KRAFT HEINZ REPORTS SECOND QUARTER 2026 RESULTS; UPDATES 2026 FULL YEAR OUTLOOK (Form 8-K)

KRAFT HEINZ REPORTS SECOND QUARTER 2026 RESULTS;

UPDATES 2026 FULL YEAR OUTLOOK

Second Quarter Highlights

•Net sales decreased 1.4%; Organic Net Sales(1) decreased 1.3%

•Gross profit margin decreased 200 basis points to 32.4%; Adjusted Gross Profit Margin(1) was flat at 34.1%

•Operating income was a loss of $6.4 billion, driven by non-cash impairment losses of $7.4 billion; Adjusted Operating Income(1) decreased 18.4% to $1.0 billion

•Year-to-date net cash provided by operating activities was $2.1 billion, up 8.2%; Free Cash Flow(1) was $1.7 billion, up 10.3%; and Free Cash Flow Conversion(1) increased 27pp to 123%

•Year-to-date return of capital to stockholders was $0.9 billion

PITTSBURGH & CHICAGO - Aug. 5, 2026 - The Kraft Heinz Company (Nasdaq: KHC) ("Kraft Heinz" or the "Company") today reported financial results for the second quarter of 2026.

"We delivered another solid quarter, with results that exceeded our expectations across U.S. Retail, Global Away From Home, and Emerging Markets," said Steve Cahillane, CEO of Kraft Heinz. "Our brands are resonating with consumers, and our share performance is improving. The progress we are seeing gives us the confidence to raise our Organic Net Sales outlook for the year."

"Building on this momentum, we are also increasing our incremental investments by $100 million, to approximately $700 million in 2026. We have seen that our brands respond well when we invest behind them. By accelerating these investments, we position the business even more favorably as we enter 2027."

Cahillane concluded, "I am proud of the progress our team has made. We are ahead of plan and remain focused on our ultimate goal to return the company to volume-led, sustainable and profitable growth."

1

Net Sales
In millions
						Net Sales																		Organic Net Sales(1)
						June 27, 2026						June 28, 2025						% Chg vs PY						YoY Growth Rate						Price						Volume/Mix
For the Three Months Ended
North America						$	4,626					$	4,757					(2.7)		%				(2.7)		%				1.1 pp						(3.8) pp
International Developed Markets						865						897						(3.5)		%				(0.7)		%				0.7 pp						(1.4) pp
Emerging Markets(a)						771						698						10.4		%				8.5		%				4.5 pp						4.0 pp
Kraft Heinz						$	6,262					$	6,352					(1.4)		%				(1.3)		%				1.3 pp						(2.6) pp

(a) Emerging Markets represents the aggregation of our West and East Emerging Markets ("WEEM") and Asia Emerging Markets ("AEM") operating segments.

Net Sales
In millions
						Net Sales																		Organic Net Sales(1)
						June 27, 2026						June 28, 2025						% Chg vs PY						YoY Growth Rate						Price						Volume/Mix
For the Six Months Ended
North America						$	9,084					$	9,245					(1.7)		%				(2.0)		%				0.7 pp						(2.7) pp
International Developed Markets						1,708						1,714						(0.3)		%				(0.4)		%				0.4 pp						(0.8) pp
Emerging Markets(a)						1,517						1,392						9.0		%				6.1		%				4.4 pp						1.7 pp
Kraft Heinz						$	12,309					$	12,351					(0.3)		%				(0.9)		%				1.0 pp						(1.9) pp

(a) Emerging Markets represents the aggregation of our West and East Emerging Markets ("WEEM") and Asia Emerging Markets ("AEM") operating segments.

Net Income/(Loss) and Diluted EPS
In millions, except per share data
						For the Three Months Ended																		For the Six Months Ended
						June 27, 2026						June 28, 2025						% Chg vs PY						June 27, 2026						June 28, 2025						% Chg vs PY
Gross profit						$	2,028					$	2,183					(7.1)		%				$	4,247					$	4,247					-		%
Operating income/(loss)						(6,431)						(7,974)						19.4		%				(5,286)						(6,778)						22.0		%
Net income/(loss)						(5,460)						(7,823)						30.2		%				(4,661)						(7,109)						34.4		%
Net income/(loss) attributable to common shareholders						(5,460)						(7,824)						30.2		%				(4,662)						(7,112)						34.4		%
Diluted EPS						$	(4.60)					$	(6.60)					30.3		%				$	(3.93)					$	(5.98)					34.3		%
Adjusted EPS(1)						0.56						0.69						(18.8)		%				1.14						1.31						(13.0)		%
Adjusted Operating Income(1)						$	1,041					$	1,276					(18.4)		%				$	2,099					$	2,475					(15.2)		%

2

Q2 2026 Financial Summary

•Net sales decreased 1.4 percent versus the year-ago period to $6.3 billion, including a 0.5 percentage point favorable impact from foreign currency and a 0.6 percentage point unfavorable impact from divestitures. Organic Net Sales(1) decreased 1.3 percent versus the prior year period. Price increased 1.3 percentage points versus the prior year period, with increases in each segment. Favorable price was primarily due to pricing taken in certain categories to mitigate higher input costs, primarily in coffee and ready-to-drink beverages. Volume/mix declined 2.6 percentage points versus the prior year period, with declines in North America and International Developed Markets segments, partially offset by volume/mix growth in the Emerging Markets segment. The unfavorable volume/mix was primarily driven by declines in meats and spoonables, as well as a shift in Easter timing, which had an approximate 100 basis point impact. This was partially offset by an approximate 80 basis point benefit from inventory pull forward in the quarter.

