===Sovos Brands (SOVO) to be acquired by Campbell Soup (CPB) for $2.7 billion or $23 per

 

(Reuters) U.S. packaged food maker Campbell Soup will buy Michael Angelo's and Rao's owner Sovos Brands for $2.33 billion in cash, the company said on Monday, beefing up its meals and beverages business with the maker of premium Italian sauces.

Campbell will pay $23 per share for Sovos, a nearly 28% premium to the stock's last close.

The global food and beverage industry has been a relatively bright spot for deal-making in recent quarters. Last month, Unilever said it would buy frozen yogurt brand Yasso in North America while Mars Inc agreed to buy Kevin's Natural Foods.

In May, Campbell Soup sold Emerald Nuts to Flagstone Foods for an undisclosed amount.

Campbell's meals and beverages division includes its ready-to-serve soups, tomato juice, gravies, and dinner sauces that are sold in the U.S. and Canada, and was its top revenue generator in 2022, according to its annual report.

The global food and beverage industry has been a relatively bright spot for deal-making in recent quarters. Last month, Unilever said it would buy frozen yogurt brand Yasso in North America while Mars Inc agreed to buy Kevin's Natural Foods.

In May, Campbell Soup sold Emerald Nuts to Flagstone Foods for an undisclosed amount.

Campbell's meals and beverages division includes its ready-to-serve soups, tomato juice, gravies, and dinner sauces that are sold in the U.S. and Canada, and was its top revenue generator in 2022, according to its annual report.

Campbell Soup Co. (CPB) reported earnings on Wed 7 Dec 22 (b/o)

** charts after earnings ** 

  

Campbell Soup beats by $0.15, beats on revs; raises FY23 guidance 

• Reports Q1 (Oct) earnings of $1.02 per share, excluding non-recurring items, $0.15 better than the S&P Capital IQ Consensus of $0.87; revenues rose 15.2% year/year to $2.58 bln vs the $2.44 bln S&P Capital IQ Consensus.
• As reported EBIT increased to $436 million from $376 million in the prior year. Excluding items impacting comparability, adjusted EBIT increased 15% compared to the prior year to $449 million primarily due to higher adjusted gross profit, partially offset by higher marketing and selling expenses and higher adjusted other expenses.
• Co issues raised guidance for FY23, sees EPS of $2.90-3.00 from $2.85-2.95, excluding non-recurring items, vs. $2.91 S&P Capital IQ Consensus; sees FY23 revs of +7-9% yr/yr from +4-6% yr/yr to $9.19-9.33 bln vs. $9 bln S&P Capital IQ Consensus.

Earnings this week : Dec 5 - 9, 22 (wk 49)

Monday (Dec 5)

• Morning:  SAIC
• Afternoon: GTLB   SUMO

Tuesday (Dec 6)

• Morning: AZO CONN BASE SIG
• Afternoon:  AVAV CASY PLAY GWRE MDB S SWBI CXM SFIX TOL ZUO

Wednesday (Dec 7)

• Morning:  ASO BF.B  CPB LOVE OLLI THO UNFI
• Afternoon:  AI DSGX GME GEF HCP OXM SPWH VRNT

Thursday (Dec 8)

• Morning: CIEN GMS MOMO KFY MANU
• Afternoon:  AVGO CHWY COO COST DOCU DOMO LULU PHR RH CURV MTN

Friday (Dec 9)  

• Morning:  LI

 

Campbell Soup Co. (CPB) reported earnings on Wed 3 June 20 (b/o)

** charts after earnings **

 

Campbell Soup beats by $0.29, misses on revs; raises FY20 guidance

Reports Q3 (Apr) earnings of $0.83 per share, excluding non-recurring items, $0.29 better than the S&P Capital IQ Consensus of $0.54; revenues rose 14.6% year/year to $2.24 bln vs the $2.26 bln S&P Capital IQ Consensus.

In the third quarter of fiscal 2020, Campbell achieved $30 million in savings under its multi-year cost savings program, inclusive of Snyder's-Lance synergies, bringing total program-to-date savings to $680 million. Year-to-date savings were $120 million through the first nine months of fiscal 2020. As previously announced, the company expects to deliver cumulative annualized savings of $850 million by the end of fiscal 2022.

Co issues guidance for FY20, raises EPS to $2.87-2.92 from $2.55-2.60, excluding non-recurring items, vs. $2.89 S&P Capital IQ Consensus; sees FY20 revs of +5.5-6.0% from (1%) to 1% to $8.55-8.63 bln vs. $8.63 bln S&P Capital IQ Consensus.

