Campbell Soup Targets Up To 3% Organic Sales Growth In 2027 And Major Rebrand To 'The Campbell's Company'

Author: Nabaparna Bhattacharya | September 10, 2024 01:58pm

Campbell Soup Company (NASDAQ:CPB) announced a bold long-term growth plan during its Investor Day at Nasdaq MarketSite in New York City.

The company’s new strategy aims for significant expansion, targeting organic net sales growth of 2%-3%, adjusted EBIT growth of 4-6%, and adjusted EPS growth of 7%-9% through fiscal 2027. This ambitious plan includes a $250 million cost-saving initiative designed to enhance margins and reinvest in the business.

Since 2019, Campbell has made notable progress, refining its portfolio with key acquisitions such as Sovos Brands, improving operational efficiencies, and delivering strong financial results.

President and CEO Mark Clouse highlighted the company’s readiness to enter a new era, aiming to set industry standards with a revamped strategy and potential rebranding to “The Campbell’s Company,” subject to shareholder approval.

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The company’s Snacks division is set to drive growth through innovation and a strengthened distribution model, while the Meals & Beverages division will focus on quality and value, leveraging the new acquisition to boost its portfolio.

CFO Carrie Anderson emphasized that Campbell’s internal cash flow generation will support its growth and shareholder value creation efforts.

Price Action: CPB shares are trading lower by 0.16% to $51.66 at last check Tuesday.

Photo via Wikimedia Commons

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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

Posted In: CPB