- Hershey Co., in addition to lowering its sales and profit outlook for this year on "a stronger dollar" as well as "higher spending on advertising and promotions," will purchase Krave Pure Foods Inc. following a chocolate sales decline as meat and bakery snacks have grown in popularity, reports Reuters. The cost of Krave is unknown, though Reuters noted deal discussions were happening earlier this week.
- Like competitors Mondelez and Mars, Hershey increased prices in 2014 with the rising prices of cocoa and dairy.
- Net sales are now predicted to tick up 5.5-7.5% in 2015 compared to an earlier estimate of 7-9%, says Hershey. In its fourth quarter, Hershey's net income was $202.5 million, up from $186.1 million the prior year.
Reuters also mentioned what Food Dive reported on earlier this week, Hershey's trademark kerfuffle, noting its controversy. Regarding the Krave purchase, this comes following news of Clif Bar's latest move into the savory-flavored sector. Perhaps with a potential chocolate shortage looming, Krave may turn out to be a good investment.