Cheerios breakfast cereal maker General Mills recently released its financial results, with disappointing sales figures. On top of that, environmentalists are criticizing the food company's latest corporate social responsibility initiative related to the bees.
General Mills posted a year-over-year decline in sales during the fiscal third quarter ended Feb. 26, according to a Reuters report. The food company tried to limit discounting in order to boost profits, but it appears that the strategy has backfired.
In its latest quarterly results, General Mills' net sales dropped 5.2% to $3.79 billion. The decline was attributed to weak demand for its yogurt and baking products. While the food maker registered an increase in net margins, its net income fell year over year during its fiscal third quarter.
General Mills failed to catch up with its competitors when it comes to discounting. The cereal maker decided to prioritize profits over sales, resulting in poorer quarterly results. To alleviate the impact of the pricing war on its sales, the cereal maker will cut down discount reduction across its products.
In another news about General Mills, it appears that the cereal maker launched a campaign to save the bees. The company had been giving people packets of seeds of flowering plants in order to increase the number of flowering plants in the country.
However, environmentalists negatively reacted to General Mills' efforts. They claim that some of the seeds shipped to people were not endemic to the location they are going to be planted in, so there is a huge chance that they can destroy the ecosystem of that place. Instead of shipping particular seeds depending on what grows naturally in each place, the cereal maker just sent a mix of flower seeds, including hyssops, lavender, daisies and poppies.
Jobs & Hire previously reported that a Hello Kitty grocery store opened up in Hong Kong.