We’ve reached the point in Biden’s America, almost 19 months into the most disastrous presidency in U.S. history, where a majority of Americans blame virtually everything bad that happens in the country or in their personal lives on— you guessed it — Joseph Robinette Biden Jr., the “star” of the horror show.
Now, it appears we’ll see a shortage of Halloween candy this year.
As reported by Reuters, the Hersey Company — the 5th largest candy company in the world — on Thursday announced it will not be able to meet demand for the all-important “trick or treat” season this year, and will likely fall short during the Christmas season, as well. According to the company, there was a shortage of raw materials and difficulty in finding suppliers.
Executive Officer Michele Buck summed it up: “We will not be able to fully meet consumer demand due to capacity constraints.”
The 128-year-old company, a cornerstone of America’s candy history, produces some of the most beloved Halloween candy out there, including Hershey’s Chocolate Bars, Reese’s Peanut Butter Cups, Kit Kats, Mounds, Good & Plenty, Bubble Yum, Twizzlers, Jolly Ranchers, Whatchamacallits, Milk Duds, 5th Avenue, and Hershey’s Kisses.
So, what’s a popular confectionery manufacturer to do when faced with capacity constraints, yet still concerned with its shareholders and bottom line? What every other company in Biden’s America is being forced to do: raise prices. Hershey is expecting more consumers to protest higher prices during the second half, however the company will continue to rely on price rises to drive growth.
Arun Sundaram, CFRA Research Analyst, stated that Hershey was well-positioned to handle supply chain problems.
Historically, Hershey’s sales growth has been driven by higher prices and not necessarily volume […]This period is a time when the company has a strong foundation of expertise.
The company’s numbers speak for themselves, per Reuters:
Shares of the Reese’s Peanut Butter Cup maker rose 2.5% in morning trading after the company lifted its profit and sales forecasts, benefiting from price hikes amid resilient demand for its chocolates and candies.
Hershey’s net sales rose over 19% to $2.37 billion in the quarter ended July 3, beating analysts’ estimates of $2.22 billion, according to IBES data from Refinitiv.
Hershey saw its net sales rise more than 19% in the second quarter – raking in $2.37 billion compared to estimates of $2.22 billion.
[The company]The 2022 adjusted profit per shares growth forecast was increased to 12%-14% from 10%-12%. Hershey said that it expects net sales growth of between 12% to 14% compared with the 10%-10% range. [the]Indicated earlier: 10% to 12%
Incidentally, the Hershey Company isn’t the only major confectionery manufacturer to be faced with Bidenomics and Bidenflation.
As reported by CNN Business, Nestlé — the world’s largest food company — said it raised prices by 6.5 percent in the first half of 2022 because of an “unprecedented” rise in costs. The company raised its prices the most in North America — a 9.8 percent increase — followed by Latin America at 9.4 percent, Nestlé said in a statement Thursday. Rising costs for commodities, packaging, freight, and energy weighed on the company’s operating profit margin, Nestlé (NSRGF) said. Joe Biden couldn’t be reached for comment.
Nestlė CEO Mark Schneider echoed CFRA’s analysis of Hersey’s positioning:
Our margin development was limited by unprecedented inflationary pressures, supply chain constraints and cost control. We also made use of operational efficiencies and disciplined costs to reduce the effect.
You are Please enter your email addressSmarter than an inept president
Bottom line:
Can the major corporate challenges be attributed to the ineptest president of America’s history? The key word is solelyThe answer to that question is “no”.
Here’s a better question: Have the policies of the Biden White House from day one It was helpful the American economy, including Hershey and Nestlė, or have they continually ExacerbatedAt every stage of this journey, what are the major issues that both consumers and producers face?
The question is rhetorical; the answer is “B.”
About Post Author
