0.4%
Q2 2010-0.6%
Q1 2009-0.6%
Q1 2010+0.4%
Q2 2008+0.3%
Q3 2009+0.3%
Q3 2008+0.3%
Q2 2009+1.5%

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