Food and beverage major Campbell's Co. (CPB) reported Tuesday lower earnings in its first quarter with weak net sales. Adjusted earnings and top line, however, beat market estimates. Further, the firm maintained fiscal 2026 outlook.
In addition, Campbell's said it has entered into definitive agreements to acquire a 49 percent interest in Italy -based La Regina, the privately held producer of Rao's tomato-based pasta sauces, for total consideration of $286 million.
In pre-market activity on the Nasdaq, the shares were trading at $29.97, down 0.23 percent.
Total consideration for the stake in La Regina di San Marzano di Antonio Romano S.p.A. and La Regina Atlantica, LLC will be paid in two tranches.
The company expects the deal to close in the second half of fiscal 2026, and to be neutral to the reaffirmed guidance for fiscal 2026 adjusted earnings per share.
For fiscal 2026, Campbell's continues to expect adjusted earnings per share of $2.40 to $2.55, representing a drop of 12 percent to 18 percent from last year's $2.91 per share.
The Wall Street analysts on average expect the company to report earnings of $2.45 per share. Analysts' estimates typically exclude special items.
Adjusted EBIT is still projected to decline 9 percent to 13 percent from prior year's $1.46 billion, and organic net sales are still expected to be between a decline of 1 percent and a growth of 1 percent from last year's $9.98 billion.
The company noted that the fiscal 2026 guidance ranges are based on the exclusion of the additional week in fiscal 2025, which represented approximately 2 percent to net sales, 2 percent to adjusted EBIT and $0.06 to adjusted earnings per share.
In the first quarter, the company's net earnings totaled $194 million or $0.65 per share, lower than $218 million or $0.72 per share last year.
Adjusted earnings were $230 million or $0.77 per share for the period, compared to $267 million or $0.89 per share a year ago. Analysts expected earnings of $0.73 per share for the quarter.
Adjusted EBIT decreased 11 percent to $383 million primarily due to lower adjusted gross profit, partially offset by lower adjusted administrative expenses and lower adjusted marketing and selling expenses.
The company's net sales for the period fell 3.4 percent to $2.68 billion from $2.77 billion last year. The Street was looking for net sales of $2.66 billion for the quarter.
Net sales decreased 1 percent on an organic basis primarily driven by lower volume/mix, partially offset by favorable net price realization.
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June 19, 2026 16:46 ET Major central banks continued to dominate the economic news flow this week too, led by the Federal Reserve, as they announced their latest policy decisions. The Federal Reserve policy session was in focus as it was the first to be led by the new chief Kevin Warsh. In Europe, central banks of the U.K. and Switzerland announced their rate decisions. In Asia, the Bank of Japan drew attention for its policy moves, while data out of China threw some light on the state of the economy.