The Campbell's Company operates in the highly competitive food and beverage industry, mainly in the North American market, and experiences competition in all of its categories. The company is a manufacturer and marketer of high-quality, branded food and beverage products. Competition arises from numerous competitors of varying sizes across multiple food and beverage categories, including producers of private label products, as well as other branded food and beverage manufacturers. Private label products are generally sold at lower prices than branded products. The principal areas of competition are brand recognition, taste, nutritional value, price, promotion, innovation, shelf space and customer service.

The company's principal areas of competition are brand recognition, taste, nutritional value, price, promotion, innovation, shelf space and customer service. A number of its primary competitors are larger than the company, may be less exposed to tariff impacts, and have substantial financial, marketing and other resources. The company's largest customer, Wal-Mart Stores, Inc. and its affiliates, accounted for approximately 21% ¹ of consolidated net sales in 2025 and 22% ² in 2024 and 2023. The five largest customers accounted for approximately 47% ³ of consolidated net sales in 2025, 2024, and 2023.

The company generates revenue through the sale of branded food and beverage products to customers including retail food chains, mass discounters, mass merchandisers, club stores, convenience stores, dollar stores, e-commerce and other retail, commercial and non-commercial establishments. Sales and merchandising activities are conducted through the company's own sales force and/or third-party brokers and distribution partners. The Snacks segment has a direct-store-delivery distribution model that uses independent contractor distributors. Revenues are recognized when the performance obligation has been satisfied and control of the product passes to customers, which typically occurs when products are delivered. Revenues are recognized net of provisions for returns, discounts and certain sales promotion expenses.

The Meals & Beverages segment consists of soup, simple meals and beverages products in retail and foodservice in the U.S. and Canada. Products include Campbell's condensed and ready-to-serve soups; Swanson broth and stocks; Pacific Foods broth, soups and non-dairy beverages; Prego pasta sauces; Pace Mexican sauces; SpaghettiOs pasta; Campbell's gravies, beans and dinner sauces; Swanson canned poultry; V8 juices and beverages; Campbell's tomato juice; and as of March 12, 2024, Rao's pasta sauces, dry pasta, frozen entrées, frozen pizza and soups; Michael Angelo's frozen entrées and pasta sauces; and noosa yogurts. The noosa yoghurt business was sold on February 24, 2025. The segment also includes snacking products in foodservice and Canada. Net sales for Meals & Beverages were $6.050 billion ⁴ in 2025, $5.258 billion ⁵ in 2024, and $4.907 billion ⁶ in 2023.

The Snacks segment consists of Pepperidge Farm cookies, crackers, fresh bakery and frozen products, including Goldfish crackers, Snyder's of Hanover pretzels, Lance sandwich crackers, Cape Cod potato chips, Kettle Brand potato chips, Late July snacks, Snack Factory pretzel crisps, and other snacking products in retail in the U.S. The segment also includes the snacking and meals and beverages retail business in Latin America. The segment also included the results of the Pop Secret popcorn business, which was sold on August 26, 2024, and the Emerald nuts business, which was sold on May 30, 2023. Net sales for Snacks were $4.203 billion ⁷ in 2025, $4.378 billion ⁸ in 2024, and $4.450 billion ⁹ in 2023.

On March 12, 2024, the company completed the acquisition of Sovos Brands, Inc. for total purchase consideration of $2.899 billion ¹⁰. On May 30, 2023, the company completed the sale of its Emerald nuts business for $41 million ¹¹. On August 26, 2024, the company completed the sale of its Pop Secret popcorn business for $70 million ¹². On February 24, 2025, the company completed the sale of its noosa yoghurt business for $188 million ¹³. In September 2024, the Board authorized an anti-dilutive share repurchase program of up to $250 million ¹⁴ to offset the impact of dilution from shares issued under stock compensation programs. In 2025, the company repurchased 1.303 million ¹⁵ shares at a cost of $62 million ¹⁶ pursuant to its anti-dilutive share repurchase program. On September 10, 2024, the company announced plans to implement cost savings initiatives with targeted annual savings of approximately $250 million ¹⁷ by the end of 2028, and on September 3, 2025, increased the estimate to approximately $375 million ¹⁸ by the end of 2028.

Net sales increased 6% ¹⁹ in 2025 to $10.253 billion ²⁰ primarily due to an 8-point benefit from the acquisition of Sovos Brands and a 2-point benefit from the 53rd week, partially offset by the impact of divestitures, unfavorable volume/mix and lower net price realization. Gross profit, as a percent of sales, decreased to 30.4% ²¹ in 2025 from 30.8% ²² a year ago. Earnings per share were $2.01 ²³ in 2025, compared to $1.89 ²⁴ a year ago. Net earnings attributable to The Campbell's Company were $602 million ²⁵ in 2025, compared to $567 million ²⁶ in 2024.

