Revenue from the U.S. grain-based snack and bakery industry accounts for over $100 billion in annual retail sales, and a significant portion of that total comes from the top 50 companies, ranked according to annual revenue. These companies represent the core of the industry, and many have seen notable—and mostly positive—impact from the ongoing COVID-19 pandemic.
In its 2019 letter to shareholders, Nestlé leadership related that it has begun to transition its pizza business from a frozen direct-store-delivery network to a warehouse distribution model as part of our structural cost savings program. “This change will leverage the highly efficient warehouse network that is already used for frozen meals and snacks,” notes the report. “Leveraging a simpler route to market unlocks resources we can use to fuel our efforts in demand generation, such as product innovation and brand building. This is a key step to support Nestlé’s profitable growth.”
Frito-Lay North America accounts for 25 percent of the revenue at PepsiCo. In its 2019 annual report, Ramon L. Laguarta, chairman of the board of directors and CEO cited recent innovations like Lay’s Yam (global) and Off the Eaten Path as helping drive growth, in addition to an increased global presence for Poppables, Flamin’ Hot, and Lay’s Baked Potato Chips. He also pointed to the acquisition of BFY Brands and its PopCorners brand as part of its future growth strategy.
Two major food companies are new to the list this year, making their debut thanks to increased investment in the snack and bakery market through acquisitions.
Mars, Inc. makes its debut this year at No. 3 thanks to its recent acquisition of KIND. Mars began its relationship with KIND in 2017 via a minority investment in the leading snack bar bakery company related to distribution. Increased sales have resulted, and Mars fully acquired KIND in November this year. Mars, which also owns the $180 million Combos brand, has steadily invested into more non-candy food businesses. The estimated $800 million in annual sales from KIND will provide a nice boost to the Mars bottom line.
Thanks to a growing list of snack and bakery acquisitions, Ferrero makes its debut on the list at No. 7. During 2019, Ferrero acquired Keebler and other cookies brands from Kellogg Co. This year, Keebler has surpassed $100 million in cookie category sales. Ferrero’s Nutella To Go crackers and Nutella product is now an over $92 million brand.
Other M&A activity that will impact the Top 50 list in the coming year:
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Utz Brands acquiring the On The Border tortilla chip brand from Truco Enterprises—the brand saw over $200 million in tortilla chip sales this year
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Mondelēz acquiring Give & Go Prepared Foods Corp., a company focused on the in-store bakery that annually brings in over $100 million in the bakery snacks category alone
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The Simply Good Foods Co. acquiring better-for-you bar and snack producer Quest Nutrition, which saw sales of over $228 million this year in the snack and granola bars category
| Rank | Company | 2019 Sales | 2018 Sales |
|---|---|---|---|
| 1 | Nestlé S.A. | $101.5 billion1 (CHF 92.6 billion) |
$90.8 billion1 (CHF 91.4 billion) |
| 2 | PepsiCo | $67.2 billion | $64.7 billion |
| 2 | Mars, Inc. | $35.0 billion* | $35.0 billion* |
