Overview
As Kraft Heinz looks to the future, the company is focused on consistent growth by investing in key areas, with a focus on technology to drive efficiencies. In a recent presentation, Kraft Heinz outlined its plan to sustain growth over the next several years through strategic initiatives.
Three Pillars of Growth
The company’s growth strategy is built on three main pillars: North American retail, global away-from-home, and emerging markets. These pillars will be supported by investments in marketing, research and development, as well as technology.
Long-Term Approach
Kraft Heinz is taking a longer-term view, planning for the next decade to drive sustainable growth. The company will fund its growth strategy by optimizing supply chain operations, improving revenue management, managing working capital effectively, and expanding centralized services.
Projected Growth
Kraft Heinz’s long-term growth algorithm anticipates organic sales growth of 2% to 3%, adjusted earnings per share growth between 6% and 8%, and a free cash flow conversion rate of around 100%.
2024 Targets Unchanged
The company’s targets for 2024 remain steady, with expected organic sales ranging from flat to 2% growth. Additionally, adjusted earnings per share are projected to grow by 1% to 3% compared to the previous year. The outlook does not include the possibility of additional share buybacks in 2024.