Company: KHC
Filing Date: 2025-10-29
Form Type: 10-Q
Source: 0001637459-25-000166
Chunk: 159

Company: Kraft Heinz Co
Filing Date: 2025-10-29
Form: 10-Q
Item: Part I, Item 8
Chunk 159
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 to $849 million for the nine months ended September 28, 2024. This change was primarily driven by the purchases of marketable securities, partially offset by proceeds received from the sale of marketable securities in the 2025 period, lower capital expenditures in the 2025 period compared to the 2024 period, and lapping our prior year payment to acquire the TGI Friday License. We expect 2025 capital expenditures to be approximately $950 million compared to the 2024 capital expenditures of $1.0 billion. Our 2025 capital expenditures are expected to be primarily driven by maintenance projects, investments in technology, capital investments focused on generating growth, including cost improvements, capacity expansion, and investments in warehouse.

Net Cash Provided by/Used for Financing Activities:

Net cash used for financing activities was $763 million for the nine months ended September 27, 2025 compared to $2.0 billion for the nine months ended September 28, 2024. This change was primarily driven by debt proceeds received from the issuance of the 2025 Notes in the current year period, increased cash flow hedge settlements, and decreased repurchases of common stock compared to the prior year period. See Note 15, Commitments, Contingencies, and Debt for additional information on our debt issuances.

Cash Held by International Subsidiaries:

Of the $2.1 billion cash and cash equivalents on our condensed consolidated balance sheet at September 27, 2025, $1.1 billion was held by international subsidiaries.

Subsequent to January 1, 2018, we consider the unremitted earnings of certain international subsidiaries that impose local country taxes on dividends to be indefinitely reinvested. For those undistributed earnings considered to be indefinitely reinvested, our intent is to reinvest these funds in our international operations, and our current plans do not demonstrate a need to repatriate the accumulated earnings to fund our U.S. cash requirements. The amount of unrecognized deferred tax liabilities for local country withholding taxes that would be owed, if repatriated, related to our 2018 through 2025 accumulated earnings of certain international subsidiaries is approximately $65 million.

Our undistributed historic earnings in foreign subsidiaries through December 31, 2017 are currently not considered to be indefinitely reinvested. Our deferred tax liability associated with these undistributed historical earnings was insignificant at September 27, 2025 and December 28, 2024 and relates to local withholding taxes that would be