| 4 | Mondelēz International | $25.9 billion | $25.9 billion |
| 3 | Kraft Heinz Co. | $25.0 billion | $26.3 billion |
| 5 | General Mills | $16.9 billion | $15.7 billion |
| 7 | Kellogg Co. | $13.6 billion | $13.5 billion |
| 7 | Ferrero | $12.6 billion2* (EUR 11.4 billion) |
$10.7 billion* (EUR 9.2 billion) |
| 6 | Grupo Bimbo S.A.B. de C.V. | $12.1 billion3 (MXN 291.9 billion) |
$15.0 billion3 (MXN 288.3 billion) |
| 10 | Conagra Brands | $9.5 billion | $7.9 billion |
| 9 | Arca Continental S.A.B. de C.V. | $8.8 billion4 (MXN 162.7 billion) |
$8.3 billion4 (MXN 159.0 billion) |
| 8 | Campbell Soup Co. | $8.1 billion | $8.7 billion |
| 11 | The Hershey Co. | $8.0 billion | $7.8 billion |
| 12 | The Wonderful Co. | $6.7 billion* | $6.8 billion* |
| 13 | Post Holdings | $5.7 billion | $6.3 billion |
| 14 | TreeHouse Foods | $4.3 billion | $5.8 billion |
| 17 | Flowers Foods | $4.1 billion | $4.0 billion |
| 15 | Rich Products Corp. | $4.0 billion* | $4.1 billion* |
| 16 | ARYZTA | $3.7 billion5 (EUR 3.4 billion) |
$4.0 billion5 (EUR 3.4 billion) |
| 20 | Premium Brands Holding Corp. | $3.6 billion | $3.0 billion |
| 19 | The Schwan Food Co. | $3.4 billion* | $3.2 billion* |
| 18 | Gruma S.A.B. de C.V. | $3.2 billion6 (MXN 77.4 billion) |
$3.8 billion (MXN 74.0 billion) |
| 21 | Hearthside Food Solutions | $3.1 billion* | $3.0 billion* |
| 22 | The Hain Celestial Group | $2.3 billion | $2.5 billion |
| 23 | CSM Bakery Solutions | $2.2 billion* | $2.4 billion* |
| 24 | B&G Foods | $1.7 billion | $1.7 billion |
| 25 | Blue Diamond Growers | $1.6 billion | $1.6 billion |
1. Based on exchange rates dated February 13, 2020
2. Based on exchange rates dated August 31, 2019
3. Based on exchange rates dated April 20, 2020
4. Based on exchange rates dated February 14, 2020
5. Based on exchange rates dated October 8, 2019
6. Based on exchange rates dated April 22, 2020
| Rank | Company | 2019 Sales | 2018 Sales |
|---|---|---|---|
| 26 | McKee Foods Corp. | $1.7 billion* | $1.6 billion* |
| 27 | Shearer’s Foods | $1.5 billion* | $1.5 billion* |
| 29 | Lancaster Colony Corp. | $1.3 billion | $1.2 billion |
| 28 | Seneca Foods Corp. | $1.2 billion | $1.3 billion |
| 31 | United States Bakery/Franz Bakery | $1.2 billion* | $1.0 billion* |
| 30 | J&J Snack Foods Corp. | $1.2 billion | $1.1 billion |
| 32 | Utz Quality Foods | $975.0 million* | $940.3 million* |
| 34 | Hostess Brands | $907.7 | $850.4 million |
| 33 | H&S Bakery | $898.0 million* | $890.5 million* |
| 35 | CLIF Bar & Co. | $810.5 million* | $822.3 million* |
| 36 | Ruiz Food Products | $790.0 million* | $785.2 million* |
| 38 | Gilster-Mary Lee Corp. | $700.0 million* | $690.4 million* |
| 39 | Kings Hawaiian Bakery West | $625.0 million* | $603.7 million* |
| 40 | Krispy Kreme Doughnuts | $575.3 million* | $568.5 million* |
| 42 | The Simply Good Foods Co. | $523.4 million | $431.4 million |
| 46 | Bon Appetit Danish | $480.0 million* | $310.3 million* |
| 43 | Pan-O-Gold Baking | $415.7 million* | $395.0 million* |
| 41 | Herr Foods | $400.0 million* | $496.8 million* |
| 45 | Olé Mexican Foods | $352.0 million* | $341.3 million* |
| 47 | Ajinomoto Foods North America | $315.4 million* | $310.0 million* |
| 48 | Palermo Villa | $303.2 million* | $305.0 million* |
| 49 | Perfection Bakeries/Aunt Millie’s Bakeries | $290.0 million* | $285.2 million* |
| 50 | Lewis Bakeries | $280.5 million* | $276.6 million* |