Earnings this week : June 1 - 5, 20 (wk 23)

 

Monday (June 1)

• Morning: ATHM ERJ HHR
• Afternoon: ENS NGL PUMP

Tuesday (June 2)

• Morning: BZUN CBRL DKS DCI
• Afternoon: AMBA CRWD HQY MDLA ZM

Wednesday (June 3)

• Morning: AEO CPB GOOS CNK VRA
• Afternoon: CHNG CLDR CMTL ESTC GEF GWRE SMAR ZUO

Thursday (June 4)

• Morning: CIEN GIII SJM MIK NAV SCWX TTC
• Afternoon: AVGO CAL COO DOCU DOMO GPS MDB PD NX SAIC WORK SPWH MTN YEXT ZUMZ

Friday (June 5) 

• Morning: TIF

Campbell Soup Co. (CPB) reported earnings on Fri 30 Aug 19 (b/o)

** charts after earnings **

 

Campbell Soup Co. posted a bigger-than-expected profit for its fiscal fourth quarter. The food company said it had a loss of $8 million, or 2 cents a share, in the quarter to July 28, after earnings of $94 million, or 42 cents a share, in the year-earlier period. Adjusted per-share earnings came to 42 cents, a penny ahead of the 41 cents FactSet consensus. Sales rose 2% to $1.780 billion from $1.745 billion. The company said it is treating its Campbell International business as discontinued operations, because it has agreed to sell assets in deals expected to close in the first half of fiscal 2020. Including sales from that business, it would have reported sales of $2.024 billion. The FactSet consensus was for sales of $1.978 billion. The company said it sill expects fiscal 2020 sales to grow 1% to 3% and for adjusted EPS to grow 9% to 11%. Shares have gained 31.3% in 2019, while the S&P 500 (SPX), has gained 16.6%.

Earnings this week : Aug 26 - 30, 19 (wk 35)

Notable earnings reports:

• Autodesk (NASDAQ:ADSK), J.M. Smucker (NYSE:SJM) and Hewlett Packard Enterprise (NYSE:HPE) on August 27; 
• Box (NYSE:BOX), Five Below (NASDAQ:FIVE), Tiffany (NYSE:TIF), Williams-Sonoma (NYSE:WSM) and H&R Block (NYSE:HRB) on August 28; 
• Abercrombie & Fitch (NYSE:ANF), Best Buy (NYSE:BBY), Dell Technologies (NYSE:DELL), Dollar General (NYSE:DG), Workday (NASDAQ:WDAY), Marvell Technologies (NASDAQ:MRVL) and Dollar Tree (NASDAQ:DLTR) on August 29; 
• Campbell Soup (NYSE:CPB) and JinkoSolar (NYSE:JKS) on August 30.

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• Tue 8/27 afternoon: ADSK HEI HPE LCI OOMA PAHC PSEC VEEV
• Wed 8/28 morning: BF.B CHS COTY DAKT DY EXPR MOV TIF
• Wed 8/28 afternoon: BOX ESTC FIVE GEF GES HRB MTRX NTNX OKTA OLLI PVH SCVL SMTC SPWH TLYS WSM ZUO
• ---
• Thur 8/29 morning: ANF BBY BURL DBI DG DLTR GMS HAIN MBUU MEI PDCO SAFM SY TD TECD TITN
• Thur 8/29 afternoon: AMBA AOBC COO DELL MRVL ULTA WDAY YEXT
• ------
• Fri 8/30 afternoon: BIG CPB JKS LX

Campbell Soup Co. (CPB) reported earnings on Wed 5 June 19 (b/o)

** charts after earnings **

 

(Bloomberg) -- Campbell Soup Co. reported sales growth on the strength of its snack brands, marking another positive quarter for the food company. The results help alleviate pressure on Chief Executive Officer Mark Clouse, who stepped into the role in January and is overseeing the company’s turnaround bid. The shares rose in early trading.

Profit, when excluding some items, was 56 cents a share -- abovethe median of estimates compiled by Bloomberg. Adjusted gross margin of 33.4% was also above analyst projections. Clouse said that “profitability trends are improving.”

Key Insights

Campbell is overhauling its business structure, in accordance with a plan it laid out last August to focus on soups and snacks and divest itself of its fresh and international business. It’s also cutting costs, and the company says it has trimmed $605 million of expenses since the program began. One of Clouse’s major tests is the integration of Snyder’s Lance, maker of Cape Cod and Kettle potato chips. The early results are positive: The division, which also includes the Pepperidge Farm brand, saw sales expand in the period. Soups have been a challenge for Campbell. As consumers move away from processed foods, condensed soups are sitting longer on supermarket shelves. While improvements are still needed, Clouse said there have been “steady improvements on gross margin and profit and this business is showing signs of stabilizaton.”

Earnings this week : June 3 - 7, 19 (wk 23)

Monday (June 3)

• Afternoon: BOX CAL COUP GSM

Tuesday (June 4)

• Morning: CBRL CMD DCI LE NAV TIF
• Afternoon: AMBA CRM GME GWRE HQY NX PVTL

Wednesday (June 5)

• Morning: AEO BF.B CPB GIII SCWX VRA
• Afternoon: ABM CLDR ESTC FIVE GEF MDB REVG SMAR SFIX UNFI

Thursday (June 6)

