WK Kellogg Reports Strong Q4 Profit Amid Revenue Decline

WK Kellogg Co. reported a better-than-expected adjusted profit of $0.42 per share for the fourth quarter, surpassing analyst estimates of $0.26 per share. Despite a 1.8% drop in revenue to $640 million, which fell short of the $641.7 million expectation, the company's shares rose approximately 4% in premarket trading. The improved profit margins were attributed to effective cost-cutting measures, including plant closures and workforce reductions, alongside a 3.8% increase in product pricing. However, these price hikes led to a 5.6% decline in sales volume. The company anticipates adjusted EBITDA between $286 million and $292 million for 2025, slightly above analysts' estimates. WK Kellogg's outlook does not consider potential impacts from U.S. tariffs on Mexico and Canada.