The Minneapolis-based food company General Mills, Inc (NYSE: GIS) reported lower-than-expected quarterly sales today, due to dropping demand for snacks in North America. Shares of the company fell 6% before the market close.
General Mills’ stock currently has a market value close to $32.2bn.
In the hope of regaining customers’ attention, the company has been trying to adapt by introducing new flavours and also renewing store displays for its products.
The company’s North America net sales, which represent more than 50% of the company’s revenue, tumbled 2% during its fiscal fourth-quarter through 26th May.
Revenue climbed 7% on a quarterly basis to $4.16bn, boosted by the company’s purchase of pet food producer Blue Buffalo Pet Products. However, the reported revenue still fell short of analysts’ expectations of $4.24bn.
“We’ll look to improve our performance again in fiscal 2020, and we have plans in place to accelerate our organic sales growth while maintaining our strong margins and cash discipline,” CEO Jeff Harmening said.