A “challenging macro environment” is weighing on Conagra net sales, however its international market, which includes Canada, bucked the trend.

The maker of Duncan Hines, Gardein, Pam and Slim Jim says net sales for Q2 ending Nov 26, decreased 3.2% from the prior year quarter, to $3.4 billion. However, net sales for the International segment, which includes Canada and Mexico, increased 8.1% to $280 million in the quarter.

In its latest earnings call, Conagra president and CEO Sean Connolly praised the International team’s strong brand activation, improved POS and innovation efforts.

Advertising and promotion as a percent of net sales, moved up 2.3% to $73 million versus a year ago. The company is slashing its guidance saying that it expects organic net sales to decrease between 1% and 2% compared to fiscal 2023.

However, Connolly noted positive signs, including an improvement in domestic retail volume, and targeted investments in its frozen business generating lifts and market share gains. He says Conagra has a “robust investment plan” reflecting its confidence in responsiveness to brand building levels, part of the company responding to consumers’ “unshakable demand” for convenience.

The company touted successful American marketing efforts linked to longstanding WWE-related brand equity in helping move the need for its Slim Jim snack.

According to the company, its in-store merchandising promotions are boosting the domestic fortunes of its frozen single-serve meals, which includes the likes of Marie Callender’s pot pies and bowls. These drove meaningful gains in market share.

Conagra is promising higher quality feature and display POS advertising and that its targeted investments give it confidence in its brand building efforts.

In Canada, Conagra shopper efforts have been built around multi-brand point of sale, combining Pam, Duncan Hines, Orville Redenbacher, VH sauce and new Bertolli frozen skillet meals into one holiday retail program, for example. Conagra has also combined three brands in one shopper campaign, again to ease stress around meal prep.