The company expects to spend approximately $420 million ²⁷ for capital projects in 2026. Major capital projects based on planned spend in 2026 include network optimization for both the Meals & Beverages and Snacks businesses, information technology projects and wastewater initiatives. The company estimates that approximately $35 million ²⁸ of the capital expenditures anticipated during 2026 will be for upgrades to the Napoleon, Ohio wastewater treatment facility, with another approximately $20 million ²⁹ for other network wastewater initiatives. The company anticipates spending approximately $6 million ³⁰ for compliance with U.S. environmental laws and regulations during 2026.

The company's strategy is built around four pillars: Top Team, Best Portfolio, Winning Execution, and Lasting Impact. The company has created a Growth Office to support its two divisions and to expand consumer-led innovations. The company believes it is well-positioned as a transformative category leader with an advantaged portfolio of brands across its Meals & Beverages and Snacks segments. The company will support its Best Portfolio priority and accelerate its profitable growth model by growing market share and driving integrated business planning programming throughout the company.

In September 2024, the company announced plans to implement new cost savings initiatives with targeted annual savings of approximately $250 million ³¹ by the end of 2028. On September 3, 2025, the company increased the estimate of annual ongoing savings, once all phases are implemented, to approximately $375 million ³² by the end of 2028. The total estimated pre-tax costs for actions that have been identified to date are approximately $215 million ³³, and the company expects to incur substantially all of the costs through 2028. The company expects these pre-tax costs to consist of approximately $30 million ³⁴ in severance pay and benefits, approximately $55 million ³⁵ in asset impairment and accelerated depreciation, and approximately $130 million ³⁶ in implementation costs and other related costs. Of the aggregate $215 million ³⁷ of pre-tax costs identified to date, the company expects approximately $155 million ³⁸ will be cash expenditures. The company expects to invest approximately $205 million ³⁹ in capital expenditures, of which it invested $147 million ⁴⁰ as of August 3, 2025.

The company expects to execute an initiative to improve the effectiveness of its Snacks direct-store-delivery route-to-market network in a staggered rollout and to incur expenses of up to approximately $115 million ⁴¹ through 2029. In 2025, the company incurred $20 million ⁴² in Marketing and selling expenses and $1 million ⁴³ in Administrative expenses related to this initiative. As of August 3, 2025, the company has incurred $25 million ⁴⁴ in Marketing and selling expenses and $1 million ⁴⁵ in Administrative expenses related to this initiative.

In 2025, the company's aggregate capital expenditures were $426 million ⁴⁶. The company expects to spend approximately $420 million ⁴⁷ for capital projects in 2026. In September 2021, the Board approved a strategic share repurchase program of up to $500 million ⁴⁸. In September 2024, the Board authorized an anti-dilutive share repurchase program of up to $250 million ⁴⁹. As of August 3, 2025, approximately $198 million ⁵⁰ remained available under the September 2024 program and approximately $301 million ⁵¹ remained under the September 2021 program. Dividend payments were $459 million ⁵² in 2025, $445 million ⁵³ in 2024, and $447 million ⁵⁴ in 2023. Annual dividends declared were $1.54 ⁵⁵ per share in 2025, and $1.48 ⁵⁶ per share in 2024 and 2023. The 2025 fourth quarter dividend was $.39 ⁵⁷ per share.

In 2026, the company expects more significant cost pressures primarily driven by tariff impacts. The company plans to reduce some of these costs and impacts over time through cost savings initiatives, inventory management practices, supplier collaboration, alternative sourcing opportunities, continued supply chain productivity initiatives, surgical pricing actions where necessary and other mitigation efforts. The company is continuing to monitor the rapidly evolving tariff and global trade policies and is working with its suppliers to mitigate potential impacts on its business. The extent and duration of the tariffs and the resulting impact on general economic conditions and on the company's business are uncertain and depend on various factors.

The company faces risks related to inflation, recession, financial market disruptions and other economic conditions. If the U.S. economy enters a recession in 2026, the company may experience sales declines and may have to decrease prices. The company may not be able to fully mitigate the impact of inflation through continued price increases, productivity initiatives and cost savings. The company also faces risks from changes in global trade policies, including imposed and threatened tariffs by the U.S. and reciprocal tariffs by its trading partners, which remain uncertain and could impact its financial condition or results of operations.

