Campbell’s plans to boost Snacks business in 2027

CAMDEN, NJ. — The Campbell’s Co. plans to launch new products and media campaigns for its Snacks business in fiscal-year 2027, but it will take time to turn around the business from its disappointing results in the 2026 fiscal year ended Aug. 2.

In Campbell’s Snacks business, fiscal-year net sales of $3.82 billion were down 6% from $4.07 billion in the previous fiscal year. Operating earnings declined 28% to $386 million from $538 million. The year ended with net sales in Snacks down 12% in the fourth quarter, falling to $950 million from $1.09 billion. Fourth-quarter operating earnings in Snacks plunged 34% to $101 million from $153 million.

National advertising campaigns for 2027 are planned for Goldfish and Pepperidge Farm.

Goldfish consumption declined 1% in the fourth quarter.

“As we begin fiscal 2027, our investment plans and in-market activity reflect the brand’s central proposition as a wholesome, fun snack for families with kids,” said Mick Beekhuizen, president and chief executive officer of Campbell’s, in pre-recorded comments issued Sept. 3. “Back-to-school activity will include expanded omnichannel investments supporting key family-oriented offerings such as multipacks, alongside a new marketing campaign with playful advertising that reinforces the brand’s family-friendly legacy and ‘the snack that smiles back’ positioning,”

In the fall protein-rich Goldfish will enter the market as will whole grain Goldfish and gluten-free Goldfish.

Cookies campaign

Pepperidge Farm consumption declined 4.4% in the fourth quarter.

“As we enter fiscal 2027, strong in-store execution and on-shelf availability remain important near-term opportunities, with innovation set to launch in the back half,” Beekhuizen said of Pepperidge Farm, adding that a national media campaign will highlight the rich flavor and indulgence of Pepperidge Farm cookies.

“There is a lot of hard work ahead to turn around our Snacks performance, but our priorities are clear,” Beekhuizen said. “First, we are strengthening our focus and returning to core fundamentals, meeting consumers where they are. Second, we are reducing our costs, tightening our assortment and using our revenue growth management capabilities to improve price-pack architecture and trade efficiencies. Third, we are focusing on core items and every day great execution to improve service, on-shelf availability and productivity.

“This turnaround will take time, and performance may not improve in a straight line, but we are committed to this important simplification work as the first step on our path back to growth.”

Innovation in the Snyder’s of Hanover brand will come later in the fiscal year.

Advertisement

| Photo: ©JAMMER GENE – STOCK.ADOBE.COM

‘Very challenging’ quarter

The first quarter of the current fiscal year will be “very challenging” for the Snacks business, said Todd Cunfer, chief financial officer of Campbell’s, in a Sept. 3 earnings call. The Snacks business is facing two headwinds.

“From a shipment perspective, one point is we shipped ahead of consumption last quarter for some holiday programming that we have to lap, and then we have some trade investment that we have this year that we didn’t have last year,” he said. “So it’s high single-digit down for Snacks in the first quarter.”

He said he expects innovation in Goldfish and Snyder’s of Hanover to improve the business later in the year.

“Look, the two most profitable brands that we have in the portfolio, the Snacks portfolio, are Goldfish and Snyder’s,” Cunfer said. “If we get those two starting to stabilize and eventually grow, there’s a massive impact on the profitability of this business.”

Camden-based Campbell’s companywide had net income of $403 million, or $1.34 per share on the common stock, in the 2026 fiscal year, which was down 33% from $602 million, or $2.02 per share, in the 2025 fiscal year. Net sales declined 5% to $9.74 billion from $10.25 billion. An additional week in the 2025 fiscal year impacted net sales by an estimated 2 percentage points.

Campbell’s stock price on the Nasdaq closed at $21.38 per share on Sept. 4, which was down 3.4% from a close of $22.12 on Sept. 3 and down 10% from a close of $23.40 on Sept. 2.