Kraft Heinz Co

We purchase and use large quantities of commodities, including dairy products, meats, coffee beans, sugar and other sweeteners, tomatoes, edible oils, eggs, wheat products, and fruits and vegetables to manufacture our products. In addition, we purchase and use significant quantities of plastics, resins, cardboard, glass and paper to package our products, and we use electricity, diesel fuel, and natural gas in the manufacturing and distribution of our products. We continuously monitor global supply and cost trends of these commodities.

During the six months ended June 28, 2025, we experienced stabilized commodity costs for tomato products, fruits and vegetables, wheat products, and sugar and other sweeteners, while coffee, meat, eggs, and cheese and dairy costs increased and commodity costs for edible oils decreased. We manage commodity cost volatility primarily through pricing and risk management strategies including utilizing a range of commodity hedging techniques in an effort to limit the impact of price fluctuations on many of our principal raw materials. However, we do not fully hedge against changes in commodity prices, and our hedging strategies may not protect us from increases in specific raw material costs. As a result of these risk management strategies, our commodity costs may not immediately correlate with market price trends.

See our Annual Report on Form 10-K for the year ended December 28, 2024 for additional information on how we manage commodity costs.