Conagra Brands (CAG) Q3 2026 Earnings
Reported Apr 1, 2026 at 7:32 AM ET · SEC Source
Q3 26 EPS
$0.39
MISS 2.60%
Est. $0.40
Q3 26 Revenue
$2.79B
BEAT +0.99%
Est. $2.76B
vs S&P Since Q3 26
-23.6%
TRAILING MARKET
CAG -10.5% vs S&P +13.1%
Market Reaction
Did CAG Beat Earnings? Q3 2026 Results
Conagra Brands delivered a mixed third-quarter fiscal 2026 report, narrowly missing on the bottom line while edging past revenue expectations, as cost pressures and the drag from recent divestitures complicated an otherwise encouraging demand picture… Read more Conagra Brands delivered a mixed third-quarter fiscal 2026 report, narrowly missing on the bottom line while edging past revenue expectations, as cost pressures and the drag from recent divestitures complicated an otherwise encouraging demand picture. Adjusted EPS came in at $0.39, falling 2.60% short of the $0.40 consensus estimate and declining 23.5% year-over-year, while reported net sales of $2.79 billion beat estimates by 0.99% but still slipped 1.9% from the prior-year period. The central tension in the quarter was that divestitures shaved 4.8 percentage points off reported revenue, masking a genuine 2.4% organic net sales increase driven by price/mix gains and modest volume recovery, particularly in frozen single serve meals and meat snacks. Profitability remained under pressure from elevated cost of goods sold inflation running near 7%, which compressed adjusted gross margin by 112 basis points to 23.7%. With TD Cowen holding its price target at $14 and the stock trading near 52-week lows, Conagra narrowed its fiscal 2026 adjusted EPS outlook to approximately $1.70, the low end of prior guidance, underscoring management's cautious near-term posture.
Key Takeaways
- • Organic net sales growth of 2.4% driven by 1.9% price/mix increase and 0.5% volume gain
- • Volume share gains in frozen single serve meals, frozen vegetables, frozen handhelds and appetizers, meat snacks, hot cocoa, seeds, and pudding
- • Refrigerated & Frozen volume recovery of 3.9% following prior-year supply constraints
- • Net debt reduced by $818 million or 10.1% year-over-year
- • Net interest expense decreased 7.7% driven by reduced net debt
CAG Forward Guidance & Outlook
Conagra narrowed its fiscal 2026 guidance: organic net sales change near the midpoint of the (1)% to 1% range; adjusted operating margin near the high end of ~11.0% to ~11.5%; adjusted EPS of approximately $1.70, at the low end of the $1.70 to $1.85 range. The company lowered its adjusted equity earnings estimate to approximately $140 million from $170 million due to lower Ardent Mills commodity trading revenue. Interest expense is now expected at approximately $385 million (from $390 million), and free cash flow conversion is expected at approximately 105% (from 100%). COGS inflation is expected to continue at approximately 7%, inclusive of core inflation and gross tariff expense before mitigating actions.
CAG YoY Financials
Q3 2026 vs Q3 2025, source: SEC Filings
CAG Revenue by Segment
With YoY comparisons, source: SEC Filings
“I am pleased with our third quarter performance as we returned the business to organic net sales growth, reflecting continued upward inflection in our Frozen and Snacks businesses while remaining on track in our cash businesses. In today's evolving environment, our portfolio of iconic and insurgent brands is structurally advantaged as we deliver the on-trend attributes that consumers are seeking.”
— Sean Connolly, Q3 2026 Earnings Press Release
CAG Earnings Trends
CAG vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
CAG EPS Trend
Earnings per share: estimate vs actual
CAG Revenue Trend
Quarterly revenue: estimate vs actual
CAG Quarterly Results
4 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q3 26 MISS | $0.40 | $0.39 | -2.60% | $2.79B | +0.99% |
| Q2 26 BEAT | $0.44 | $0.45 | +3.19% | $2.98B | -0.14% |
| Q1 26 BEAT | $0.33 | $0.39 | +17.40% | $2.63B | +0.65% |
| Q4 25 MISS FY | $0.61 | $0.56 | -8.20% | $2.78B | -3.45% |
| FY Full Year | $2.35 | $2.30 | -2.13% | $11.61B | -0.85% |