Gremlins, ghouls and monsters may have trouble scaring up their usual hauls of Halloween candy during trick-or-treat runs this year, one of the largest chocolate makers warned.
“We will not be able to fully meet consumer demand due to capacity constraints,” Hershey chief executive Michele Buck told analysts during a Thursday earnings call.
The Hershey, Pa.-based manufacturer said it began in April to build a stockpile of Hershey Bars, Kisses, KitKats, Reese’s Peanut Butter Cups, Twizzlers and York Peppermint Pattys to prepare for the crucial Halloween and holiday seasons.
“And we were really producing,” Buck said of the early push.
The problem, Buck explained, is that Hershey makes its seasonal candies and all-year-round products on the same manufacturing equipment, and demand for sweets in general has exceeded the company’s expectations.
Movie theaters also reported difficulty in procuring enough sweets and snacks earlier this year, as The Post reported.
Hershey reported double-digit sales growth in the second quarter compared to last year. But in order to satisfy chocolate fiends throughout the year, the company had to make sacrifices in other areas.
“It was tough,” Buck said.
Sales have continued to grow significantly in June and July, the company said, pointing to an 11% increase in sales of Hershey Milk six packs over the past four weeks while season-to-date sales are 20% higher than pre-pandemic levels.
“Given many of our everyday and seasonal products are made on the same line, we have needed to balance production over the past several months to improve everyday on-shelf availability and build seasonal inventory at the same time,” Buck said in prepared remarks.
“While this will likely result in second-half seasonal share pressures, we expect our everyday share trends to remain strong,” she added.