Executive Summary
General Mills (GRM.DE) delivered Q3 2025 results with revenue of $4.842 billion, flat year over year (YoY) at -0.12% and a sequential decline of -7.59% (QoQ). Gross profit registered $1.639 billion, translating to a gross margin of 33.85% (0.3385), down 2.99% YoY and 15.12% QoQ, signaling ongoing input cost pressure and mix effects. Operating income stood at $891.4 million, an increase of 7.20% YoY but down 17.30% QoQ, with operating margin around 18.41%. Net income was $625.6 million, up 7.88% YoY but down 21.38% QoQ, and trailing earnings per share (EPS, diluted) of $1.12, up 10.68% YoY but down 20.28% QoQ. The company generated robust operating cash flow of $531.9 million and free cash flow of $428.0 million, supported by capex of $103.9 million and dividends paid of $332.6 million, alongside modest share repurchases ($301.5 million) in the period. Balance sheet metrics show total assets of $32.706 billion, total debt of $14.187 billion and net debt of $13.666 billion, with cash and cash equivalents of $521.3 million. Liquidity remains modest (current ratio 0.667; quick ratio 0.437) and leverage is meaningful (debt-to-capitalization ~60.5%, debt-to-equity ~1.532). The payout ratio is approximately 53.2%, and the dividend yield is around 0.98%. Peer context suggests General Mills under a margin-lighting positioning relative to some large packaged foods peers, with higher gross margins observed at certain competitors, while cash generation remains a clear strength. Going forward, the company will likely rely on price/mix, productivity, and disciplined capital allocation to maintain cash flow and deleveraging while navigating input-cost volatility and competitive dynamics.
Key Performance Indicators
QoQ: -15.12% | YoY:-2.99%
QoQ: -20.28% | YoY:10.68%
Key Insights
Revenue: $4,842.2 million; YoY -0.12%, QoQ -7.59%
Gross Profit: $1,639.1 million; YoY -2.99%, QoQ -15.12%; Gross Margin: 33.85%
Operating Income: $891.4 million; YoY +7.20%, QoQ -17.30%; Operating Margin: 18.41%
Net Income: $625.6 million; YoY +7.88%, QoQ -21.38%; Net Margin: 12.92%
EPS (diluted): $1.12; YoY +10.68%, QoQ -20.28%
Cash Flow: Operating cash flow $531.9 million; Capex $103.9 million; Free cash flow $428.0 million
Liquidity/Leverage: Cash $0.521B; Total debt $14.187B; Net debt $13.66...
Financial Highlights
Revenue: $4,842.2 million; YoY -0.12%, QoQ -7.59%
Gross Profit: $1,639.1 million; YoY -2.99%, QoQ -15.12%; Gross Margin: 33.85%
Operating Income: $891.4 million; YoY +7.20%, QoQ -17.30%; Operating Margin: 18.41%
Net Income: $625.6 million; YoY +7.88%, QoQ -21.38%; Net Margin: 12.92%
EPS (diluted): $1.12; YoY +10.68%, QoQ -20.28%
Cash Flow: Operating cash flow $531.9 million; Capex $103.9 million; Free cash flow $428.0 million
Liquidity/Leverage: Cash $0.521B; Total debt $14.187B; Net debt $13.666B; Current ratio 0.667; Quick ratio 0.437; Dividend payout ~53.2%; Dividend yield ~0.98%
Balance Sheet: Total assets $32.706B; Total liabilities $23.194B; Total stockholders’ equity $9.263B; Goodwill $15.519B; Intangible assets $7.060B; Goodwill & intangibles $22.578B
Valuation/Benchmarks: P/E ~13.55x; P/B ~3.66x; Price-to-FCF ~79.20x; Price-to-Operating-Cash-Flow ~63.73x; Enterprise value multiple ~51.20x; Dividend yield ~0.98%
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
4.84B |
-0.12% |
-7.59% |
| Gross Profit |
1.64B |
-2.99% |
-15.12% |
| Operating Income |
891.40M |
7.20% |
-17.30% |
| Net Income |
625.60M |
7.88% |
-21.38% |
| EPS |
1.14 |
10.68% |
-20.28% |
Key Financial Ratios
operatingProfitMargin
18.4%
operatingCashFlowPerShare
$0.96
freeCashFlowPerShare
$0.78
dividendPayoutRatio
53.2%
Management Commentary
Transcript not provided in the dataset. No earnings-call quotes or management call transcript were included in the input. As a result, key management quotes and theme-based insights from the QQ3 2025 call are unavailable within this analysis. If you provide the transcript or a link, I can extract themes and quotes by category (strategy, operations, market conditions) with context and significance.
Forward Guidance
No formal numeric guidance was provided in the dataset for QQ4 2025 or full-year 2025. Based on the reported metrics, the implied trajectory hinges on: (1) price realization and mix shift toward higher-margin, premium or higher-margin SKUs, (2) ongoing productivity and cost-structure optimization to offset input-cost inflation, and (3) disciplined capital allocation to sustain free cash flow and shareholder returns. Management commentary—once available—should be evaluated for any targets around top-line growth, gross margin stabilization, and implied ranges for operating margin. Key factors investors should monitor include: commodity and freight cost trends, pricing power versus competitive intensity, working capital efficiency, currency effects, and the pace of debt reduction toward the company’s long-run leverage targets.