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Food & drink

Kraft Heinz sees first quarter profit fall, hurt by a strong dollar and weak demand in the US and Canada

North America's third-largest food and beverage company reported net income of US$893mln for the three months to April 1, down from US$896mln a year earlier

Kraft Heinz Co (NASDAQ:KHC), which earlier this year made an aborted £115bn bid for Unilever plc (LON:ULVR) has reported a fall in first quarter profit hurt by a strong dollar and weak demand in the United States and Canada.

The group, North America's third-largest food and beverage company, reported net income of US$893mln for the three months to April 1, down from US$896mln a year earlier.

Its headline earnings per share of 83 US cent, missed analysts’ forecasts for 86 US cents..

The company, which owns brands such as Heinz ketchup and baked beans, saw its net sales fall to US$6.36bn in the first quarter, down from US$6.57bn a year earlier, and also below forecasts for US$6.46bn.

Bernardo Hees, Kraft Heinz chief executive, in a statement: "Although our top line results in the first quarter reflect a slow start to the year, we remain on track with our key initiatives."

In early New York trading, Kraft shares were 0.8% lower at US$88.44.

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