Campbell Soup Backs FY20 Adj. EPS Outlook - Quick Facts

(RTTNews) - While reporting financial results for the first quarter of fiscal 2020 on Wednesday, Campbell Soup Co. (CPB) maintained its adjusted earnings and organic sales growth guidance for the full-year 2020, but lowered net sales growth guidance to reflect the impact of the sale of European Chips Business.

For fiscal 2020, the company continues to project adjusted earnings in a range of $2.50 to $2.55 per share on organic net sales change between a decline of 1 percent and a growth of 1 percent.

However, the company lowered its net sales change guidance to between a decline of 1 percent and a growth of 1 percent, implying sales between $8.03 billion and $8.19 billion, from the prior forecast for a growth of 1 to 3 percent. On average, analysts polled by Thomson Reuters expect the company to report earnings of $2.52 per share on net sales of $8.18 billion for the year. Analysts' estimates typically exclude special items.

In the first quarter of fiscal 2020, Campbell achieved $45 million in savings under its multi-year cost savings program, inclusive of Snyder's-Lance synergies, bringing total program-to-date savings to $605 million.

As previously announced, the company expects to deliver cumulative annualized savings of $850 million by the end of fiscal 2022.