KEY TAKEAWAYS
- Campbell’s shares are sinking after the snack and soup maker posted a decline in its quarterly results and cut its full-year outlook on the back of soft demand for its snack foods.
- The maker of snacks such as Goldfish crackers and Kettle chips said its fiscal 2025 second-quarter net sales dropped 2%.
- Campbell’s shares are down more than 8% in the past 12 months.
Campbell’s (CPB) shares fell nearly 3% Wednesday morning after the snack and soup maker posted a decline in its quarterly results and cut its full-year outlook on the back of soft demand for its snack foods.
The maker of snacks such as Goldfish crackers and Kettle Brand chips said its 2025 second-quarter adjusted earnings per share (EPS) fell 8% to $0.74 as net sales dropped 2% on an organic basis to $2.69 billion.
The company, which dropped Soup from its name late last year, also said organic net sales for its full year would be in the range of “down 2% to flat.” It said full-year adjusted EPS would be between $2.95 and $3.05, or down around 4% to down 1% versus the adjusted EPS of $3.08 in fiscal 2024.
Campbell’s had previously projected 2025 organic net sales would be in the range of 0% to 2% and adjusted EPS would be between $3.12 and $3.22— or between 1% and 4% higher.
“Given the softness in some of our snacking categories, the anticipated sequential top-line improvement did not materialize during the quarter, and we now have a more muted second half expectation,” Chief Executive Officer (CEO) Mick Beekhuizen said, explaining the update to the full-year guidance. Beekhuizen took over as CEO from Mark Clouse, who left at the end of January to become president of the National Football League’s Washington Commanders,
Campbell’s shares are down more than 8% in the past 12 months.
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