• Morning: CIEN HOME KIRK MIK SAIC SIG SJM
• Afternoon: BYND DOCU DOMO GES OLLI PD PRSP MTN ZM ZUMZ

Friday (June 7) 
None

• Monday: May ISM Manufacturing Index (prior 52.8) and April Construction Spending (prior -0.9%) at 10:00 ET
• Tuesday: April Factory Orders (prior 1.9%) at 10:00 ET
• Wednesday: Weekly MBA Mortgage Index (prior -3.3%) at 7:00 ET; May ADP Employment Change (prior 275,000) at 8:15 ET; May ISM Non-Manufacturing Index (prior 55.5) at 10:00 ET; weekly crude oil inventories (prior -300,000) at 10:30 ET; and Fed's June Beige Book at 14:00 ET
• Thursday: Weekly Initial Claims (prior 215,000), Continuing Claims (prior 1.657 mln), April Trade Balance (prior -$50.00 bln), Q1 Revised Productivity (prior 3.6%) and Q1 Revised Unit Labor Costs (prior -0.9%) at 8:30 ET; and weekly natural gas inventories (prior +114 bcf) at 10:30 ET
• Friday: May Nonfarm Payrolls (prior 263,000), Nonfarm Private Payrolls (prior 236,000), Average Hourly Earnings (prior 0.2%), Unemployment Rate (prior 3.6%), and Average Workweek (prior 34.4) at 8:30 ET; April Wholesale Inventories (prior -0.1%) at 10:00 ET; and April Consumer Credit (prior $10.30 bln) at 15:00 ET

Long trade : CPB +15% (6/18)

• June 7:  #1, 4, 29, 61;  vol 6.3M
• June 8: #2, 6, 10, 11, 22, 26, 44, 58, 95, 97; vol. 4.4M  -->  +13%

 

****

• Mon 6/26/18: NY Post reports that Kraft (KHC 62.82, -0.39) might be interested in purchasing the company.

Campbell Soup (CPB) reported earnings on Fri 18 May 18 (b/o)

** charts before earnings **

 

** charts after earnings **

 

Campbell Soup beats by $0.10, reports revs in-line; adjusts FY18 guidance to reflect Snyder's-Lance acquisition 

• Reports Q3 (Apr) earnings of $0.70 per share, excluding non-recurring items, $0.10 better than the Capital IQ Consensus of $0.60; revenues rose 14.7% year/year to $2.13 bln vs the $2.13 bln Capital IQ Consensus.
• Organic sales were comparable to the prior year as gains in Global Biscuits and Snacks and Campbell Fresh were offset by declines in Americas Simple Meals and Beverages.
• Based on the company's current outlook for fiscal 2018, including the impact of the Snyder's-Lance acquisition, Campbell has revised its fiscal 2018 guidance. Co issues guidancefor FY18, sees EPS decline of 6-5% versus a decline of 3-1% prior to $2.85-2.90, excluding non-recurring items, vs. $3.12 Capital IQ Consensus Estimate; raises FY18 revs of +10-12% from +0.1% to ~$8.68-8.84 bln vs. $8.76 bln Capital IQ Consensus Estimate.

Campbell Soup CEO Denise M. Morrison to retire effective today 
Keith R. McLoughlin, a Campbell Board member since 2016, has been named interim CEO and will also remain a member of the Board to facilitate an orderly transition in management while recently elevated Chief Operating Officer Luca Mignini focuses on the integration of newly acquired Snyder's-Lance and Pacific Foods and stabilizing the company's U.S. soup business.

Campbell Soup (CPB) reported earnings on Fri 16 Feb 2018 (b/o)

** charts before earnings **

 

 ** charts after earnings **

Campbell Soup beats by $0.19, reports revs in-line; raises FY18 EPS above consensus due to tax reform; increases cost savings target 

• Reports Q2 (Jan) earnings of $1.00 per share, excluding non-recurring items, $0.19 better thanthe Capital IQ Consensus of $0.81; revenues rose 0.4% year/year to $2.18 bln vs the $2.16 bln Capital IQ Consensus; a 1-point benefit from the acquisition of Pacific Foods and a 1-point favorable impact of currency translation were offset by a 2% decline in organic sales driven primarily by lower volumes. Adjusted gross margin decreased 2.2 percentage points to 35.2 percent. The decrease in adjusted gross margin was driven primarily by cost inflation and higher supply chain costs, as well as unfavorable mix, partly offset by productivity improvements and the benefits from cost savings initiatives.
• "This was a disappointing quarter, driven by continued challenges in U.S. soup and Campbell Fresh. The decline in organic sales was largely due to the performance of Americas Simple Meals and Beverages, where U.S. soup sales decreased by 7 percent based on the key customer issue we discussed last quarter. We are making progress with this customer and expect sales declines in soup to moderate in the second half."
• Co issues guidance for FY18, raises EPS to $3.10-3.17 from $2.95-3.02, excluding non-recurring items, vs. $2.98 Capital IQ Consensus Estimate; sees FY18 revs -1 to +1% to ~$7.81-7.97 bln from +0-2% vs. $7.87 bln Capital IQ Consensus Estimate.
• Based on the success of the program to date and the identification of additional savings opportunities, Campbell has increased the annualized savings target from $450 million to $500 million by the end of fiscal 2020.