MINNEAPOLIS — While most consumers are familiar with its expansive range of retail products spanning the ready-to-eat cereal, refrigerated dough, soup, snacks and pet food categories, General Mills, Inc. also has a foodservice business that is thriving, said Pankaj Sharma, president of North America Foodservice (NAF).
In an Oct. 14 presentation during the Minneapolis-based company’s investor day, Sharma said NAF generated $2.3 billion in net sales in fiscal 2025 while turning in strong operating profit margins. He described the unit’s performance story as “one of winning.”
“The NAF segment has been on a journey of sales acceleration following the pandemic, growing organic sales for each of the past four years and delivering market share leadership for three consecutive years,” Sharma said. “This continued in fiscal ’26 with 68% of our priority businesses having grown or held dollar share fiscal year-to-date. This includes growing to an unprecedented 55 share position in cereal and a 51 share in biscuits by driving all aspects of remarkability.”
Much like its retail business, General Mills’ foodservice business is expansive, including retail brands such as Pillsbury, Cheerios and Nature Valley, as well as foodservice brands such as Bonici and All Trumps. The company also serves operators across all dayparts and includes a full spectrum of preparation formats.
Helping set the company apart is its channel breadth, which Sharma said is “differential and allows us to capture multiple points of growth regardless of industry dynamics.” The company also benefits from advantaged research and development capabilities as well as a dedicated sales organization that he said most foodservice companies don’t have.
“Taken together, our portfolio of great products, channel breadth, differentiated R&D capabilities and sales capabilities sets us apart from the competition,” Sharma said. “It’s truly a win-win for our operators when they choose General Mills. And in turn, our performance story is one of winning.”
Looking ahead, Sharma said General Mills plans to continue momentum in its foodservice business by focusing on two areas: leading breakfast through nutrition and expanding frozen baked foods.
“We currently have an 84 share of K-12 cereal, and we are the leader in frozen breakfast with a 28 share in individually wrapped items,” Sharma said. “We also know there is a significant room to expand our impact today. Breakfast participation is far lower than lunch participation. Our operators indicate that participation rates of breakfast are growing more than other dayparts. We capture this growth opportunity by investing in remarkable innovation, renovation and value.”
read also | Jeff Harmening .. A transformation leader at General Mills
He said General Mills’ early transition to offering lower sugar options put it in a “competitively advantaged position” when new reduced sugar regulations were put in place at the start of this year’s K-12 school year. The company is continuing to stay ahead by reformulating products like Pillsbury Mini Cinnis and Mini Bagels to meet reduced sugar requirements coming in the 2027 school year, he said.
In frozen baked foods, growth is being driven by operators seeking affordable solutions and greater convenience, Sharma said. To capture that growth he said General Mills’ NAF business is focused on bringing “remarkable product innovation and renovation across three baked goods categories.”
First, the company is investing in its flagship biscuit portfolio, which has grown volume and share over the past two years.
“Our unbaked biscuits are truly remarkable in the marketplace and operators know they can count on Pillsbury biscuits for a consistent high-quality product experience,” he said. “They also solve operator problems through their versatility.”
Next, General Mills is investing in frozen desserts.
“This is one of the fastest-growing subcategories of frozen baked goods, and we are delivering double-digit growth year-on-year on our full and half sheet brownies and blondies,” he said. “These products are consistent, delicious and versatile. They can be sliced to whatever size the operator desires and served stand-alone or topped to be a signature or a seasonal item. We are building on a strong portfolio in the growing brownie space with our latest sheeted dessert innovation, the chocolate chip blondie. This product is providing operators with a new offering to expand their bakery and dessert portfolios and at a great value.”
Finally, croissants is a growing category where Sharma said General Mills is gaining share, led by the strength of its customer partnerships.
“We offer the continuum of croissants that can meet the need of any back-of-house operation from frozen baked croissants, which are frequently used for breakfast carriers, to freezer to oven, which are often used as a signature or a bakery case item,” he said. “We are providing operator-first solutions. We’ll be building on this momentum by bringing in additional flavor innovation.”
