Kellanova: Pringles, Cheez-It, and the Global Snack Wars—What’s at Stake?

Kellanova wrapped up its first and only year as an independent entity with a strong fourth-quarter performance, reporting 7% organic sales growth and a 200-basis-point improvement in adjusted operating margins to 14.3%. The company’s success was largely driven by its strategic expansion into the high-growth snacking category, which now accounts for 60% of sales, and its increased presence in emerging markets, contributing 30% of revenue. While sales in North America, which make up about half of the company’s revenue base, fell 1.5% due to lower prices and an unfavorable product mix, Kellanova offset this with impressive gains abroad, including 5.5% organic growth in Latin America and more than 36% growth in Asia, the Middle East, and Africa.