Hershey beat earnings estimates in Q4 2025, raised 2026 guidance despite high cocoa costs.

Hershey reported stronger-than-expected fourth-quarter 2025 results, with net sales up 7% to $3.09 billion and adjusted earnings per share of $1.71, surpassing estimates. The company raised its 2026 guidance, projecting net sales growth of 4% to 5% and adjusted EPS of $8.20 to $8.52, both above analyst expectations. Growth was driven by resilient demand in North America, particularly in salty snacks, despite a 17-percentage-point drop in gross margin due to high cocoa costs. Pricing increases and strategic investments helped offset inflation, while volumes declined slightly. Shares rose in premarket trading.