Campbell's shares fell 3% in afternoon trading after the company reported a 37% drop in adjusted earnings, missed revenue expectations, and announced a dividend cut. Net sales came in at $2.14 billion, down 8.1% year-over-year, missing Wall Street estimates, while adjusted earnings per share of $0.39 met consensus but fell from $0.62 a year earlier. Adjusted gross margin contracted to 28.6% due to 6% inflation. To accelerate debt reduction, Campbell's reset its quarterly dividend to $0.25 per share, a 36% cut, and initiated a cost-reduction program targeting $500 million in savings by fiscal 2030, while guiding fiscal 2027 net sales to decline 2% to 4%. The stock traded at $21.42, down 3.2% from the previous close.
Campbell’s CoWeak earnings, revenue miss, and dividend cut negatively impact the company.
