Campbell Soup Company has recently released its 10-K report, providing an in-depth look into its financial performance and operations. The company, founded in 1869 and headquartered in Camden, New Jersey, operates through its Meals & Beverages and Snacks segments. The Meals & Beverages segment offers a variety of soups, sauces, beverages, and other products, while the Snacks segment includes popular brands like Pepperidge Farm cookies, Goldfish crackers, and Kettle Brand potato chips. Campbell Soup sells its products through various retail channels, including e-commerce and other retail establishments.
In the 10-K report, Campbell Soup discusses its strategic initiatives for 2024, emphasizing its focus on driving growth in its North American divisions and delivering on the promise of connecting people through the food they love. The company's strategic framework is based on five key areas: Top Team, Best Portfolio, Top-Tier Performance, Winning Execution, and Lasting Impact.
The report also highlights the business trends that are influencing Campbell Soup's operations, including cost inflation, evolving consumer preferences for snacking and convenience, and a competitive retail environment. It discusses how the company plans to capture these trends by leveraging its advantaged portfolio of brands and focusing on sustainable and community goals.
One of the significant events mentioned in the report is the acquisition of Sovos Brands, Inc., which contributed to the growth of Campbell Soup's Meals & Beverages segment. Additionally, the company completed the sale of its Pop Secret popcorn business and transitioned its stock exchange listing to The Nasdaq Stock Market LLC.
In terms of financial performance, Campbell Soup reported a 3% increase in net sales to $9.636 billion in 2024, primarily driven by the acquisition of Sovos Brands and favorable net price realization. However, the gross profit margin decreased to 30.8% from 31.2% in the previous year, mainly due to higher cost inflation and other supply chain costs.
Earnings per share for 2024 were $1.89, compared to $2.85 in the prior year. The decrease was attributed to various expenses impacting comparability, including costs associated with cost savings and optimization initiatives, actuarial losses on pension and postretirement plans, and expenses related to the acquisition of Sovos Brands.
Today the company's shares have moved -0.9% to a price of $51.08. For more information, read the company's full 10-K submission here.
