Hershey reports 6.6% rise in Q2 sales as Reese’s and Dot’s Pretzels drive growth
Hershey’s profits soar in Q2 on higher prices and strong Reese’s demand, prompting raised fiscal 2026 earnings guidance despite cautious consumer spending.
SWITZERLAND – The Hershey Company reported a 6.6% increase in net sales to US$2.79 billion for the second quarter ended June 28, as strong demand for brands including Reese’s and Dot’s Pretzels helped offset continued pressure on consumer spending.
The confectionery manufacturer posted net profits of US$457.7 million, or US$2.26 per share, compared with US$62.7 million, or 31 cents per share, during the corresponding period last year.
Hershey said its results were supported by a 12% increase in pricing, which compensated for an 8% decline in sales volumes as consumers remained cautious about spending.
The company has increased prices over the past year to counter elevated cocoa costs, with investors closely monitoring consumer demand for its confectionery products.
Sales within Hershey’s largest segment, North America Confectionery, rose 4.2% year-on-year during the quarter. Meanwhile, revenue in the North America Salty Snacks division climbed 22.9%, reflecting continued growth in the company’s snack portfolio.
Hershey said demand within its confectionery business is expected to improve gradually as commodity inflation moderates and consumers adapt to higher prices.
The company also highlighted the strong performance of brands such as Hershey’s, Reese’s, Jolly Rancher and Cadbury, alongside a range of new product launches planned for the second half of the year.
Chief executive officer Kirk Tanner expressed confidence in the company’s outlook, citing product innovation and seasonal promotions as important growth drivers.
“Hershey is positioned to deliver growth in the second half,” Tanner said, referring to initiatives linked to Hershey’s n’ Creme, Reese’s Pieces with Chocolate Cookie and the company’s Hershey movie campaign.
Tanner also pointed to preparations for the Halloween season, saying early product shipments and stronger support from retail partners had strengthened the company’s market position.
“U.S. consumer sentiment remains soft, and shoppers continue to be value-oriented and selective in their spending,” he said.
The executive added that Jolly Rancher, Cadbury and other premium brands continued to gain momentum, while Hershey’s s’mores products performed strongly during the summer season.
Following the results, Hershey increased its fiscal 2026 guidance for both reported and adjusted earnings per share while maintaining its full-year revenue forecast of between US$12.159 billion and US$12.277 billion.
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