Mission Statement, Vision, & Core Values of The Kraft Heinz Company (KHC)

You know that a company's mission, vision, and core values (MVCs) aren't just HR poster fodder; they are the strategic compass that steers a multi-billion-dollar enterprise, especially one like The Kraft Heinz Company (KHC), which is currently navigating a challenging consumer environment.

In a year where KHC's trailing twelve-month (TTM) revenue sits at approximately $25.16 Billion and the company has updated its 2025 organic net sales outlook to a decline of 3.0% to 3.5%, the foundational principles of 'Let's Make Life Delicious' and the vision 'To sustainably grow by delighting more consumers globally' are more critical than ever.

How does a commitment to values like 'We own it' and 'We dare to do better every day' translate into the operational rigor needed to reverse a 16.9% drop in adjusted operating income, as seen in the third quarter of 2025? Are these principles strong enough to guide the major strategic decision to spin off into two separate companies? Let's dig into the exact framework that is supposed to drive KHC's next phase of growth.

The Kraft Heinz Company (KHC) Overview

You're looking at The Kraft Heinz Company (KHC), one of the world's largest food and beverage manufacturers, and you need to know the fundamentals before diving into the financials. The quick takeaway is this: Kraft Heinz is a giant born from the 2015 merger of Kraft Foods Group and H.J. Heinz Holding Corporation, a deal spearheaded by Berkshire Hathaway and 3G Capital.

The company's roots run deep, with H.J. Heinz Company starting in 1876 with its famous ketchup, and James L. Kraft beginning his cheese-selling business in 1909. Today, this powerhouse manages a portfolio of over 200 brands, with eight of them generating over $1 billion in individual sales. Its products are kitchen staples across the US and the globe, from the classic condiments to ready-to-eat meals.

Here's a snapshot of their core product segments:

• Condiments and Sauces: Heinz Ketchup, Grey Poupon mustard.
• Cheese and Dairy: Kraft Singles, Philadelphia Cream Cheese.
• Meals and Snacks: Kraft Macaroni & Cheese, Oscar Mayer, Lunchables.

As of September 30, 2025, the company's trailing twelve months (TTM) revenue stood at approximately $25.16 billion. That's a massive scale, but it doesn't tell the whole story, which is why we look closer at the trends.

Near-Term Financial Performance: Q3 2025 Results

As a realist, I have to tell you that the latest results show the operating environment is still challenging. In the third quarter of 2025, reported on October 29, 2025, the company's net sales decreased by 2.3% to $6.2 billion compared to the same period last year. Organic Net Sales (which strips out currency fluctuations and acquisitions/divestitures) also saw a decline of 2.5%.

The pressure from inflation and unfavorable volume/mix hit the bottom line hard. The Adjusted Operating Income, a key measure of core business profitability, fell by a significant 16.9% to $1.1 billion in Q3 2025. That's a defintely a number that makes you pause.

But here's the crucial counterpoint: the company is generating strong cash flow. Year-to-date Free Cash Flow (FCF) was $2.5 billion, representing a strong increase of 23.3% compared to the prior year. This strong cash generation is what gives management the flexibility to return capital to stockholders-they paid $1.4 billion in cash dividends and repurchased $435 million of common stock year-to-date in 2025.

The Kraft Heinz Company's Industry Leadership and Forward Strategy

Despite the recent top-line softness, The Kraft Heinz Company remains a foundational leader in the global food and beverage industry, often cited as the third-largest in North America. Their strength isn't just in volume; it's in the pricing power and consumer loyalty of iconic brands like Heinz and Kraft. When people are tightening their belts, they often stick with the trusted names.

The biggest near-term action, however, is the strategic move to separate the company into two publicly traded entities, a plan announced in September 2025 and expected to be completed in the second half of 2026. This separation aims to let each new company-tentatively named Global Taste Elevation Co. and North American Grocery Co.-better focus its resources and improve execution. This is a major strategic pivot, and it reflects a realistic assessment of how to maximize shareholder value in a complex market.