•Operating Income/(Loss) of $(6.4) billion improved 19.4 percent versus the year-ago period, primarily due to non-cash impairment losses that were $1.9 billion lower in the current year period. Adjusted Operating Income(1) decreased 18.4 percent versus the year-ago period to $1.0 billion, primarily due to increased advertising expenses, unfavorable volume/mix, inflationary pressures in manufacturing and logistics costs, and higher variable compensation expense. These unfavorable impacts more than offset efficiency initiatives and higher price.

•Diluted EPS increased 30.3 percent versus the prior year period to $(4.60). This increase was primarily due to the favorable changes in operating income discussed above. Adjusted EPS(1) was $0.56, down 18.8 percent versus the prior year period, primarily driven by lower Adjusted Operating Income, which more than offset lower taxes on adjusted earnings.

•Net cash provided by/(used for) operating activities was $2.1 billion, up 8.2 percent versus the year-ago period. This increase was primarily driven by favorable changes in working capital, primarily within accounts payable, due, in part, to improved payments terms, partially offset by increases in inventory. These impacts were partially offset by lower Adjusted Operating Income. Free Cash Flow(1) was $1.7 billion, up 10.3 percent versus the prior year period, driven by the same net cash provided by/(used for) operating activities discussed above.

•Capital Return: Year to date, the Company has paid $949 million in cash dividends. The Company's strong cash flow profile supports disciplined capital allocation across all priorities including investing in the business, sustaining the dividend, and reducing debt. This financial flexibility is viewed by the Company as a competitive advantage. The Company did not repurchase any shares under its publicly announced share repurchase program.

3

Outlook

For fiscal year 2026, the Company is updating its outlook. The Company now expects:

•Organic Net Sales(1)(2) down 0.5 percent to down 2.0 percent versus the prior year. This outlook includes an approximate 100 basis point impact from incremental SNAP headwinds.

•Constant Currency Adjusted Operating Income(1)(2) down 16 percent to down 18 percent versus the prior year. This outlook contemplates an Adjusted Gross Profit Margin(1)(2) that is expected to be down 10 basis points to down 50 basis points versus the prior year, incremental investments of approximately $700 million compared to 2025, and an approximate 500 basis-point headwind from lapping lower incentive compensation.

•Adjusted EPS(1)(2) is expected to be in the range of $2.03 to $2.09. Additionally, the Company now expects an effective tax rate on Adjusted EPS to be approximately 24.5 percent, interest expense to be approximately $890 million, and other expense/(income) to be approximately $200 million of income for the full year.

•Free Cash Flow Conversion(1)(2) of approximately 110 percent.

Current and Prior Outlook:

Current Outlook

Prior Outlook

Organic Net Sales

(2)% to (0.5)%

(3.5)% to (1.5)%

Constant Currency Adjusted Operating Income

(18)% to (16)%

(18)% to (14)%

Adjusted Gross Profit Margin

(50)bps to (10)bps

(75)bps to (25)bps

Adjusted EPS

$2.03 to $2.09

$1.98 to $2.10

Effective Tax Rate on Adjusted EPS

~24.5%

~25%

Interest Expense

~$890M

~$920M

Other Expense/(Income)

~$(200)M

~$(200)M

Free Cash Flow Conversion

~110%

~100%

End Notes

(1)Organic Net Sales, Adjusted Gross Profit, Adjusted Gross Profit Margin, Adjusted Operating Income, Constant Currency Adjusted Operating Income, Adjusted EBITDA, Adjusted EPS, Free Cash Flow, Free Cash Flow Conversion, and Net Leverage are non-GAAP financial measures. Please see discussion of non-GAAP financial measures and the reconciliations at the end of this press release for more information.

4

(2)Guidance for Organic Net Sales, Adjusted Gross Profit Margin, Constant Currency Adjusted Operating Income, Adjusted EPS, Free Cash Flow, and Free Cash Flow Conversion is provided on a non-GAAP basis only because certain information necessary to calculate the most comparable GAAP measure is unavailable due to the uncertainty and inherent difficulty of predicting the occurrence and the future financial statement impact of such items impacting comparability, including, but not limited to, the impact of currency, acquisitions and divestitures, divestiture-related license income, restructuring activities, deal costs, separation costs, unrealized losses/(gains) on commodity hedges, impairment losses, certain non-ordinary course legal and regulatory matters, equity award compensation expense, nonmonetary currency devaluation, and debt prepayment and extinguishment (benefit)/costs, among other items. Therefore, as a result of the uncertainty and variability of the nature and amount of future adjustments, which could be significant, the Company is unable to provide a reconciliation of these measures without unreasonable effort.

Earnings Discussion and Webcast Information

A pre-recorded management discussion of The Kraft Heinz Company's second quarter 2026 earnings is available at ir.kraftheinzcompany.com. The Company will host a live question-and-answer session beginning today at 9:00 a.m. Eastern Daylight Time. A webcast of the session will be accessible at ir.kraftheinzcompany.com.

ABOUT THE KRAFT HEINZ COMPANY

Kraft Heinz (Nasdaq: KHC) is one of the world's largest food and beverage companies, with approximately $25 billion in net sales in 2025 and a portfolio of iconic brands enjoyed by consumers in more than 40 countries. By investing in our capabilities and brands, including Heinz, Kraft, Philadelphia, Primal Kitchen, and Lunchables, we are unlocking the full power of our portfolio. We deliver high-quality, great-tasting, and affordable food for the consumers of today, while shaping the future of food. Learn more at www.kraftheinzcompany.com.

5