Campbell Soup Gross Margins Slip
NEW YORK - May 20/13 - SNS -- Campbell Soup Company reported net earnings of U.S. $179 million on sales of $2,094 million during the third quarter ending April 28, compared to net earning of $175 million on sales of $1,821 million during the same three month period last year.
This lifted fiscal year to date earnings to $609 million on sales of $6,763 million, compared to $647 million on sales of $6,094 million during the same nine month period last year.
In releasing its financial results, Campbell noted that its gross margin so far this fiscal year is 36.0%, down from 38.9% a year ago. Excluding restructuring-related charges, adjusted gross margin in the first nine months was 37.2%.
The decline in gross margin was primarily attributable to the acquisition of Bolthouse Farms. Excluding the acquisition, the impact of cost inflation and increased promotional spending were mostly offset by productivity improvements and the benefit of higher selling prices.
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