Hershey Co (NYSE:HSY) Reports Mixed Q2 2025 Results Amid Revised Guidance and Market Concerns

The Hershey Company (NYSE:HSY) reported its second-quarter 2025 financial results, delivering a mixed performance relative to analyst expectations. While the company surpassed revenue and earnings estimates, its updated guidance and broader market conditions appear to be weighing on investor sentiment, as reflected in pre-market trading.

Key Financial Highlights

• Revenue: Hershey reported Q2 revenue of $2.61 billion, exceeding analyst estimates of $2.55 billion.
• Earnings Per Share (EPS): The company posted $1.21 in EPS, well above the consensus estimate of $1.00.
• Pre-Market Reaction: Despite the beat, shares were down 1.2% in pre-market trading, likely due to concerns over revised full-year guidance.

Market Reaction & Context

While Hershey outperformed expectations for the quarter, the stock's negative pre-market movement suggests investor apprehension about future profitability. The company has revised its outlook, citing higher-than-expected tariff costs, which it now estimates will impact earnings by at least $170 million for the full year. This adjustment may be overshadowing the strong Q2 results.

Additionally, broader market conditions are playing a role. With major tech earnings on deck and mixed economic signals ahead of the Federal Reserve's meeting, defensive stocks like Hershey may be seeing subdued interest in the short term.

Press Release Summary

• Hershey announced quarterly dividends of $1.370 per share on common stock, maintaining its commitment to shareholder returns.
• The company updated its 2025 earnings outlook, reflecting increased cost pressures from tariffs.
• Performance was driven by strength in its North America Confectionery and Salty Snacks segments, with brands like Hershey's, Reese's, and SkinnyPop contributing to sales growth.

Looking Ahead

Analysts currently estimate:

• Q3 2025 Revenue: $3.16 billion
• Full-Year 2025 Revenue: $11.56 billion
• Full-Year 2025 EPS: $5.99

Hershey's ability to navigate rising input costs and maintain pricing power will be critical in meeting these expectations.

For more detailed earnings estimates and historical performance, see Hershey's earnings and estimates page.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors should conduct their own research or consult a financial advisor before making any decisions.