On the heels of its four-quarter and 2021 full fiscal year report this week, General Mills Inc. said that it expects consumer demand to slide in its new fiscal year and warned about expense inflation.
The consumer-packaged goods giant said it is preparing for an inflationary period with cost-saving measures and unavoidable price increases. Inflation cost is likely to add up to 7% of the company's cost of goods.
In an interview Wednesday, General Mills chief executive Jeff Harmening said, “consumers will see costs going up all around them, not just at the grocery store, but with automobiles, at restaurants.”
In fiscal 2022, General Mills said it expects at-home food demand to decline year over year, but will still remain above pre-pandemic levels. Away-from-home food demand is projected to continue to recover in fiscal 2022, but is not expected to reach pre-pandemic levels.
See article at The Wall Street Journal.