Campbell Soup Company (0HST.L) Q4 2025 Earnings Report

Revenue: USD 2,321,000,000; YoY +1.22%; QoQ -6.22%
Gross Profit: USD 705,000,000; Gross Margin 30.37%; YoY +1.88%; QoQ -3.16%
Operating Income: USD 269,000,000; Operating Margin 11.59%; YoY -10.03%; QoQ +67.08%
Net Income: USD 145,000,000; Net Margin 6.25%; YoY +4,933.33%; QoQ +119.70%
EPS: USD 0.49; YoY +5,000.00%; QoQ +122.73%
EPS Diluted: USD 0.48
EBITDA: USD 370,000,000; EBITDA Margin ~15.94%
Cash Flow: Operating Cash Flow USD 271,000,000; Free Cash Flow USD 141,000,000
Balance Sheet: Cash USD 132,000,000; Total Assets USD 14,896,000,000; Total Debt USD 6,857,000,000; Net Debt USD 6,725,000,000; Total Liabilities USD 10,992,000,000; Equity USD 3,904,000,000
Capital Allocation: Dividends USD 116,000,000; Debt Repayment USD 58,000,000; Share Repurchases USD 2,000,000; Net Cash Provided by Financing Activities USD -176,000,000

Note: The underlying QQ4 2025 earnings transcript was not provided in the data set. Consequently, management quotes and verbatim commentary are not available. The thematic interpretation below reflects typical topics observed in consumer staples earnings calls and aligns with the reported financials:
- Strategy and portfolio optimization: Expect ongoing focus on pricing discipline and mix management to sustain margins amid input cost volatility.
- Operational efficiency: Emphasis on cost control, supply chain resiliency, and leveraging fixed-cost absorption to support margins in a volatile environment.
- Market conditions: A cautious consumer backdrop with continued inflationary pressures and variable demand across channels, including e-commerce growth potential in snacks and beverages.
- Capital allocation: Commitment to dividends and selective debt management with a view toward de-leveraging over time as cash flow resilience improves.

Campbell’s QQ4 2025 results reflect a resilient business with low-to-moderate top-line growth, stable cash generation, and a margin profile that benefits from pricing and cost controls. However, the elevated leverage remains the dominant risk factor and a focal point for investors seeking balance-sheet safety. The investment thesis hinges on continued deleveraging through cash flow, the effectiveness of price/mix strategies to protect margins, and a disciplined capital-allocation approach (dividends sustained, modest buybacks). In a peer context, Campbell offers a defensive cash-generating profile but trades at a higher leverage level relative to large-cap packaged-food peers. Investors should monitor debt reduction progress, margin trajectory, and the pace of portfolio optimization initiatives that can shift the risk/return profile over the next 12–24 months.