To understand the full picture of how the company is navigating these market pressures and what the separation means for future returns, you should dive deeper into the metrics. Find out more below to understand why The Kraft Heinz Company is successful and how it plans to drive long-term profitable growth: Breaking Down The Kraft Heinz Company (KHC) Financial Health: Key Insights for Investors

The Kraft Heinz Company (KHC) Mission Statement

You're looking for the bedrock of The Kraft Heinz Company's (KHC) strategy-that core document that guides every capital allocation decision and product launch. It's not just a feel-good statement; it's the long-term roadmap that dictates how they generate returns.

The company's overarching purpose, which acts as its mission statement, is simple and powerful: Let's Make Life Delicious. This is the guiding star for a company that, despite a challenging market, is still projecting a 2025 Adjusted Earnings Per Share (EPS) in the range of $2.51 to $2.67, demonstrating a clear focus on profitability alongside purpose. The purpose is then operationalized by their vision: to sustainably grow by delighting more consumers globally.

This mission is significant because it shifts the focus from purely cost-cutting, which plagued the company years ago, to a consumer-centric growth model. It forces every division-from R&D to logistics-to ask: Does this make life delicious, and is it sustainable? For a deeper dive into the financial implications of this strategy, you should check out Breaking Down The Kraft Heinz Company (KHC) Financial Health: Key Insights for Investors.

Core Component 1: Driving Sustainable Growth

In my two decades of analysis, I've seen countless companies chase growth at any cost, only to crash later. Kraft Heinz is now prioritizing sustainable growth, which means long-term, responsible business practices that don't compromise future resources. This is defintely a necessary pivot for a consumer staples giant.

The numbers show the pressure this focus is under: the company's Trailing Twelve Months (TTM) revenue ending September 30, 2025, was $25.16 Billion, a decline of 3.7% year-over-year, which is a near-term risk. But the long-term actions are clear. They've set a goal to make 100% of their product packaging recyclable, reusable, or compostable by the end of 2025, which cuts waste and reduces future regulatory risk. Also, they aim to sustainably source 100% of the tomatoes for Heinz Ketchup by the same deadline.

• Reduce waste, cut long-term risk.
• Invest in ethical sourcing now.

Here's the quick math: sustainable sourcing stabilizes input costs over time, which protects margins against commodity price volatility. It's smart risk management, not just good PR.

Core Component 2: Delighting Consumers

The second core component, 'delighting more consumers,' is where the rubber meets the road-or, in this case, where the new recipe hits the shelf. This means superior product quality, better taste, and improved nutritional profiles. The company is actively addressing consumer demand for cleaner ingredients, which is a major trend I've been tracking.

As of 2025, nearly 90% of Kraft Heinz's U.S. product portfolio (by Net Sales) is already free of artificial Food, Drug & Cosmetic (FD&C) colors. They've pledged to remove the remaining FD&C colors from all U.S. products by the end of 2027, and they stopped launching new U.S. products with them immediately in 2025. This commitment is backed by serious product renovation.

They have revised over 1,000 product recipes to improve nutrition, adding fiber and protein while reducing sugar, salt, and saturated fat. Specifically, they are on track to reduce nearly 55 million pounds of sugar across their portfolio by the end of 2025. That's a massive, tangible investment in product superiority that directly addresses evolving consumer preferences. You can't fake that level of commitment.

Core Component 3: Global Expansion and Better World

The final component is global reach, which is critical for a food company whose North American net sales saw a 7.0% decline in Q1 2025. The vision to 'grow by delighting more consumers globally' explicitly targets Emerging Markets and Global Away From Home (food service) as strategic pillars for future growth.

The 'better world' part of the mission is the ethical anchor. It's about being a responsible global citizen. The company's core values, like Integrity, Quality, and Safety, reinforce this. For instance, they are committed to attracting and developing talent, which they call 'championing great people,' and demanding diversity, believing all voices matter. This focus on internal culture is an underappreciated factor in long-term global success, as it allows for better adaptation to diverse international markets. They need that global agility, so this focus is necessary.

