General Mills (GIS) Q2 2027 Earnings
How Did GIS Stock React to Q2 2027 Earnings?
Did GIS Beat Earnings? Q2 2027 Results
Yes. General Mills reported Q2 2027 earnings of $0.75 a share on Sep 23, 2026, beating the $0.72 consensus estimate by 4.5%. Revenue was $4.4B against a $4.3B estimate.
General Mills delivered a modest but clear beat to open fiscal 2027, reporting adjusted diluted EPS of $0.75 against a consensus of $0.72, a 4.49% beat, while net sales of $4.39 billion edged past the $4.35 billion estimate despite falling 2.8% year-over-year. The headline revenue decline was largely a function of structure rather than demand, as the company's divestiture of its U.S. yogurt business in fiscal 2026 weighed on reported results while organic net sales came in essentially flat, which management characterized as an encouraging start. The GAAP picture was more jarring, with diluted EPS of $0.74 falling 67% as the year-ago quarter had included a $1.05 billion pre-tax gain from that same yogurt sale. Adjusted gross margin contracted 90 basis points to 33.3%, as higher input costs offset favorable pricing and mix, a dynamic that had drawn pre-quarter concern from some analysts. Looking ahead, General Mills reaffirmed its full-year fiscal 2027 guidance, including adjusted diluted EPS of $3.00 to $3.20 and organic net sales ranging from down 1.5% to up 0.5%.
- U.S. yogurt divestiture created a 4-point headwind to North America Retail sales
- Higher input costs pressured margins across segments
- Favorable net price realization and mix partially offset input cost inflation
- Holistic Margin Management program and global Transformation initiative delivering cost savings
- North America Retail drove 2-point sequential improvement in retail sales growth with strengthening dollar share
- International segment growth driven by distributor markets, India, and China
- Cat food up double digits in North America Pet; dog food down high-single digits
“We are off to an encouraging start in fiscal 2027, driving improved topline performance with stronger product innovation and renovation focused on the benefits consumers are looking for today.”
General Mills CEO, on the earnings call
What Is General Mills's Outlook?
General Mills reaffirmed its full-year fiscal 2027 outlook: organic net sales expected between down 1.5% and up 0.5%; adjusted operating profit expected down 13% to down 8% in constant currency; adjusted diluted EPS expected between $3.00 and $3.20; free cash flow conversion expected at approximately 95% of adjusted after-tax earnings. The net impact of divestitures, foreign currency exchange, and the 53rd week is now expected to reduce full-year reported net sales growth by approximately 4%. The company expects at least $750 million in savings from its Holistic Margin Management program, global Transformation initiative, and other cost savings actions. Headwinds of approximately 9 points on operating profit and 11 points on EPS are expected from lapping the 53rd week, normalizing corporate incentive expense, and impact of fiscal 2026 divestitures. Restructuring and transformation charges and transaction costs are expected to total approximately $80 million to $85 million.
GIS YoY Financials
| Metric | Q2 2027 | Q2 2026 | Year over year |
|---|---|---|---|
| Revenue | $4.4B | $4.5B | −2.8% |
| Gross Profit | $1.5B | $1.5B | −3.0% |
| Operating Income | $633.6M | $1.7B | −63.3% |
| Net Income | $397.0M | $1.2B | −67.0% |
GIS Revenue by Segment
When Does General Mills Report Next?
Figures from SEC filings and company reports. Not investment advice.