Conagra Brands, Inc. reported its financial results for the fourth quarter and full fiscal year 2025, which concluded on May 25, 2025.
The company faced a challenging environment marked by inflationary pressures, foreign exchange volatility, and supply constraints, all of which weighed on performance during the latter half of the year.
In the fourth quarter, Conagra reported a 4.3% decline in net sales, while organic net sales fell 3.5%. The company’s reported operating margin stood at 11.5%, with an adjusted operating margin of 13.8%. Reported diluted earnings per share for the quarter were USD0.53. On an adjusted basis, EPS fell 8.2% to $0.56.
Full-year results reflected a similar dynamic. Reported net sales for fiscal 2025 decreased 3.6%, while organic net sales contracted by 2.9%. However, the company’s reported operating margin improved substantially, rising 467 basis points to 11.8%. Adjusted operating margin, by contrast, declined 188 basis points to 14.1%. Reported diluted EPS surged 233.3% to USD2.40, though adjusted EPS dropped 13.9% to USD2.30.
Looking ahead, Conagra is guiding for modest performance in fiscal 2026, with organic net sales expected to range from a 1% decline to a 1% increase compared to fiscal 2025.
“I’m proud of the Conagra team for their hard work throughout fiscal 2025 as we navigated an environment that proved to be more challenging than we anticipated,” said Sean Connolly, president and chief executive officer of Conagra Brands.
“We entered the year focused on returning volume to growth and delivered consistent progress through the first half. This resulted in a return to absolute volume growth in domestic retail in the second quarter, best-in-class market share performance, and first half EPS in line with our plan. While the second half was impacted by higher than expected inflation, foreign exchange headwinds, and supply constraints, our long-term value creation strategy remains unchanged.”
Despite near-term headwinds, the company emphasized its ongoing commitment to executing on long-term strategic priorities aimed at driving sustainable value creation.
Find out more at: https://www.conagrabrands.com