General Mills, Inc. Q1 2027 Earnings Recap

General Mills shares fell 1.7% after earnings, a roughly flat market reaction. The quarter showed improving share trends, but retail consumption was still down 2%, and management said it has more work to do to return to growth.

Key Takeaways

• Retail dollar sales improved by 2 points sequentially, but remained below growth; management expects dollar performance to improve through the year.
• Share declines narrowed in cereal, from 0.9 points a year ago to 0.1 point, and in soup, from 0.4 points to 0.1 point.
• Totino’s declines were cut in half, but management identified Totino’s and fruit snacks as areas still needing improvement. Fruit snacks grew about 13% in Q1, with smaller insurgent brands gaining distribution.
• Inflation was around 4% in Q1, at the low end of the company’s range; management expects roughly similar levels in Q2 and Q3, rising to around 6% in Q4.
• General Mills maintained its expectation for a low-single-digit full-year pet inventory headwind, citing customer mix; the Whitebridge catch-up added about 1 point to pet growth and 15 basis points to company growth.