Campbell Soup Company (CPB) reported a 15% increase in sales to $2.12 billion for the third quarter of 2018, helped by the acquisitions of Snyder’s-Lance and Pacific Foods. The company reported a net loss of $393 million or $1.31 per share for the quarter, compared to a net income of $176 million or $0.58 per share in the same period last year. Adjusted EPS increased 19% to $0.70, beating market estimates.
In the Americas Simple Meals and Beverages segment, sales increased 5% to $1 billion, aided by benefits from the Pacific Foods acquisition. In Global Biscuit and Snacks, sales grew 35% to $862 million. In Campbell Fresh, sales improved 1% to $251 million.
Campbell Soup revised its guidance for fiscal year 2018 due to expenses associated with the Snyder’s-Lance acquisition. Net sales for the year are expected to grow 10% to 11%. Adjusted EPS is now expected to be $2.85 to $2.90, down 5% to 6%.
Campbell’s CEO Denise Morrison announced that she will depart from the company without providing any reason for her decision. Morrison will be replaced by board member Keith McLoughlin who will act as interim CEO.
Shares dropped around 3% premarket following the news of the CEO’s exit and the slashed EPS guidance.
Under Morrison, the company tried to revive its soups business and attempted to expand into the snacks space through the purchase of Snyder’s-Lance. Campbell has been facing extensive competition as well as pressure on sales as consumer preferences shift more towards healthier options. Following the departure of its CEO, the company is planning to undertake a strategic review.
Most Popular
Yum! Brands (YUM) Q3 2024 Earnings: Key financials and quarterly highlights
Yum! Brands, Inc. (NYSE: YUM) reported its third quarter 2024 earnings results today. Total revenues grew 7% year-over-year to $1.82 billion. Net income decreased 8% to $382 million, or $1.35
Earnings Preview: Home Depot’s Q3 report likely to reflect weak consumer demand
The US housing industry has been mostly resilient to headwinds like economic uncertainties so far this year. However, housing activity cooled in recent months as high mortgage rates and inflation
Take-Two Interactive (TTWO) will report Q2 2025 earnings this week, a few points to note
Shares of Take-Two Interactive Software, Inc. (NASDAQ: TTWO) stayed red on Monday. The stock has gained 16% over the past three months. The gaming company is set to report its second