NASDAQ$CPB

Campbell Soup Co · Q2 2020 earnings

Q2 2020 earnings · · Investor relations

Briefing

Delivered a high-quality quarter with organic sales, and adjusted gross margin, EBIT and earnings, growing in-line with or above expectations and successfully deleveraged in the quarter, resulting in a much-improved leverage ratio.

Campbell Soup Company reported its second-quarter results for fiscal 2020 with net sales comparable to the prior year and a 1% increase in organic net sales. The company raised its fiscal 2020 adjusted EPS guidance range to $2.55 - $2.60.

  • Campbell Raises Fiscal 2020 Adjusted Earnings Per Share (EPS) Guidance Range to $2.55 - $2.60
  • Net Sales were Comparable to Prior Year; Organic Net Sales Increased 1%
  • EPS from Continuing Operations of $0.56 Decreased 3% Primarily Reflecting Loss on Extinguishment of Debt; Adjusted EPS of $0.72 Increased 11%
  • Significant Reduction in Debt Levels Compared to Prior Year Following Successful Completion of Previously Announced Divestiture Plan

Headline financials

Total Revenue

$2.16B

Previous: $2.71B-20.3%
EPS (adj)

$0.72

Previous: $0.77-6.5%
Organic Net Sales Change

1.0%

No prior period
Gross Margin

34.3%

No prior period
Capital Expenditures

-$167M

Previous: -$198M+15.7%
Free Cash Flow

$1.04B

Previous: -$257M+505.1%
Net Income

$1.21B

Previous: -$59M+2147.5%
Operating Income

$350M

Previous: $19M+1742.1%
Gross Profit

$742M

Previous: $714M+3.9%
Cash & Equivalents

$58M

Previous: $203M-71.4%
Total Assets

$11.7B

Previous: $14B-16.9%
Stock-Based Comp

$19M

Previous: $17M+11.8%

Revenue & EPS history

Campbell Soup · Revenue · Quarterly

$2.16B

Q2 2020-20.3%vs Q2 2019
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Revenue by segment

Campbell Soup · $2.16B total across 2 segments · Q2 2020

  • Meals & Beverages
    $1.22B
  • Snacks
    $938M

Forward guidance

Campbell now expects adjusted EPS to be in the range of $2.55 to $2.60 per share, reflecting lower adjusted net interest expense due to reduced debt and EBIT momentum through the first half, which will be partly offset by incremental investments in the business in the second half of the year.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q2 2020

Historical avgQ2 2020

-0.9%

Avg return

Earnings day

-1.0%

Avg return

5 days after

-1.2%

Avg return

30 days after

38%

27 / 72 earnings

Positive

+12.9%

Q3 2019

Best reaction

-14.4%

Q3 2018

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2026-2.0%+5.1%
Q2 2026-7.0%-13.3%-17.2%
Q1 2026-5.2%-4.3%-11.9%
Q4 2025+7.3%+7.8%+1.6%
Q3 2025-2.0%-5.3%-8.3%
Q2 2025-2.9%+4.2%-3.8%
Q1 2025-7.7%-7.6%-9.1%
Q4 2024-0.9%+2.4%-1.6%
Q3 2024-1.5%-3.9%+2.1%
Q2 2024-2.0%+0.1%+0.8%
Q1 2024+7.6%+8.6%+8.0%
Q4 2023-2.6%-1.8%-2.1%
Q3 2023-7.6%-9.1%-10.0%
Q2 2023+0.4%+2.2%+6.4%
Q1 2023+7.7%+7.4%+7.6%
Q4 2022-2.5%-3.1%-6.5%
Q3 2022+0.9%-1.6%+4.2%
Q2 2022-1.0%+1.2%+7.5%
Q1 2022+2.6%+6.2%+11.5%
Q4 2021+2.6%+3.2%-0.5%
Q3 2021-6.9%-6.7%-7.1%
Q2 2021+1.1%+1.4%+2.4%
Q1 2021-2.0%-3.2%-2.9%
Q4 2020-9.3%-13.8%-6.9%
Q3 2020-6.2%-4.1%-5.2%
Q2 2020+10.9%+4.8%+3.4%
Q1 2020+0.1%+1.4%+1.8%
Q4 2019+4.9%+4.1%+8.2%
Q3 2019+12.9%+10.2%+9.1%
Q2 2019+9.5%+9.4%+15.9%
Q1 2019+2.8%+5.4%-2.0%
Q4 2018-1.4%-0.8%-8.4%
Q3 2018-14.4%-12.6%-5.4%
Q2 2018-3.4%-10.1%-8.6%
Q1 2018-6.3%-7.8%-2.5%
Q4 2017-9.7%-7.1%-6.8%
Q3 2017+1.0%+2.5%-3.3%
Q2 2017-5.8%-5.4%-5.4%
Q1 2017+3.2%+4.5%+9.4%
Q4 2016-4.9%-5.0%-9.9%
Q3 2016-6.4%-5.2%-2.4%
Q2 2016+2.4%
Q1 2016+5.5%
Q4 2015+0.4%
Q3 2015+1.7%
Q2 2015-1.6%
Q1 2015-0.3%
Q4 2014-3.0%
Q3 2014-2.4%
Q2 2014+5.6%
Q1 2014-7.7%
Q4 2013-3.4%
Q3 2013-3.3%
Q2 2013+3.3%
Q1 2013-1.4%
Q4 2012-1.2%
Q3 2012-2.2%
Q2 2012+3.1%
Q1 2012-7.0%
Q4 2011-0.3%
Q3 2011+0.1%
Q2 2011+1.6%
Q1 2011-0.1%
Q4 2008-1.9%
Q4 2010-1.9%
Q3 2009-0.3%
Q3 2010-0.3%
Q2 2009+0.6%
Q2 2010+0.6%
Q1 2009-0.7%
Q4 2009-0.7%
Q1 2010-0.7%

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