SPY439.02-3.62 -0.82%
DIA347.33-1.28 -0.37%
IXIC14,768.85-201.12 -1.34%

Campbell Soup Beats On Q4; Plans $500M Strategic Share Repurchase

Benzinga · 09/01/2021 08:52
  • Campbell Soup Company (NYSE:CPBreported a fourth-quarter FY21 sales decline of 11.2% year-on-year, to $1.87 billion, beating the analyst consensus of $1.81 billion. Organic net sales decreased by 4%.
  • Meals and Beverages sales fell 16% Y/Y, and Snacks sales declined 6%.
  • The gross margin contracted 410 basis points Y/Y to 31.3%.
  • Total costs and expenses fell 24.7% Y/Y to $1.5 billion.
  • Campbell Soup held $69 million in cash and equivalents as of August 1, 2021, versus $859 million as of August 2, 2020.
  • Net cash provided by operating activities totaled $1.03 billion for the whole year.
  • Adjusted EPS of $0.55 beat the analyst consensus of $0.47.
  • Campbell's Board approved a $500 million strategic share repurchase program, replacing the suspended $1.5 billion program.
  • Outlook: Campbell Soup sees FY22 EPS of $2.75 - $2.85 versus the consensus of $2.87.
  • The company expects FY22 sales to decrease by 0-2%.
  • The company expects Q1 to be the most challenging versus elevated sales last year and first-half margins to continue to be impacted by transitional headwinds.
  • Price Action: CPB shares are trading higher by 1.70% at $42.44 in premarket on the last check Wednesday.