Kellogg’s Q2 Earnings Down

Kellogg’s has reported a 15% fall in Q2 net earnings of $302m against $354m over the same quarter a year ago.

The food giant’s net sales in the quarter also declined 5% to $3.1bn, the company said.

The firm’s operating profit decreased 13% to $483m and internal operating profit fell 11%.

CEO David Mackay said the company’s second quarter results reflect the deflationary environment in the cereal category, particularly in the US and UK, softer Eggo sales, and the voluntary recall of over 28 million boxes of tainted cereal.

The company’s sales in North America declined 5% and profit fell 15%.