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Domino's shares fall on weaker earnings
Domino’s Pizza shares tumbled following weaker-than-expected earnings and same-store sales growth in the United States. Same-store sales for the pizza chain increased by only 0.9%, lower than the 2.3% expected by Wall Street analysts. Earnings per share came in at $4.13, down from $4.33 the same time last year and below expectations of $4.27. “We’re not happy with it,” CEO Russell Weiner told CNBC. The pizza chain also lowered its full-year U.S. same-store sales forecast to low-single digit growth, down from its prior projection that U.S. same-store sales would increase 3%. Domino’s kicked off the earnings season for restaurant chains, and Weiner said he expects more fast-food chains to report similar headwinds. He said this would likely be caused by winter weather and weak consumer sentiment, which took a dive last month due to spiking fuel prices caused by the U.S.-Israeli war with Iran. “One of the bad things about reporting first is you don’t get to hear about anybody else,” Weiner said. Dominos also faced tougher competition this quarter from rival pizza chains like Papa John’s and Pizza Hut, which both matched Dominos US$9.999 “Best Deal Ever” with promotions at the same price point. And Little Cae
Food
PepsiCo beats, NA foods arm returns to volume growth
PepsiCo surpassed revenue and earnings estimates last quarter as its North American foods segment posted its first volume growth in two years. Net revenue increased 8.5% year-over-year to US$19.44 billion, passing LSEG consensus estimates of $18.94 billion. Earnings per share rose 9% to $1.61, beating estimates of $1.55. “We are pleased with our first-quarter results, which featured an acceleration in both net revenue and organic revenue growth – with a notable improvement in convenient foods organic volume. An extensive commercial agenda, which includes the restaging of large global brands, innovation activity and certain affordability initiatives, is being executed well and business performance improved,” said chair and CEO Ramon Laguarta. “We are encouraged with the resilience of the International business while North America continued to make progress in the first quarter. As we look ahead, we aim to successfully execute our commercial plans and tightly manage costs to help fund investments to accelerate growth.” Its North American foods segment reported a 2% increase in volume. The company lowered prices on products like Lay’s, Doritos, and Cheetos in February. North American and international beverages also ea
Food
McCormick investors choke on Unilever foods buyout
McCormick & Company Inc shares fell after it announced the acquisition of Unilever plc's foods business in a cash and shares deal to create a company worth about US$65 billion (A$94.4 billion). McCormick will pay $15.7 billion in cash and $29.1 billion in shares, giving Unilever shareholders 55.1% of the combined company, Unilever 9.9% and McCormick shareholders the balance. The companies said the merged business would have leading brands including McCormick flavours and seasoning, Knorr meal bases and Hellmann’s mayonnaise and high potential brands including Cholula hot sauces and Maille and Frank’s condiments. “The combination of Unilever’s Foods business with McCormick will create a global flavour powerhouse anchored in a portfolio of iconic brands across herbs, spices, seasonings, cooking aids, sauces and condiments,” they said in a media release. London-based Unilever said the transition would position it as a leading pure-play home and personal care (HPC) company. Chief Executive Officer Fernando Fernandez said the transaction was another decisive step in sharpening its portfolio and accelerating its strategy towards high-growth categories. “We are unlocking trapped value through a growth-led separation of
Food
Sysco pays price for US$29bn restaurant deal bill
Sysco shares plunged after it announced the acquisition of Jetro Restaurant Depot in a US$29 billion (A$42.3 billion) deal to increase its access to independent restaurants in the United States. Sysco (NYSE: SYY) shares closed $12.50 (15.28%) lower at $69.30, capitalising the largest food distributor in the U.S. at $33.19 billion. Sysco said it would acquire the family-owned restaurant and food service provider for $21.6 billion in cash, funded by debt and 91.5 million Sysco shares. The acquisition will allow Sysco to build a close relationship with customers that turn to Jetro for supplies in the higher margin $60 billion to $70 billion per year ‘cash-and-carry wholesale’ channel. “We’re thrilled to combine two industry leaders to create a preeminent multi-channel food service distribution platform,” Sysco Chair and Chief Executive Officer Kevin Hourican said in a news release. He said Sysco and Jetro Restaurant Depot would give independent restaurants better access to more affordable, fresh food products and deliver more choice and convenience. Jetro would benefit from access to Sysco’s foodservice supply chain and logistics capabilities, and Sysco would benefit from new ways to serve local customers. The co
Food
Pernod Ricard merger talk lifts Brown-Forman spirits
