Hershey Co Q2 2025 Earnings Call Highlights: Strong Momentum Amid Cocoa Challenges

The Hershey Co (HSY) Q2 2025 earnings call highlights strong top-line momentum and profit recovery plans. The company has invested in technology, innovation, and salty snacks, driving growth. However, record-high cocoa prices and tariffs remain concerns, with potential tariff relief on cocoa expected to positively impact future financial performance.

The Hershey Company (NYSE: HSY) reported strong top-line momentum and outlined profit recovery plans during its Q2 2025 earnings call. The company's earnings per share (EPS) of $1.21 exceeded expectations of $0.993, indicating robust financial performance despite ongoing challenges such as record-high cocoa prices and tariffs [1].

Michele Gross Buck, Hershey's Chairman and CEO, emphasized the company's long-term investment strategy, stating that the business does not require a reset. She highlighted the company's consistent reinvestment in brands and technology, including the new ERP platform and AI capabilities, which have driven significant efficiency gains [1].

The company's Senior Vice President and CFO, Steve Voskuil, discussed the pricing strategy, noting that the recent price increase aims to address the cocoa cost inflation. Voskuil stated that while the price increase is a significant step in the right direction, it does not fully compensate for the cocoa inflation experienced in 2025. He also expressed optimism about the potential for tariff relief and a more favorable cocoa market, which could positively impact future financial performance [1].

Hershey's profit recovery plans include initiatives such as smart complexity and transformation savings. The company aims to extract more cost savings and margin points to fully recover its margin expectations. Voskuil noted that the company's innovation calendar for 2026 is fully funded, including major events like the Olympics and the Hershey movie [1].

In conclusion, Hershey Co's Q2 2025 earnings call demonstrated strong top-line momentum and outlined a strategic plan for profit recovery. While challenges such as cocoa prices and tariffs remain, the company's long-term investment strategy and pricing initiatives position it for continued growth and profitability.

References:
[1] https://www.insidermonkey.com/blog/the-hershey-company-nysehsy-q2-2025-earnings-call-transcript-1580445/