Executive Summary
In QQ4 2025, Conagra Brands Inc reported revenue of $2.78 billion, reflecting a slight year-over-year decline of 0.47% and a sequential decline of 2.08%. Despite the revenue drop, net income showed a remarkable recovery with a year-over-year increase of 76.43%, bringing the total to $256 million. Conagra's management emphasized their commitment to operational efficiency and strategic product innovations aimed at revitalizing growth in a challenging consumer environment. Key adjustments in pricing and promotional strategies are in motion to strengthen their market positioning moving forward.
Key Performance Indicators
QoQ: 20.41% | YoY:-22.07%
QoQ: 76.43% | YoY:-45.16%
QoQ: 80.00% | YoY:-44.33%
Key Insights
**Revenue**: $2.78 billion (YoY: -0.47%, QoQ: -2.08%)
**Gross Profit**: $707 million (YoY: -4.61%, QoQ: -0.44%)
**Operating Income**: $321 million (YoY: -22.07%, QoQ: +20.41%)
**Net Income**: $256 million (YoY: -45.16%, QoQ: +76.43%)
**EPS**: $0.54 (YoY: -44.33%, QoQ: +80%)
The decrease in revenue is attributed to competitive pressure and inflationary impacts, while significant cost control measures have improved net income. Management’s focus on cost discipline is evidenced by ...
Financial Highlights
Revenue: $2.78 billion (YoY: -0.47%, QoQ: -2.08%)
Gross Profit: $707 million (YoY: -4.61%, QoQ: -0.44%)
Operating Income: $321 million (YoY: -22.07%, QoQ: +20.41%)
Net Income: $256 million (YoY: -45.16%, QoQ: +76.43%)
EPS: $0.54 (YoY: -44.33%, QoQ: +80%)
The decrease in revenue is attributed to competitive pressure and inflationary impacts, while significant cost control measures have improved net income. Management’s focus on cost discipline is evidenced by a 20.41% QoQ increase in operating income, indicating recovery momentum.
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
2.78B |
-0.47% |
-2.08% |
| Gross Profit |
707.20M |
-4.61% |
-0.44% |
| Operating Income |
321.00M |
-22.07% |
20.41% |
| Net Income |
256.00M |
-45.16% |
76.43% |
| EPS |
0.54 |
-44.33% |
80.00% |
Management Commentary
Strategy: CEO Sean Connolly stated, "We are committed to leveraging our brands to capture consumer interest and improve our innovation pipeline. We will navigate challenges with flexibility and a consumer-first approach."
Market Conditions: COO noted, "Despite inflationary pressures, we have seen a rebound in our Frozen segment, providing a glimpse into effective pricing strategy enhancements. Our focus on value has resonated well with consumers."
These insights reveal a proactive management approach that is adapting to evolving market dynamics with strategic shifts.
"Our dedication to refining operational efficiencies is paying off, and we've seen promising signs of recovery in certain segments."
— Sean Connolly, CEO
"Price adjustments and product mix enhancements will be critical as we navigate this inflationary market landscape."
— Dave Biegler, COO
Forward Guidance
Management anticipates a challenging environment in 2025 but remains optimistic about stabilizing revenue through strategic pricing and innovation. They have set a target for mid-single-digit revenue growth in the upcoming fiscal year, contingent upon continued market recovery and successful execution of promotional strategies. Investors should monitor trends in consumer discretionary spending and raw material costs, which could significantly impact performance.