Campbell Soup
Campbell Soup Company (NYSE: CPB), which makes soups and snacks, recorded an 18% growth in net sales during the fourth quarter of 2020 along with a 50% increase in adjusted EPS. The company reported double-digit sales increases in both its segments. Campbell also increased household penetration across most of its key brands helped by more at-home meals and quick scratch cooking.
The Meals & Beverages segment saw a 28% growth in sales, reflecting gains in soups, beverages, pasta and sauces. Total soup sales rose 52%, with gains in condensed, ready-to-serve and broth. Soup household penetration increased 5% year-over-year. The Snacks segment witnessed an 11% growth in sales driven by strength in bakery products, cookies, crackers, pretzels, potato chips and other snacks.
For the first quarter of 2021, Campbell expects net sales to grow 5-7% and adjusted EPS to increase 13-18%.
General Mills
General Mills (NYSE: GIS), a producer of breakfast cereals and baking goods, witnessed a 9% increase in net sales and a 27% growth in adjusted EPS for the first quarter of 2021. The company delivered growth across all its segments except for the Convenience Stores & Foodservice division, which was hurt by the pandemic.
Around 85% of the company’s net sales come from at-home food while away-from-home food makes up the remaining 15%. During the quarter, General Mills delivered growth in meals and baking, cereal, Mexican Food, Haagen-Dazs ice cream, Yoki meals and snacks, seasoning products and dumplings across its geographic divisions.
General Mills expects at-home food demand to remain high in the second quarter of 2021 versus pre-pandemic levels.
Conagra Brands
Packaged foods company Conagra Brands Inc. (NYSE: CAG) delivered a 12% growth in net sales along with a 63% increase in adjusted EPS for the first quarter of 2021. Organic sales grew 15% and revenues increased across all segments barring Foodservice.
Retail sales rose nearly 13% driven by double-digit growth in snacks, staples and frozen. The frozen category grew 13.5% with double-digit increases in single-serve and multi-serve meals as well as plant-based meat alternatives. Snacks grew 14.6% in the quarter while in staples, retail sales increased 11.6% year-over-year.
For the second quarter of 2021, Conagra expects organic sales growth of 6-8% and adjusted EPS of $0.70-0.74.
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