The Kraft Heinz Company CEO Steve Cahillane says the company is “pausing work” to split into two.

While announcing Kraft Heinz’s fourth quarter and full-year report, Cahillane says the company will invest $600 million in marketing, sales and R&D to “drive recovery” in its U.S. business, which is lagging its international developed market and emerging market segments.

Cahillane, who previously served as president and CEO of Kellanova, became Kraft Heinz’s CEO on Jan. 1.

“When I decided to join Kraft Heinz, I knew that this was an exciting opportunity to contemporize iconic brands, better serve consumers and customers, and build meaningful shareholder value.” Cahillane says. “Since joining the company, I have seen that the opportunity is larger than expected and that many of our challenges are fixable and within our control. My number one priority is returning the business to profitable growth, which will require ensuring all resources are fully focused on the execution of our operating plan.”

In fiscal year 2025, Kraft Heinz’s net sales decreased 3.5% from $25.8 billion to $24.9 billion, while organic net sales decreased 3.4%. The company’s gross profit margin decreased 140 basis points to 33.3%, while adjusted gross profit margin decreased 120 basis points to 33.5%.

In the fourth quarter, Kraft Heinz generated net sales of $6.35 billion, down 3.4% from $6.58 billion in 2024. Gross profit margin decreased 150 basis points to 32.6%, while adjusted gross profit margin decreased 130 basis points to 33.1%.

Kraft Heinz announced plans to split in September, a decade after the merger of Kraft Foods and H.J. Heinz. The two companies would have included a “Global Taste Elevation Co.,” producing shelf-stable meals, and “North American Grocery Co.,” which would have offered a portfolio of North American staples.