Aside from that $6.4 billion net loss, financial analysts liked what they saw in Kraft Heinz’s second quarter financial report.

True, there was a $7.4 billion non-cash impairment charge and a decrease in adjusted operating income (although still a positive $1.0 billion). But, “The momentum KHC built in 1Q26 continued into 2Q26 as it delivered results ahead of its expectations,” said Max Gumport, a senior analyst with BNP Paribas Equity Research. “KHC is seeing continued progress on share recovery, and its investments are working, which gives it the confidence to raise its outlook for organic net sales.”

The second quarter report was delivered Aug. 5.

Steve Cahillane, who’s been CEO since Jan. 1, said, “We delivered another solid quarter, with results that exceeded our expectations across U.S. Retail, Global Away From Home, and Emerging Markets. Our brands are resonating with consumers, and our share performance is improving. The progress we are seeing gives us the confidence to raise our organic net sales outlook for the year.”

And raise its outlook, it did, although that’s still in negative numbers. The company now expects 2026 sales to be down 0.5% to 2.0%, an improvement over previous projections of minus-1.5% to minus-3.5%. Earnings per share should be about the same, $2.03-2.09.

When Cahillane took over this year, plans called for the company to split in two after years of underperformance. Cahillane called that off and instead said Kraft Heinz would succeed by spending more on innovation and marketing. While originally budgeting $600 million for that effort, he’s now raised that allocation to $700 million.

“We have seen that our brands respond well when we invest behind them,” the CEO said. “By accelerating these investments, we position the business even more favorably as we enter 2027.”

In the second quarter, sales decreased 1.4%. to $6.262 billion, with an 11% increase in its small Emerging Markets segment partially offsetting declines in Developed Markets and North America. North America has been the problem for a while; sales there in the quarter slipped 2.7% to $4.626 billion.

The company took a goodwill impairment of $2.441 billion and intangible asset impairment of $4.991 to total $7.352 billion, both to reflect its prolonged lower stock price and lower valuation of the whole company. At least that was lower than the $9.266 billion write down in the second quarter of last year.