(Reuters) – Cheerios cereal maker General Mills Inc raised its full-year sales and profit forecast on Wednesday, banking on higher prices and resilient demand for its breakfast cereals, snack bars and pet food.
Packaged food makers have been steadily raising prices on everything from cereals to beef jerky as they look to insulate their margins from increased costs tied to labor, ingredients and transportation without drawing consumer ire.
The company now expects organic net sales to rise between 6% and 7% in fiscal 2023. It had earlier forecast sales to grow 4% to 5%.
The Betty Crocker cake mix maker also expects fiscal 2023 adjusted profit to rise 2% to 5% on a constant currency basis, compared with prior forecast range of flat to 3%.
(Reporting by Mehr Bedi and Granth Vanaik in Bengaluru; Editing by Krishna Chandra Eluri)
