General Mills Inc 10 Key Takeaways from Call With Management

Research evidence excerpt

General Mills Inc 10 Key Takeaways from Call With Management

ss as drivers towards improvement. Q1E 0.72 0.72

GLP-1 Commentary: Rather than relying on surveys, the company uses Q2E 1.00 0.99

household behavioral data to assess how consumption patterns change among Q3E 0.57 0.66

Q4E 0.74 0.71

GLP-1 users. As such, GIS estimates GLP-1 adoption has reduced category growth

05/27E 3.03 3.08

by less than a point over the past several years and expects a similar level of

05/28E 3.23 3.21

pressure going forward. At the same time, management acknowledged that the 05/29E 3.43 3.39

long-term effects remain uncertain, including persistence rates and the frequency

of which consumers cycle on and off GLP-1s. What is becoming clearer, however, Peter Grom

is that consumer preferences are shifting toward higher protein and fiber intake, Analyst

smaller portion sizes, and less sugar-concentrated products. peter.grom@ubs.com

+1-212-713 3482

Price Investment Strategy: Management acknowledged that price investments Antara Nag-Chaudhuri

proved to be more expensive than initially anticipated. That said, the strategy Associate Analyst

appears to be bearing fruit, with everyday business trends improving from -10% to antara.nag-chaudhuri@ubs.com

-1% as the company lowered prices below price thresholds. Importantly, +1-212-713 4827

management emphasized that recent areas of weakness have largely been driven Arian Chakravarty

by brand-specific issues rather than a function of pricing strategy, citing challenges Associate Analyst

in Totino's, flour, and Wilderness. arian.chakravarty@ubs.com

+1-212-713 1474

Innovation: GIS highlighted meaningful changes to its innovation process,

including leveraging AI and digital tools to improve their innovation strategy,