B&G Foods Inc
Q2 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: +3.07%.
Did BGS Beat Earnings? Q2 2025 Results
B&G Foods delivered a disappointing second quarter, missing on both the top and bottom lines as persistent volume declines and brand divestitures weighed on results. Adjusted earnings came in at $0.04 per diluted share, falling short of the $0.06 consensus estimate by 32.66%, while net sales slid 4.5% year-over-year to $424.43 million, narrowly missing the $428.27 million Wall Street had expected. The most material drag was the $12.65 million loss tied to the completed sale of the Don Pepino and Sclafani brands, which pushed the company to a GAAP net loss of $9.77 million for the quarter. Adjusted EBITDA fell 9.3% to $57.98 million, with the Frozen and Vegetables segment posting negative adjusted EBITDA amid rising raw material costs and tariff pressure. The results arrive against a backdrop of growing concern over the company's substantial debt load, with leverage remaining elevated as management reshapes the portfolio. Looking ahead, B&G guided full-year net sales of $1.83 billion to $1.88 billion and adjusted diluted EPS of $0.50 to $0.60, though that outlook notably excludes any impact from evolving U.S. tariff policy.
- Volume declines across all segments were the primary driver of lower net sales
- Lower net pricing and unfavorable product mix contributed to revenue decline
- Negative foreign currency impact on sales
- Loss on sale of Don Pepino and Sclafani brands of $12.6 million drove GAAP net loss
- Meals segment benefited from increased net pricing and improved product mix
- Specialty segment saw decreased raw material costs as a percentage of net sales
- Frozen & Vegetables segment hurt by increased trade promotions, rising raw material and manufacturing costs, and tariff impacts
- Spices & Flavor Solutions segment impacted by increases in garlic and black pepper costs and tariffs
“B&G Foods' second quarter demonstrated sequential improvement in trend after a challenging first quarter, and we expect further improvement in the second half of fiscal 2025. We are further making progress in reshaping and restructuring our portfolio to sharpen focus, simplify the business, and improve margins and cash flow with the divestitures of the Don Pepino and Sclafani brands during the second quarter and the Le Sueur brand during the third quarter.”
B&G Foods CEO, on the earnings call
Forward Guidance & Outlook
B&G Foods revised its full-year fiscal 2025 guidance: net sales of $1.83 billion to $1.88 billion, adjusted EBITDA of $273.0 million to $283.0 million, and adjusted diluted earnings per share of $0.50 to $0.60. Management expects further sequential improvement in the second half of fiscal 2025. The guidance explicitly excludes potential impacts from recently imposed and threatened U.S. tariffs and retaliatory tariffs from other countries, given the uncertainty in the political economic environment and rapidly evolving trade negotiations.
BGS YoY Financials
BGS Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.