General Mills closed fiscal year 2025 with full-year diluted EPS of $4.10 (down 5%), missing analyst expectations by roughly 3.9%, on revenue of $19.49 billion (down 2% year-over-year). Adjusted diluted EPS came in at $4.21, also missing consensus. Stock saw after-hours movement with shares closing at $51.94 after a 2.75% pre-market decline following the Q4 earnings call.
About General Mills, Inc.
General Mills, Inc. (NYSE: GIS) is one of the world’s largest packaged food manufacturers, founded in 1866 and headquartered in Minneapolis, Minnesota. The company makes and markets food products across more than 100 countries, operating under beloved household brands such as Cheerios, Nature Valley, Blue Buffalo, Haagen-Dazs, Old El Paso, Pillsbury, Betty Crocker, Yoplait, and Totino’s.
The company employs approximately 34,000 people globally and operates across four business segments: North America Retail, North America Pet, North America Foodservice, and International. As of the earnings release date, General Mills carried a market capitalization of approximately $28.28 billion and traded at a P/E ratio of 11.65, suggesting potential value in a challenging consumer backdrop.
The dividend yield stood at an annualized rate based on a raised quarterly payout of $0.61 per share declared following the fiscal 2025 results, the 126th consecutive year of uninterrupted dividends. Revenue for fiscal year 2025 totaled $19.49 billion, with the North America Retail segment alone contributing $11.9 billion, or about 61% of total revenue.
Top Financial Highlights
- Total revenue for fiscal year 2025 reached $19.49 billion, reflecting a 2% decline compared with $19.86 billion recorded in fiscal year 2024.
- Net income totaled $2.295 billion, representing an 8% decrease from $2.497 billion in the previous fiscal year.
- Diluted earnings per share reached $4.10, reflecting a 5% decline compared with $4.31 recorded in fiscal year 2024.
- Adjusted diluted earnings per share reached $4.21, representing a 7% decline in constant currency terms.
- Gross margin accounted for 34.6% of net sales, reflecting a 30 basis point decline year over year.
- Adjusted gross margin represented 34.5% of net sales, also declining 30 basis points compared with the previous year.
- Operating profit totaled $3.3 billion, representing a 4% decrease compared with the prior fiscal year.
- Adjusted operating profit reached $3.4 billion, reflecting a 7% decline in constant currency.
- Operating cash flow for fiscal year 2025 totaled $2.9 billion, compared with $3.3 billion recorded in fiscal year 2024, while free cash flow conversion reached 97% of adjusted after tax earnings.
- Cash and cash equivalents totaled $363.9 million as of May 25, 2025.
- North America retail net sales reached $11.9 billion, representing a 5% decline compared with the previous year, accounting for 61% of total company revenue.
- North America pet segment net sales reached $2.5 billion, reflecting 4% growth supported by the Whitebridge Pet Brands acquisition.
- North America foodservice net sales totaled $2.3 billion, representing 2% growth, while the segment’s operating profit increased 13%.
- International net sales reached $2.8 billion, reflecting 2% growth, including a four point contribution from the Edgard and Cooper acquisition.
- Total dividends paid during fiscal year 2025 reached $1.3 billion, reflecting a 2% decline due to lower average shares outstanding.
- Share repurchases totaled $1.2 billion, representing approximately 19 million shares repurchased during fiscal year 2025.
Beat or Miss?
| Metric | Reported | Analyst Estimate | Difference / Analysis |
|---|---|---|---|
| Full Year Revenue | $19.49B | ~$19.5B | In line with consensus |
| Full Year Diluted EPS | $4.10 | ~$4.26 (implied consensus) | Missed by approximately 3.9% |
| Full Year Adjusted Diluted EPS | $4.21 | N/A | Down 7% in constant currency |
| Gross Margin | 34.6% | N/A | Down 30 bps YoY; input cost inflation a key headwind |
| Operating Profit | $3.3B | N/A | Down 4% YoY; higher SGA expenses weighed |
| Operating Cash Flow | $2.9B | N/A | Down from $3.3B prior year; FCF conversion 97% |
| Q4 Adjusted EPS | $0.74 | $0.71 | Beat by 4.23% |
| Q4 Revenue | $4.56B | ~$4.6B | Slightly below Street forecast of $4.6B |
The full year revenue result was in line with analyst forecasts, but earnings per share fell short of expectations by approximately 3.9% on a reported basis. The Q4 quarter saw an adjusted EPS beat, but even that positive surprise could not fully reverse the pressure from higher input costs, volume declines in North America Retail, and the reset of corporate incentive compensation.