Brown-Forman Corp stock jumped on reports it had held preliminary merger discussions with Pernod Ricard as the alcoholic beverages sector responds to the challenges of rising costs and falling demand. Brown-Forman Class B shares (NYSE: BF.B) closed US$2.26 (9.63%) higher at $25.74 on Thursday (Friday AEDT) after media outlets reported the two companies had talked about combining their businesses. This capitalised the American company that makes Jack Daniel’s whiskey at US$11.88 billion (A$17.2 billion), but earlier in the session the share price was up as much as 21%. However, shares in Pernod Record ended €3.64 (5.73%) lower at €59.94, capitalising the world’s second largest spirits producer at €15.25 billion (US$17.53 billion), due to worries about the cost and risks of such a large acquisition. The talks were first disclosed in this article by Bloomberg, which cited an anonymous source familiar with the matter. A merger makes strategic sense in that although the French company’s spirits portfolio includes Jameson Irish whiskey, Ballantine's and Chivas Regal Scotch whiskey and Absolut vodka it has relatively little exposure to American whiskey. Although a deal is not certain, the talks reflect a move toward con

Food
Campbell's earnings miss on low snack sales, shares fall
Food company Campbell’s fell below estimates last quarter as snack sales dropped, sending its shares down 7.1%. Net sales declined 5% year-over-year to US$2.56 billion in the quarter to 1 February, 1.63% below Zacks consensus estimates. Earnings per share were $0.51, down from $0.74 one year ago and missing estimates of $0.57. “Our core Meals & Beverages portfolio delivered in-market consumption growth in the second quarter, highlighted by the Rao’s brand surpassing $1 billion in trailing twelve-month net sales. Overall results, however, fell short of our expectations due to weaker-than-expected performance in Snacks and storm-related shipment disruptions,” said Campbell’s CEO Mick Beekhuizen. “To stabilise Snacks, we are taking decisive action, focused on sharpening our value, new product innovation and in-market execution. We are also accelerating cost saving initiatives to mitigate cost headwinds and support continued investment in our brands.” Meals & Beverages sales were $1.65 billion, falling from $1.68 billion one year ago. Snack sales dropped to $914 million, from $1.01 billion. The decrease in snack sales was largely driven by declining chips and pretzels sales, as well as supply constraints, the company sa
Food
The Founders: Staying energised the natural way
After years of working in law, Mark Curry noticed a need for a more calming and healthy alternative to energy drinks to keep busy people awake. This was how his business, Savvy Beverages, turned from a personal project to a booming business. Savvy Beverages specialises in nootropic beverages, which are a kind of functional drink filled with vitamins and superfoods to boost brain function, boost productivity and improve mental clarity without the crash of traditional energy drinks.A booming industryWhen he first started, Curry says Savvy Beverages was the only product of its kind in Australia. The nootropics trend was already gaining traction in the U.S. in Silicon Valley in 2016. “When I used to pitch in 2018 and 19, the thing I was talking about in terms of the functional food and beverage space was quite small as opposed to now,” he tells Azzet. “Now, things have blown up dramatically.” The global functional beverage market size was valued at US$175.5 billion in 2022 and expected to reach $339.6 billion in 2030. In Australia alone, the industry was worth around $17 billion in 2023 and expected to rise to $34.7 billion by 2030. While many people still aren’t aware of nootropics, Curry says it is an industry t
Food
Kraft Heinz pauses split, says issues are 'fixable'
Kraft Heinz has paused its plan to separate into two companies and will instead invest US$600 million into reviving its United States growth, saying many of its difficulties are “fixable”. The foods company announced the split in September, with one business focused on grocery products and the other on condiments. Kraft Heinz will invest into marketing, research and development, and select pricing, it said today. “Since joining the company, I have seen that the opportunity is larger than expected and that many of our challenges are fixable and within our control,” said Kraft Heinz CEO Steve Cahillane. Cahillane became CEO last month. “My number one priority is returning the business to profitable growth, which will require ensuring all resources are fully focused on the execution of our operating plan. As a result, we believe it is prudent to pause work related to the separation and we will no longer incur related dis-synergies this year.” The company had planned to complete the separation in the second half of 2026. Kraft Foods and the H.J. Heinz Company originally merged in 2015. Kraft Heinz’s sales fell by 3.5% year-over-year last quarter to $6.35 billion, it said today. This was below Zacks estimates of $6.42 bi
Food
Heineken to cut 6000 jobs; beer market faces downturn
Heineken has announced it will be axing up to 6000 jobs, as the beer market continues to struggle in "challenging market conditions". The brewing giant, which produces Heineken, Amstel and Tiger beers, said the cuts would come over the next two years, across brewing and white-collar roles. The cuts will equate to around 7% of its 87,000 workers worldwide. The latest earnings report saw that Heineken had a tough 2025, with total beer volumes declining 2.4% over the course of the year, and with a lower profit growth now forecast for the year ahead. "We remain prudent in our near-term expectations for beer market conditions," said Chief Executive Dolf van den Brink, who announced his resignation from his role with Heineken in January, and will step down in May.