General Mills, Inc. (NYSE:GIS) stock is trading higher during Tuesday’s premarket after the consumer food company announced a new operating model and senior leadership appointments.
The restructuring, effective January 1, 2027, will reorganize the company into three business segments and establish a new centralized commercial function combining marketing, sales, consumer insights and analytics.
The restructuring coincides with current chief operating officer Dana McNabb taking over as chief executive officer from Jeff Harmening, who will transition to executive chair of the board, both effective January 1.
The company’s portfolio of brands includes Cheerios, Nature Valley, Blue Buffalo, Häagen-Dazs, Old El Paso, Pillsbury, Betty Crocker, Totino’s, Annie’s, and Wanchai Ferry.
Three Business Segments And Senior Leadership Appointment
Under the new model, General Mills will reorganize its businesses as:
- Cereal, Snacks & International: Combines Big G Cereal & Canada, U.S. Snacks and the International segment. Ricardo Fernandez will become the Segment President, expanding his current international leadership responsibilities.
- Meals & Baking Solutions: Brings together U.S. Meals & Baking Solutions and North America Foodservice and will be led by Brett White.
- Pet: Remains unchanged from the existing North America Pet segment and will continue to be led by Liz Mascolo.
The company also promoted Josh Yates to Chief Commercial Officer to lead U.S. retail sales and enterprise commercial capabilities, including strategic revenue management, e-commerce, sales and marketing.
The company expects the restructuring to support faster decision-making, better resource allocation and accelerated growth.
General Mills will report its second-quarter fiscal 2027 results in December 2026 using its existing segment structure.
Analysts expect earnings of 99 cents per share, down from $1.10 a year earlier. Revenue is projected to fall to $4.77 billion from $4.86 billion.
The company expects to adopt the new reporting structure beginning with its third-quarter fiscal 2027 results in March 2027.
General Mills Reportedly Weighs Häagen-Dazs International Business Sale
General Mills reportedly considered separating its Häagen-Dazs ice cream business outside North America according to a report on November 5.
The review remains at an early stage, and General Mills could ultimately decide to retain the business, said The Wall Street Journal, citing people familiar with the matter.
Froneri, which operates Häagen-Dazs in the U.S., could be a logical potential buyer, as per the report.
In June, General Mills agreed to sell its Häagen-Dazs ice cream shops in mainland China to a consortium led by Ningji, a China-based tea brands operator.
Analyst Outlook
The stock carries a Hold rating with an average price forecast of $36.54.
Recent analyst moves include:
- Barclays: Equal-Weight (Raises Target to $37.00) (September 25)
- RBC Capital: Outperform (Maintains Target at $45.00) (September 24)
- TD Cowen: Hold (Raises Target to $33.00) (September 24)
GIS Price Action: General Mills shares were up 0.80% at $35.15 during premarket trading on Tuesday, according to Benzinga Pro data.
Image by PJ McDonnell via Shutterstock
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