The Campbell's Company (CPB)

The Campbell's Company reported fourth-quarter fiscal 2026 results on September 3, 2026, with net sales down 8% to $2.1 billion and down 1% on an organic basis 1.

For the full year, net sales fell 5% to $9.7 billion, and adjusted earnings per share, profit per share before one-off items, fell 27% to $2.17 1.

The company blamed top-line softness and inflation-driven margin pressure, and chief executive Mick Beekhuizen said performance is not where it needs to be 1.

The board cut the quarterly dividend by 36% to $0.25 a share from $0.39, to speed up debt reduction 1. Food Dive reported that the company is closing two snack plants and cut 13% of its salaried workforce 3.

Snacks is the open question: its organic net sales fell 6% in the quarter, and the company guides fiscal 2027 net sales down 2% to 4% 1.

On October 1, 2026, it priced $300 million of notes due in 2057 5.

Campbell's traces its food business to 1869 and was organized as a New Jersey corporation on November 23, 1922 2.

On March 26, 2018, it completed the acquisition of Snyder's-Lance, whose pretzel and chip brands now sit in the Snacks segment 2.

Cost cutting was a constant theme: the company began cost programs in 2015 and said it had generated about $950 million of pre-tax savings when the multi-year effort was substantially complete on July 28, 2024 2.

On March 12, 2024, it completed the purchase of Sovos Brands, which brought the Rao's line of sauces, pasta and frozen foods, for total consideration of $2.899 billion 2.

It then pruned the portfolio, selling the Pop Secret popcorn business on August 26, 2024 and the noosa yoghurt business on February 24, 2025 2.

Net sales were $10.3 billion in fiscal 2025, a year with an extra week, and fell to $9.744 billion in fiscal 2026 12.

The company tied the fiscal 2026 decline mainly to unfavorable volume/mix, meaning fewer units sold and a different product blend, a 2-point effect from the extra week the year before, and the divestitures 2.

Gross profit as a share of sales fell to 28.1% from 30.4%, which the company put down to cost inflation, other supply chain costs and tariffs 2.

Brand write-downs followed: $150 million on the Snyder's of Hanover trademark in 2025, and $117 million on Cape Cod and Kettle Brand in the fourth quarter of 2026 2.

Diluted earnings per share were $1.31 in fiscal 2026, against $2.01 a year earlier 2.

Meals and Beverages

Meals & Beverages sells soup, simple meals and beverages in the U.S. and Canada, including Campbell's soups, Swanson broth, Prego and Pace sauces, V8 juices and Rao's sauces, pasta and frozen entrées 1.

It made $5,928 million of net sales in fiscal 2026 and $943 million of segment operating earnings, which were down 14% 1.

In the fourth quarter its organic net sales rose 3%, helped by an estimated 2-point tailwind from the prior year's software rollout at Sovos Brands 1.

U.S. soup sales fell 8% in the quarter, mainly because the prior year had an extra week 1.

Snacks

Snacks sells Pepperidge Farm cookies, crackers and bread, Goldfish crackers, Snyder's of Hanover pretzels, Lance sandwich crackers, Cape Cod and Kettle Brand chips and Late July snacks in the U.S. 1.

It made $3,816 million of net sales in fiscal 2026 and $386 million of segment operating earnings, which were down 28% 1.

Its fourth-quarter organic net sales fell 6%, which the company put down mainly to its salty portfolio and to third-party partner brands and contract manufacturing 1.

Food Dive reported that chip sales fell 9.4%, largely on Cape Cod and Kettle Brand, as the segment faces heightened competition 3.

Beginning in fiscal 2027, the Pepperidge Farm frozen business moves into Meals & Beverages 2.

Customers and rivals

Walmart and its affiliates accounted for about 22% of net sales in fiscal 2026, and the five largest customers for about 48% 2.

The annual report names no rivals, saying competition comes from producers of private label products and other branded food and beverage makers, and that private label is generally sold at lower prices 2.

Plants, people and problems

The principal plants include Napoleon, Ohio and Stockton, California for Meals & Beverages and Hanover, Pennsylvania for Snacks, all owned except the leased Austin, Texas plant 2.

The company had approximately 13,500 full-time and part-time employees on August 2, 2026 2.

Mick Beekhuizen is President and Chief Executive Officer, Todd Cunfer, formerly finance chief of Freshpet, is Chief Financial Officer, and Mohit Anand, who comes from Mars, is President of Snacks 2.

In March 2024 the Justice Department, for the Environmental Protection Agency, and environmental groups sued over discharges from the Napoleon, Ohio wastewater plant above its permit limits 2. The company is in settlement talks 2.

Total debt maturing within one year was $977 million at August 2, 2026, including $500 million of senior notes due in March 2027 2.

The umbrella, in words

The annual report names Campbell's, Cape Cod, Chunky, Goldfish, Kettle Brand, Lance, Late July, Milano, Pace, Pacific Foods, Pepperidge Farm, Prego, Rao's, Snack Factory, Snyder's of Hanover, SpaghettiOs, Swanson and V8 as principal brands 2.

Its subsidiaries exhibit lists, among others, Pepperidge Farm, Incorporated, Snyder's-Lance, Inc. and Pacific Foods of Oregon, LLC, and says the list is not complete 8.

It owns 49% of La Regina, the maker of all of its Rao's tomato-based pasta sauces, bought on May 4, 2026 for $146 million in cash 2.

The other 51% is subject to a call option granted to the company and a put option granted to La Regina 2.

The company's results release says La Regina's financials are fully consolidated into its results 1.

The Mary Alice Dorrance Malone Revocable Trust, with Catherine D. Malone as trustee, reported owning 10.23% of the common stock in its latest Schedule 13G 6, and BlackRock reported 9.1% in its latest Schedule 13G/A 7.

For fiscal 2027 the company guides net sales down 2% to 4%, adjusted EBIT, operating profit before one-off items, down 7% to 12%, and adjusted earnings per share of $1.65 to $1.80 1.

It says the guidance does not assume new tariffs or changes to existing tariff rates 1.

A new program starting in fiscal 2027 targets $500 million of cost savings by fiscal 2030, alongside the earlier $375 million program, which had delivered about $225 million 1.

The annual report puts the cost of actions identified so far at about $90 million, nearly all through 2030 2.

The company expects about $300 million of capital spending in fiscal 2027, including about $50 million for upgrades to its Napoleon, Ohio wastewater facility 2.

The frozen bakery business moves from Snacks to Meals & Beverages, and quarterly segment results will be restated to match 1.

The company expects to repay or refinance $500 million of senior notes due in March 2027 2.

The second La Regina payment of $140 million is due on May 4, 2027, payable in cash or unregistered shares at the company's discretion 2.

Shareholders meet by webcast on November 17, 2026 to elect 12 directors, ratify PricewaterhouseCoopers LLP as auditor and vote on pay, an amended incentive plan and a shareholder proposal on regenerative agriculture 4.