Perrigo Company plc (NYSE: PRGO), a leading consumer health product provider, announced on November 5, 2025, that it is beginning a strategic review of its infant formula segment. This review will explore various options as part of Perrigo's "Three-S" strategy: Stabilize, Streamline, and Strengthen.
The evaluation aims to support disciplined capital allocation and enhance returns on invested capital and shareholder value. The company plans to accelerate cash flows and reconsider its prior $240 million investment in the infant formula business while optimizing portfolio priorities.
The business currently maintains stable operations and produces high-quality formula. It remains the only large-scale U.S. store brand and contract manufacturer with a significant innovation pipeline in the near term.
"Perrigo will continue to serve parents and caregivers with safe, affordable infant formula throughout the review process."
This review reflects Perrigo's commitment to strengthen its portfolio through disciplined investment and operational efficiency within its infant formula segment.
Author's Summary: Perrigo is reassessing its infant formula business to enhance capital allocation and shareholder returns, maintaining product quality and innovation amid strategic changes.