Management's message emphasizes the company's strategy built around four pillars: Top Team, Best Portfolio, Winning Execution, and Lasting Impact, positioning the company to achieve Top-Tier Performance for shareholders. In 2025, the company continued to advance its key strategic initiatives in a dynamic operating environment marked by shifting global trade policies, increased regulatory activity, consumer behavior shifts, commodity cost fluctuations and other global macroeconomic challenges. Management noted that during 2025, the company experienced elevated cost inflation and other supply chain costs, which were mostly offset by improvements in supply chain productivity and benefits from cost savings initiatives. In 2026, management expects more significant cost pressures primarily driven by tariff impacts. On September 10, 2024, the company announced plans to implement cost savings initiatives with targeted annual savings of approximately $250 million ⁶⁴ by the end of 2028, and on September 3, 2025, increased the estimate to approximately $375 million ⁶⁵ by the end of 2028. The company's strategic priorities include delivering for its people by cultivating a highly engaged culture, delivering for consumers through consumer-focused marketing efforts and increased leadership brand support, delivering for customers by advancing strategic retailer relationships and optimizing the manufacturing and distribution network, and delivering for communities with continued progress on sustainability and community goals.

Net sales were $10.253 billion ⁶⁶ in 2025, compared to $9.636 billion ⁶⁷ in 2024 and $9.357 billion ⁶⁸ in 2023. Net earnings attributable to The Campbell's Company were $602 million ⁶⁹ in 2025, $567 million ⁷⁰ in 2024, and $858 million ⁷¹ in 2023. Diluted EPS was $2.01 ⁷² in 2025, $1.89 ⁷³ in 2024, and $2.85 ⁷⁴ in 2023. Gross profit margin was 30.4% ⁷⁵ in 2025, 30.8% ⁷⁶ in 2024, and 31.2% ⁷⁷ in 2023. Operating earnings before interest and taxes were $1.124 billion ⁷⁸ in 2025, $1.000 billion ⁷⁹ in 2024, and $1.312 billion ⁸⁰ in 2023. Cash flows from operations were $1.131 billion ⁸¹ in 2025, $1.185 billion ⁸² in 2024, and $1.143 billion ⁸³ in 2023. As of August 3, 2025, the company had $6.857 billion ⁸⁴ of indebtedness, with $762 million ⁸⁵ of short-term borrowings due within one year and $6.095 billion ⁸⁶ of long-term debt. The company had cash and cash equivalents of $132 million ⁸⁷ as of August 3, 2025, compared to $108 million ⁸⁸ as of July 28, 2024. Significant one-time items in 2025 included impairment charges of $176 million ⁸⁹ ($131 million after tax, or $.44 per share), restructuring and implementation costs of $125 million ⁹⁰ ($96 million after tax, or $.32 per share), and a loss on divestitures of $25 million ⁹¹ ($34 million after tax, or $.11 per share). In 2024, significant one-time items included impairment charges of $129 million ⁹² ($98 million after tax, or $.33 per share), costs associated with the acquisition of Sovos Brands of $128 million ⁹³ ($109 million after tax, or $.36 per share), and restructuring and implementation costs of $109 million ⁹⁴ ($83 million after tax, or $.28 per share). Segment operating earnings for Meals & Beverages were $1.076 billion ⁹⁵ in 2025, $974 million ⁹⁶ in 2024, and $894 million ⁹⁷ in 2023. Segment operating earnings for Snacks were $560 million ⁹⁸ in 2025, $648 million ⁹⁹ in 2024, and $640 million ¹⁰⁰ in 2023.

The company faces material risks from changes in global trade policies, including imposed and threatened tariffs by the U.S. and reciprocal tariffs by its trading partners, which have resulted in increased costs on ingredients, packaging such as tinplate steel, and finished products that the company imports. In 2026, the company expects more significant cost pressures primarily driven by tariff impacts. The company also faces risks related to its substantial indebtedness of approximately $6.857 billion ⁵⁸ as of August 3, 2025, which could increase vulnerability to adverse economic conditions and limit flexibility. An impairment of the carrying value of goodwill or other indefinite-lived intangible assets could adversely affect financial results; as of August 3, 2025, the company had goodwill of $4.991 billion ⁵⁹ and other indefinite-lived intangible assets of $3.678 billion ⁶⁰. Indefinite-lived trademarks with approximately 10% or less of excess coverage of fair value over carrying value had an aggregate carrying value of $2.587 billion ⁶¹ and included the Rao's, Snyder's of Hanover, Pace, Pacific Foods, Late July and Allied brands trademarks. The company's five largest customers accounted for approximately 47% ⁶² of consolidated net sales in 2025, with the largest customer, Wal-Mart Stores, Inc. and its affiliates, accounting for approximately 21% ⁶³ of consolidated net sales, creating concentration risk.