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Kraft Heinz stock rises on expected first-quarter sales gain

Kraft Heinz Co. shares rose in the extended session Monday after the food company said it expects a rise in first-quarter sales and postponed its upcoming investor day due to the COVID-19 pandemic. Kraft said it expects a first-quarter sales gain of 3% and about a 6% rise in organic sales. “The difference between expected net sales and organic net sales is primarily attributable to prior year divestitures and currency impacts,” Kraft said. Analysts surveyed by FactSet expect first-quarter sales of $5.76 billion, or a 3.3% decline from a year ago, and a 7.5% rise in organic sales. “The company’s growth has accelerated in the wake of very strong consumer demand for its products and trusted brands, despite significant declines in foodservice-related sales around the world,” Kraft said in a statement. Kraft Heinz also said it would postpone its scheduled May investor day to an “appropriate time and place — ideally in the second half of 2020.”Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.

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