The Kraft Heinz Company (KHC) Vision Statement

You're looking for the true north of The Kraft Heinz Company, and it's found in their vision: Exploring The Kraft Heinz Company (KHC) Investor Profile: Who's Buying and Why? The direct takeaway is that KHC is doubling down on operational efficiency and core brands to offset a challenging consumer environment, but the full-year 2025 financial outlook shows the difficulty of that pivot.

The company's vision is concise and powerful: To sustainably grow by delighting more consumers globally. This single sentence is the lens through which we should view their strategy, their capital allocation, and their near-term risks. It breaks down into three actionable pillars: sustainable growth, consumer delight, and global expansion.

Sustainably Grow: The Operational and Financial Mandate

The 'sustainably grow' component is the financial analyst's focus, especially as KHC navigates a difficult 2025. The updated fiscal year 2025 outlook, as of October, projects a decline in key metrics, which is a clear headwind. Specifically, the company now expects Organic Net Sales to decline by 3.0% to 3.5% versus the prior year, a slight downgrade from earlier projections.

Here's the quick math: to counter this top-line pressure, KHC is aggressively pursuing efficiency, aiming for nearly 4% productivity savings this year, which exceeds their initial target of 3%. This focus on cost management is working on the cash flow side, still. For instance, the company reported a strong free cash flow of $1.5 billion in the second quarter of 2025, which was an increase of 28.5% year-over-year. That's a defintely solid number in a tough market.

• Boost productivity savings to nearly 4%.
• Maintain investment-grade ratings post-separation.
• Keep free cash flow flat for the full year 2025.

What this estimate hides is the significant pressure on profitability, with Constant Currency Adjusted Operating Income expected to decline by a steeper 10% to 12% for the full year 2025. The company's September 2025 announcement to separate into two scaled, focused public companies is a direct action to reduce complexity and accelerate performance, aiming to unlock shareholder value and better align capital allocation with specific strategic ambitions.

Delighting More Consumers: Innovation and Investment

The 'delighting more consumers' section of the vision is where KHC's capital expenditure is most visible. This is about product superiority, not just price. The core value of being 'Consumer Obsessed' drives the investment in quality and innovation, especially in the U.S. market, where North America saw a 7.0% decline in net sales in Q1 2025.

To win back the consumer, KHC is making a significant financial commitment: marketing spending is increasing to at least 4.8% of net sales, which is the highest level in over a decade. They are also investing approximately $300 million in pricing and trade in the U.S. to ensure their products remain competitive on the shelf. This is a necessary move because consumers, facing high interest rates and inflation, are trading down. The company is actively reformulating products to address the clean-label trend, removing artificial colors and dyes, which is a direct response to consumer demand for healthier, more transparent ingredients. This is a costly pivot, but it's non-negotiable for long-term brand health. You have to spend money to make money, and they are spending it on the customer experience.

Globally: Emerging Markets and Portfolio Focus

The 'globally' element of the vision is KHC's primary growth opportunity, but also a source of near-term risk. The company is actively working to increase the proportion of its portfolio represented by 'accelerate' platforms and to expand in emerging markets.

However, the 2025 outlook update specifically cited slower growth in Emerging Markets, driven by continued declines in Indonesia and pressure in U.S. Retail, as a reason for the lower Organic Net Sales guidance. International Developed Markets and Emerging Markets saw net sales declines of 4.4% and 4.7%, respectively, in the first quarter of 2025. The strategic divestiture of non-core assets, like the announced sale of the Plasmon baby food brand, is a clear application of the 'Own It' core value-it's about focusing resources on the areas with the highest growth potential, like the Global Away From Home business, which is growing internationally even as it remains flat in the U.S.

The goal is to leverage their iconic brands, like Heinz, for global reach and margin expansion, especially as they move toward cleaner product lines that can command a premium price. This is a portfolio rotation strategy, and it's critical for KHC to execute it well to achieve that global growth.

The Kraft Heinz Company (KHC) Core Values

You're looking for a clear map of what drives The Kraft Heinz Company (KHC) beyond the income statement, and honestly, that's where the real long-term value is built. The company's six core values are the operating manual for its strategy. They aren't just posters on a wall; they map directly to the investments and tough financial decisions we've seen in the 2025 fiscal year, from massive promotional spending to a clean-up of the balance sheet.

