General Mills is promising to hike its spending on advertising after better-than-anticipated Q3 financial results.

The company had a net sales increase of 13% to $5.1 billion USD, resulting in raising its annual sales forecast.

General Mills president and CEO Jeff Harmening says that it delivered broad-based top-line growth and strong bottom-line results in the third quarter, including continued positive momentum in North American retail channels.

“We continue to make strategic investments to strengthen our brands and our competitive advantages for the future,” Harmening said in the company’s prepared remarks. “We believe healthy investments in brands is critical for long-term growth.”

General Mills says it’s grown its media investment at a 4% compound rate over the past three years, and the CPG says it is on track for a strong double-digit increase in fiscal 2023.

“You need to keep [brands] growing,” Harmening says.

The company is putting that investment behind “compelling, digitally enabled, high ROI campaigns,” it says, citing work promoting Cheerios heart health and Blue Buffalo’s Wilderness line.

Organic net sales grew 18% in the quarter, driven by positive price mix, in the North American retail segment.

However, operating profit in the pet segment declined by 7%, driven primarily by double-digit input cost inflation, increased costs related to capacity expansion and service improvement, and higher SG&A expenses, including the increase in media investment. These headwinds were partially offset by positive price/mix, cost savings and higher volume.

In this morning’s earnings call Q&A, Harmening said the company is seeing little trade-down to lower priced or private brands.

The company will be launching innovation across the Blue Buffalo platform, including Wilderness Premium Blend, a new super-premium dry dog food to capitalize on a segment within the pet category that is doing very well for General Mills. “Now is time to activate our marketing on treats,” Harmening says.

Food at home, Harmening says, remains stable. General Mills noted an “unusual competitive dynamic in cereal last year,” but says it continues to compete effectively in that space.

For example, in North American retail, General Mills says it continues to lead innovation in the cereal category with its latest innovations, such as new mini versions of Cinnamon Toast Crunch, Reese’s Puffs and Trix.

The company notes that it continues to reshape its portfolio. Last summer, it concluded the sale of its Hamburger Helper main meals and Suddenly Salad businesses to Eagle Family Foods Group in a deal worth about $610 million USD.