NASDAQ$CPB

Campbell Soup Co · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

Second quarter results were impacted by industry-wide inflation and supply constraints, while full-year guidance was reaffirmed.

Campbell Soup Company reported a 3% decrease in net sales and a 2% decrease in organic net sales for the second quarter of fiscal 2022. Adjusted EPS decreased by 16% to $0.69 due to industry-wide inflation and supply constraints. The company reaffirmed its full-year guidance, expecting improved financial performance in the second half of the year.

  • Earnings Per Share (EPS) from Continuing Operations were $0.70.
  • Adjusted EPS decreased 16% to $0.69 due to industry-wide inflation and supply constraints.
  • Net Sales decreased 3%; Organic Net Sales decreased 2%.
  • Full-year guidance reaffirmed.

Headline financials

Total Revenue

$2.21B

Previous: $2.28B-3.1%
EPS (adj)

$0.69

Previous: $0.84-17.9%
Organic Net Sales Change

-2.0%

No prior period
Capital Expenditures

-$129M

Previous: -$132M+2.3%
Free Cash Flow

$83M

Previous: $113M-26.5%
Net Income

$212M

Previous: $245M-13.5%
Operating Income

$323M

Previous: $401M-19.5%
Gross Profit

$669M

Previous: $783M-14.6%
Cash & Equivalents

$357M

Previous: $946M-62.3%
Total Assets

$12B

Previous: $12.5B-4.1%
Stock-Based Comp

$17M

Previous: $18M-5.6%

Revenue & EPS history

Campbell Soup · Revenue · Quarterly

$2.21B

Q2 2022-3.1%vs Q2 2021
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Revenue by segment

Campbell Soup · $2.21B total across 2 segments · Q2 2022

  • Meals & Beverages
    $1.28B-1.9%
  • Snacks
    $934M-4.6%

Forward guidance

Campbell continues to expect full-year fiscal 2022 net sales, adjusted EBIT and adjusted EPS performance to be consistent with its guidance provided on December 8, 2021.

Tailwinds

  • Expected continued strong demand for the balance of the year
  • Steady supply recovery
  • Improved service levels particularly in the fourth quarter as labor recovers
  • Wave two pricing will be fully reflected in the third quarter
  • Company expects to continue managing inflationary headwinds through pricing, supply chain productivity improvements and cost savings initiatives

Headwinds

  • Core inflation is now expected to be low double-digits for the full year
  • Impacts of, and associated responses to, the COVID-19 pandemic on our business, suppliers, customers, consumers and employees
  • The company’s ability to execute on and realize the expected benefits from its strategy, including growing sales in snacks and growing/maintaining its market share position in soup
  • The impact of strong competitive responses to the company’s efforts to leverage its brand power with product innovation, promotional programs and new advertising
  • The risks associated with trade and consumer acceptance of product improvements, shelving initiatives, new products and pricing and promotional strategies

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 2022

Historical avgQ2 2022

-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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