The Price Of Chocolate Is Up! Hershey Forecasts Lower-Than-Expected 2025 Profit

With Valentine’s Day right around the corner and chocolate always one of the most popular gifts. You may not like the price for that sweet treat. Hershey, opens new tab forecast annual profit below Wall Street estimates a record cocoa prices weigh on the Kit Kat maker’s margins. Packaged food companies including Hershey have had to raise prices to combat high raw material costs, especially for cocoa, whose prices nearly tripled in 2024. Lower supply for a fourth consecutive season in West Africa following dry weather is also said to impact prices. Hershey’s results also echoed that of larger rival Mondelez, opens new tab, which forecast a bigger-than-estimated drop in its annual profit, anticipating more pressure from surging cocoa prices.

Source: Reuters