CAG Earnings: Conagra Brands Q2 profit declines on lower sales

Conagra Brands, Inc. (NYSE: CAG), a leading provider of consumer packaged goods, reported lower sales and adjusted earnings for the second quarter of 2026. The company also issued guidance for fiscal 2026.

Net sales were $2.98 billion in the November quarter, compared to $3.2 billion in the year-ago quarter. Organic net sales decreased 3% year-over-year during the quarter. Sales were in line with Wall Street’s expectations.

Net income, adjusted for special items, dropped to $0.45 per share in Q2 from $0.70 per share in the year-ago quarter. On an unadjusted basis, the company reported a net loss of $663.6 million or $1.39 per share for the second quarter, compared to a profit of $284.5 million or $0.59 per share in the same period of 2025.

For fiscal 2026, the management expects organic net sales to be down 1% to up 1% compared to fiscal 2025. Full-year adjusted operating margin is expected to be between 11.0% and 11.5%. It is looking for adjusted earnings per share in the range of $1.70 to $1.85 for 2026.

Commenting on the results, Conagra’s CEO Sean Connolly said, “ While we continued to navigate a challenging consumer environment in the second quarter, I am pleased with the continued underlying momentum we are seeing across the business. As we look ahead to the second half, we are well-positioned to return to organic net sales growth supported by a robust innovation pipeline, increased merchandising and A&P investment, and a resilient supply chain.”