- CEO of Campbell Soup Mark Clouse said on Wednesday that despite his company's mixed earnings report, products continue to sell and condensed soup is profitable, especially with millennial consumers.
- Campbell also owns several well-known food and snack lines, including Pepperidge Farm, Snyder's of Hanover, Lance, V8 and Prego.
CEO of Campbell Soup Mark Clouse told CNBC's Jim Cramer on Wednesday that despite his company's mixed earnings report, he is confident that Campbell's condensed products — especially the brand's staples like chicken noodle and tomato — are timelessly profitable.
Clouse said Campbell's soup sales have been better than before the pandemic, especially among millennial clientele, many of whom are getting older and starting families. Even as more people start to dine outside the home post-Covid regulations, Clouse said demand for condensed canned soup remains strong.
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"So are we better off than we were pre-pandemic? We've seen multiple share points of gain, and that's even stronger when you look at that very important millennial consumer," Clouse said. "I actually see no indication that cooking as a behavior in home is slowing down."
But he added that even Campbell's leadership had questioned the relevancy of condensed soup for younger consumers.
"In particular within condensed, which has always been a little bit, I think, of a question, for all of us – 'Can we build relevance with younger consumers with a condensed-soup business?'" Clouse said. "We're seeing that cooking dynamic where we grew share again to go back over the last four years."
Money Report
Alongside its namesake soup products, Campbell also owns several well-known food and snack lines, including Pepperidge Farm, Snyder's of Hanover, Lance, V8 and Prego.
Campbell reported $2.23 billion net sales, which matched the consensus estimate, and the company did not raise its full-year forecast but said it expects to land at the high end of previous guidance.
Campbell stock was off 9% on Wednesday.
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