LAST UPDATE 14:56
Campbell Soup reported lower-than-expected quarterly earnings, indicating that demand for its sauces and broths is slowing due to the pandemic.
Net sales fell to $ 2.21 billion in the second quarter ended Jan. 30, from $ 2.28 billion a year ago.
Analysts had expected revenue of $ 2.24 billion.
Net income was $ 212 million, or 70 cents a share, down from $ 254 million, or 80 cents a year, a year earlier.
Adjusted earnings per share stood at 69 cents, respectively, according to estimates.
Sales of $ 2.209 billion fell from $ 2.279 billion. Dollars a year ago, and was lower than estimated at $ 2.241 billion.
“As expected, our second quarter was difficult as we fell into a very difficult comparison and had to deal with labor market and supply constraints, which were made even worse by Omicron,” said the CEO.
He adds, however, that as we move into the second half of the year, we see workforce availability and service levels improving, while strong demand levels support confidence in achieving the goals.
For the full year, the company continues to expect net sales that could fall as much as 2%, organic net sales fall 1% to rise 1%, and adjusted earnings per share to $ 2.75-2.85.
Convergent estimates point to $ 8.404 billion in sales, suggesting a drop of 0m8%, and earnings per share to $ 2.79.
Source: Capital
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