What Leadership Is Saying?
CEO Jeff Harmening on Strategy and Vision: “The investments we made in the second half of fiscal 2025 to bring consumers more value worked as we expected, driving improved volume and pound share trends in the fourth quarter. Our number one goal in fiscal 2026 is to restore volume-driven organic sales growth. To do that, we’ll invest further in consumer value, product news, innovation, and brand building, guided by our remarkable experience framework and highlighted by Blue Buffalo’s national launch into fresh pet food coming later in calendar 2025.”
CFO Kofi Bruce on Financials and Margin Management: “We have really good visibility to HMM delivery at the 5% plus mark this year, and we are delivering every cent of the transformation savings we outlined at the beginning of the year. We continue to expect to deliver improved organic net sales in the second half.”
Historical Performance
Full Year FY2025 vs Full Year FY2024
| Category | FY2025 | FY2024 | Change (%) |
| Net Revenue | $19.49B | $19.86B | -1.90% |
| Net Income (attributable to GIS) | $2.295B | $2.497B | -8.10% |
| Diluted EPS | $4.10 | $4.31 | -4.90% |
| Adjusted Diluted EPS | $4.21 | $4.54 (implied from -7% CC) | -7% (constant currency) |
| Gross Margin | 34.60% | 34.90% | -30 bps |
| Adjusted Gross Margin | 34.50% | 34.80% | -30 bps |
| Operating Profit | $3.305B | $3.432B | -3.70% |
| Operating Cash Flow | $2.9B | $3.3B | -12.10% |
| SGA Expenses | $3.446B | $3.259B | 5.70% |
| North America Retail Net Sales | $11.9B | ~$12.52B | -5% |
| North America Pet Net Sales | $2.5B | ~$2.40B | 4% |
| North America Foodservice Net Sales | $2.3B | ~$2.25B | 2% |
| International Net Sales | $2.8B | ~$2.74B | 2% |
| Dividends per Share | $2.40 | $2.36 | 2% |
Competitor Comparison
FY2025 vs FY2024
| Category | General Mills FY2025 | General Mills FY2024 | Change (%) |
| Revenue | $19.49B | $19.86B | -1.9% |
| Net Income | $2.295B | $2.497B | -8.1% |
| Gross Margin | 34.60% | 34.90% | -30 bps |
| Category | Conagra Brands FY2025 | Conagra Brands FY2024 | Change (%) |
| Revenue | $11.61B | $12.05B | -3.60% |
| Net Income | ~$1.2B | $347M | +231.9% (non-recurring effects) |
| Gross Margin | ~25.9% | ~27.9% | -200 bps |
| Category | Kellanova (TTM FY2025) | Kellanova FY2024 | Change (%) |
| Revenue | $12.67B | $12.74B | -0.60% |
| Net Income (est. TTM) | ~$1.28B | N/A | N/A |
| Gross Margin | 35.21% | ~33.3% (5Y avg) | Improving trend |
General Mills maintained the highest revenue among these direct competitors at $19.49 billion, though all three saw year-over-year revenue declines in fiscal 2025 as the broader packaged foods sector navigated consumer trade-down pressure and private-label competition. General Mills holds notably stronger and more stable gross and net margins compared to Conagra, while Kellanova (now fully absorbed by Mars) showed a more efficient operating margin relative to its revenue scale.
How the Market Reacted?
Despite General Mills reporting a Q4 adjusted EPS beat of $0.74 versus the forecasted $0.71, shares fell 2.75% in pre-market trading and closed at $51.94 following the earnings announcement. The market’s negative reaction reflected investor concerns about the company’s plans for significant strategic reinvestments in fiscal 2026, including a major push into fresh pet food and elevated SGA spending expected to grow faster than the top line.
The broader sentiment around the report was cautiously bearish, with the company’s guidance for fiscal 2026 calling for organic net sales ranging between down 1% and up 1%, and adjusted operating profit and EPS both projected to decline 10 to 15% in constant currency.
By late 2025, shares had slid toward the lower end of their 52-week range of $45.80 to $67.40, and by February 2026, General Mills further cut its fiscal 2026 outlook, revising organic net sales expectations to down 1.5% to 2.0% and adjusted EPS guidance to a decline of 16 to 20 percent, citing weak consumer sentiment and intensified private-label competition.
