Executive Summary
Campbell Soup Company delivered a solid QQ1 2025 with revenue of USD 2.772 billion, up 12.9% year over year and 20.9% quarter over quarter, supported by a favorable price/mix dynamic and continued demand resilience in its core North American market. The gross margin stood at approximately 31.3%, contributing to an operating margin of 13.2% and an EBITDA margin of 17.2%. Net income of USD 218 million translated to an EPS (full) of USD 0.73 and a diluted EPS of USD 0.72. Cash generation remained healthy, with net cash from operating activities of USD 225 million and free cash flow of USD 115 million, financing activity contributing to net cash provided of USD 523 million and a year-end cash balance of USD 808 million. The balance sheet shows total debt of USD 7.917 billion and net debt of USD 7.109 billion, with a debt-to-capitalization of about 0.67 and a debt-to-equity ratio near 2.06, indicating meaningful leverage that warrants close monitoring against future cash flow growth.
Key Performance Indicators
QoQ: 376.62% | YoY:15.77%
QoQ: 7 366.67% | YoY:7.39%
QoQ: 7 400.00% | YoY:7.35%
Key Insights
Revenue: USD 2,772,000,000; YoY +12.87%; QoQ +20.89%
Gross Profit: USD 867,000,000; YoY +11.73%; QoQ +28.44%; Gross margin ~31.28%
Operating Income: USD 367,000,000; YoY +15.77%; QoQ +376.62%; Operating margin ~13.24%
Net Income: USD 218,000,000; YoY +7.39%; QoQ +~7,266.67% (base effects in prior quarter)
EPS (GAAP): USD 0.73; Diluted EPS: USD 0.72; YoY EPS +7.35%; QoQ EPS +~7,400%
EBITDA: USD 476,000,000; EBITDA margin ~17.17%
Cash Flow: Operating cash flow USD 225,000,000; Free cash flow USD 1...
Financial Highlights
Revenue: USD 2,772,000,000; YoY +12.87%; QoQ +20.89%
Gross Profit: USD 867,000,000; YoY +11.73%; QoQ +28.44%; Gross margin ~31.28%
Operating Income: USD 367,000,000; YoY +15.77%; QoQ +376.62%; Operating margin ~13.24%
Net Income: USD 218,000,000; YoY +7.39%; QoQ +~7,266.67% (base effects in prior quarter)
EPS (GAAP): USD 0.73; Diluted EPS: USD 0.72; YoY EPS +7.35%; QoQ EPS +~7,400%
EBITDA: USD 476,000,000; EBITDA margin ~17.17%
Cash Flow: Operating cash flow USD 225,000,000; Free cash flow USD 115,000,000
Liquidity/Capital: Cash USD 808,000,000; Total debt USD 7,917,000,000; Net debt USD 7,109,000,000; Payout ratio 53.2%; Dividends paid USD 116,000,000; Share repurchases USD (54,000,000)
Balance Sheet Ratios: Current ratio 0.905; Quick ratio 0.498; Debt-to-capitalization 0.673; Debt-to-equity 2.06; Interest coverage 4.22
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
2.77B |
12.87% |
20.89% |
| Gross Profit |
867.00M |
11.73% |
28.44% |
| Operating Income |
367.00M |
15.77% |
376.62% |
| Net Income |
218.00M |
7.39% |
7 366.67% |
| EPS |
0.73 |
7.35% |
7 400.00% |
Key Financial Ratios
operatingProfitMargin
13.2%
operatingCashFlowPerShare
$0.76
freeCashFlowPerShare
$0.76
dividendPayoutRatio
53.2%
Management Commentary
Note: No earnings call transcript data were provided in the dataset. Consequently, transcript-based insights and verbatim management quotes could not be extracted. Based on the published QQ1 results, typical management commentary would be expected to emphasize price/mix discipline, ongoing cost containment initiatives, and portfolio optimization to support margin resilience in a volatile input environment.
Forward Guidance
There is no explicit forward guidance in the provided data. Given the QQ1 2025 momentum, a reasonable expectation would be for Campbell to continue leveraging price/mix, cost discipline, and ongoing portfolio optimization to sustain mid-to-high single-digit revenue growth and mid-single-digit EBITDA/margin stability, contingent on commodity cost trends, FX exposure, and sustained demand. Investors should monitor: (1) input cost volatility and pass-through effectiveness, (2) progression of debt reduction versus capital allocation (dividends vs. buybacks vs. deleverage), (3) evolving mix toward Beverages and Snacks, and (4) any currency headwinds from international exposure.