Author: Savyata Mishra
(Reuters) – Chocolate maker Hershey on Friday announced the departure of CEO Michele Buck, who has been at the helm for more than seven years, effective June 30, 2026.
Buck, a consumer packaged goods veteran with nearly two decades at the company, will remain CEO until her successor is named. He will then transition to a senior advisor position until his retirement, the company said.
The chief executive’s transition comes on the heels of leadership changes at food companies including Campbell’s Co and frozen food supplier Lamb Weston.
Hershey is facing pressure from high cocoa prices, which are set to nearly triple in 2024, and slowing demand from repeated price hikes.
“We believe the new CEO will need to reset the EPS base for 2026 due to weaker category dynamics and higher cocoa costs,” said TD Cowen analyst Robert Moskow.
The maker of Reese’s Peanut Butter Cups cut its annual revenue forecast and beat third-quarter sales expectations in November.
On Friday, it reiterated its 2024 forecast and indicated it would announce its 2025 outlook when it reports earnings on Feb. 6.
The board appointed a special committee to help in the search for a new board president, which will evaluate internal and external candidates for the position.
Cocoa prices are on the rise due to crop losses in the largest cocoa producers, Côte d’Ivoire and Ghana, caused by adverse weather, bean diseases, smuggling and workers switching to illegal gold mining.
Earlier this week, Bloomberg News reported that Hershey had sought permission from the Commodity Futures Trading Commission (CFTC) to buy up to 90,000 metric tons of cocoa beans from ICE-certified stockpiles, exceeding the maximum amount usually allowed.
The stock, down 6.4% this week, was largely unchanged in after-bell trading.
(Reporting by Aamir Sohail and Savyata Mishra in Bengaluru; Editing by Tasim Zahid)
