Cheesecake Factory, Coors Cite Weight Loss Drugs as New Risk

The Cheesecake Factory, Inc. and Keurig Dr Pepper, Inc. are among businesses warning investors in their annual reports that weight loss drugs that curb appetites also pose a risk to curbing their sales.

Keurig Dr Pepper said in its 10-K annual report Tuesday that its financial results could be impacted by new consumer preferences, including the use of weight loss drugs. The Cheesecake Factory made a similar disclosure in its annual report Monday, noting that “new and current medical treatments such as GLP-1 agonists may shift consumer preferences.”

GLP-1 agonists like brand-name Ozempic, a class of medications used to treat type 2 diabetes and obesity, lower blood sugar levels and can promote weight loss in part by helping patients feel more full after eating.

Molson Coors Beverage Company also made a reference to weight loss drugs in its annual report on Feb. 18. The company said consumer drinking behavior—including that tied to the use of GLP-1 agonists—poses a risk to its business. Some reports say weight loss drugs also can help people reduce their alcohol intake.

The companies didn’t point specifically to weight loss drugs in their annual reports last year. The additions were included under the section of their reports that typically detail potential risks, ranging from economic conditions to litigation and new regulatory requirements.

The risk warnings are the latest twist to a situation that’s concerned the food industry for years. Walmart Inc., for instance, warned two years ago that consumers may buy less food because of weight loss drugs, which suppress appetite. But packaged food companies have also been hoping to benefit from the popularity of drugs like Ozempic by marketing more health-conscious products.