Campbell Soup Raises 2020 Forecasts After Beating Estimates As People Stockpile
The Prego pasta sauce maker now expects fiscal 2020 adjusted earnings per share to be between $2.87 and $2.92, compared with its prior range of $2.55 to $2.60.
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Campbell Soup Co raised its full-year profit and sales forecast on Wednesday after beating expectations for third-quarter results as consumers stocked up on soup, pasta sauces and salsa while they stayed at home during the pandemic.
Shares of the company, which have risen 5% this year, were up 3% in pre-market trading.
Demand for packaged foods saw a surge during the lockdowns, as shuttered restaurants and limited take-away options forced people into stocking up more food options at home.
The Prego pasta sauce maker now expects fiscal 2020 adjusted earnings per share to be between $2.87 and $2.92, compared with its prior range of $2.55 to $2.60.
The company also said it expected its fiscal 2020 net sales growth to be between 5.5% and 6.5%. It had previously forecast a decline of 1% to a growth of 1%.
Net sales rose about 15% to $2.24 billion in the third quarter, ended April 26, beating estimates of $2.22 billion, driven by higher demand for Prego pasta sauces, V8 beverages and Pepperidge Farm cookies.
Excluding one-time items, the company earned 83 cents per share, compared with analysts' average expectation of profit of 75 cents per share, according to IBES data from Refinitiv.
(Reuters)