Candy shortage? Hershey now says there will be enough for Halloween
Halloween trick-or-treaters, rejoice: Hershey has cleared up some confusion about its fall candy supply. Sort of.
"We actually have even more seasonal product available to the consumer this year than last year," a Hershey spokesperson told FOX TV Stations Friday.
It’s welcome news for candy lovers after multiple reports said Hershey wouldn’t have enough candy to fill Halloween demand. Hershey is the maker of Almond Joy, Twizzlers, Jolly Ranchers, Kit Kat bars, Reese’s Peanut Butter Cups and several other popular candies.
The headlines stem from comments made by CEO Michele Buck during the company’s second-quarter earnings call. She told investors that the company began producing Halloween candy in the spring, but because everyday products are made on the same production lines as seasonal candies, the company opted to focus more on day-to-day shelf supply.
"We had a strategy of prioritizing everyday on-shelf availability," Buck said. "It was a tough decision to balance that with the seasons, but we thought that was really important. And so that was a choice that we needed to make. We had opportunity to deliver more Halloween [candy], but we weren’t able to supply that.
"Seasonal consumer engagement is expected to remain high, and we expect high single digit sales growth for both our Halloween and holiday seasons," Buck also said. "Despite this strong growth, we will not be able to fully meet consumer demand due to capacity constraints."
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Like most big businesses, supply chain issues and the war in Ukraine have impacted Hershey’s operations, Buck said on the call, but the company now says the constraints mentioned "are due to a tremendous increase in consumer demand the past few years."
Despite the increased demand — and "considerable confusion in the media" — the company told FOX TV Stations that "moving forward, with higher inventory levels and more capacity, we believe we’ll be well positioned to deliver for the consumer whether they’re reaching for everyday or seasonal products."
Hershey reported a second-quarter profit of $315.6 million. Halloween candy makes up about 10% of the company’s sales.