Jeff Harmening: Yes. The — we did have — we had a rough start to the first half of the year. There’s no question about that. And the primary driver of that was lack of capacity. What I feel very good about in our Pet business is that we’ve rebounded and our service levels are back in the 90s. The Pet team worked very hard to get there. It’s more expensive than we would like because we have to go outside for external supply chain, but we’ve rebuilt our capacity. So that’s not a concern going forward. What I also feel good about is we did what we said we’re going to do. We said we’re going to grow at double digits in the back half of the year, and we have done that. I would also say that our dry pet food business is getting better, and we thought that would be the first recovery and it has.
It’s responded very well to advertising. Life Protection Formula, I think, was up more than 20% in the fourth quarter. Our treats business, we said would improve, but would follow that and it has, and it actually grew in the fourth quarter and there is much more to do on treats. We can now market that business, and we have full capacity. And then we set our wet test food business with lag and unfortunately, we were right up that too, and it did lag. And so I think for our pet food business, I would characterize it, I feel good that we have improved and there is more work yet to do. And so as we look at this coming year, our supply should not be an issue for us. It will come at a higher cost. So I still expect us to grow our sales and maybe our profit has ahead of sales, but a big improvement in profitability would come until fiscal ’25 when we can internalize all of our capacity.
Ken Goldman: Thank you.
Operator: Thank you. Our next question is from the line of Andrew Lazar with Barclays. Please go ahead. Your line is now open.
Andrew Lazar: Great. Thanks. Good morning. I guess, in the prepared remarks, you mentioned that volume in fiscal ’24 should be improved relative to the decline you saw in ’23. Just to clarify, should we take that to mean volume is potentially still down year-over-year, slight better than the minus 4% decline that we saw last fiscal year? And then if it is going to be a pricing-led organic top line growth sort of here in fiscal ’24, and I think most of it, you said was from wraparound pricing from actions taken in the second half of ’23. I guess, is there a possibility, and I’m just trying to think ahead here, that there’s a period of time maybe where organic sales could even go negative for a bit later in the fiscal year until of volume catches up? Thanks so much.
Jeff Harmening: Yes, Andrew, I’ll take it and then Kofi jump in if there’s anything you want to add. Our expectation — again, we don’t give specific volume guideline growth. But having said that, we said our top line to grow 3% to 4%, and we’ll have mid-single-digit inflation, roughly 5%. And so we do see pricing this year. I’m confident that our pounds will be better in fiscal 2024 than they were in fiscal 2023, which is to say they’ll certainly decline less. Whether they get to positive or not? We’ll see. That’s a really difficult thing to call, especially because of the mix factor involved. I’ll give you this last quarter in China, our sales grew really nicely, but our pounds were down is because we sold more expensive Häagen-Dazs ice cream and less one and the Wanchai Ferry dumplings.
