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Hershey's Cocoa Challenge: Will Demand Shaping Offset Costs?
好时好时(US:HSY) ZACKS·2025-06-20 23:45

Key Takeaways HSY may face up to 100MinunmitigatedcostseachinQ3andQ4fromcocoaandCanadiantariffs.HSYispivotingtolowercocoaitemsandusingpricepackarchitecturetopreserveconsumerdemand.InnovationpipelinesandreducedrelianceoncocoainputsarekeytoHSYscostmitigationefforts.TheHersheyCompany(HSY)isfacingmountingpressurefromsoaringcocoapricesandtariffrelatedimpacts,withupto100M in unmitigated costs each in Q3 and Q4 from cocoa and Canadian tariffs. HSY is pivoting to lower cocoa items and using price pack architecture to preserve consumer demand. Innovation pipelines and reduced reliance on cocoa inputs are key to HSY's cost-mitigation efforts.The Hershey Company (HSY) is facing mounting pressure from soaring cocoa prices and tariff-related impacts, with up to 100 million in potential unmitigated costs per quarter in the second half of 202 ...