The vision is clear: to sustainably grow by delighting more consumers globally. This vision is executed through six 'We' statements, which act as the principles guiding everything, from new product development to how they manage their $29.41 billion market capitalization (as of November 2025).

We are consumer obsessed

This value is the engine of their growth strategy, meaning they put the person buying the product at the center of every decision. It's a simple idea, but it requires serious capital commitment, especially in a year where consumer demand has been a bit soft.

You can see this obsession in their 2025 tactical spending. To fight volume declines in North America, Kraft Heinz is increasing its promotional spending in the US by about $300 million, plus allocating an additional $80 million to media campaigns. That's a significant investment to win back the shopper, not just raise prices. Also, the focus on innovation-the percentage of organic net sales from new products-increased from 1.6% in 2022 to 2.9% in 2024, showing a clear, upward trajectory in meeting evolving tastes.

• Spend $300 million more on US promotions in 2025.
• Emerging markets grew by more than 9% so far this year.
• Innovation is a key growth enabler.

We dare to do better every day

This is the core value of continuous improvement and innovation, and it's where the company's long-term bet on Research & Development (R&D) lives. It means constantly challenging the status quo to find efficiencies and create products 'worth paying for.'

The company's commitment to this value is evident in its goal to generate $2 billion in net sales from innovation by 2027. They are backing this with intellectual property, holding a total of 9,063 patents globally. This value also translates to pricing strategy; in 2025, they are making selective investments in price adjustments for key brands like Lunchables and Kraft Mac & Cheese to improve their market competitiveness and volume. That's a tough move, but it's an essential one for long-term health.

We demand diversity

The company sees diversity, inclusion, and belonging (DIB) not as a compliance issue, but as a competitive advantage that directly fuels innovation. They believe diverse perspectives make them stronger, more thoughtful, and more innovative.

Their 2025 aspirations are specific and quantifiable. They are aiming for women to comprise 50% of global management positions by the end of 2025, up from an initial base of 37% and currently sitting at 41% (as of late 2024). For the U.S. salaried employee population, they aspire for People of Color to represent 30% by 2025, having already reached 28% from a starting point of 24%. This isn't just talk; it's a measurable, multi-year commitment to change the face of their leadership.

We champion great people

This value is about building a meritocracy and investing in the talent pipeline. It's the human capital side of the equation, recognizing that the quality of the team directly impacts the quality of the output.

For example, the Global Management Trainee program is a 12-month, full-time program that includes a 10-week hands-on onboarding and a field sales placement designed to help future leaders 'live and breathe our value of being consumer-obsessed.' This focus on employee well-being extends beyond career development; the company was shortlisted in 2025 for its financial wellbeing strategy, which proactively supports employees' financial needs. They invest in your purpose and potential.

We do the right thing

This value encompasses integrity, quality, and their Environmental, Social, and Governance (ESG) commitments. It is about being a responsible global citizen. The stakes are high here, and the public is defintely watching.

On the environmental front, a major 2025 target is to make 100% of all packaging globally recyclable, reusable, or compostable, building on the 83% achieved a few years prior. They have also made significant strides in product health, achieving 95% of their goal to reduce total sugar content in their products by over 60 million pounds. Furthermore, their community support goal is to provide 1.5 billion meals to people in need by 2025. You can find a deeper dive into their structure and purpose here: The Kraft Heinz Company (KHC): History, Ownership, Mission, How It Works & Makes Money.

We own it

This is the accountability value-acting as owners, taking responsibility for results, and making the tough, long-term decisions. It's the foundational principle for how they manage investor capital.

In Q2 2025, the company reported an operating loss of $8.0 billion, which was primarily driven by a non-cash impairment loss of $9.3 billion. This massive charge was a necessary, difficult action to own a sustained decline in market capitalization, cleaning up the balance sheet to better reflect reality. On the flip side, their fiscal discipline is evident in the strong year-to-date Free Cash Flow of $1.5 billion as of Q2 2025, with a Free Cash Flow Conversion of 96%. That cash generation shows they are managing the business like true owners.