US manufacturer B&G Foods has lowered its forecasts on key sales and earnings metrics after seeing its top line slide by more than 10% in the first quarter.
The company now expects net sales of between $1.86bn and $1.91bn this year, down from its earlier forecast of $1.89bn to $1.95bn.
Go deeper with GlobalData
B&G Foods has changed its projection for adjusted EBITDA. It now sees that metric reaching $280m to $290m, compared to its previous forecast of $290m to $300m.
The group also changed its forecast for its adjusted diluted earnings per share, which it now sees coming in at $0.55 to $0.65, versus its earlier projection of $0.65 to $0.75 a share.
B&G Foods said the batch of new forecasts do not reflect the potential impacts of the recently imposed – or threatened – tariffs by the US or any retaliatory action.
During the quarter to 29 March, the company’s net sales fell 10.5% to $425.4m. B&G Foods pointed to lower volumes, a decrease in “net pricing” and “the impact of product mix”.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataHowever, B&G Foods posted an operating income of $35.8m, versus an operating loss of $15.6m in the same period of 2024.
The Crisco and Ortega brand owner reported a net income of $835,000, or $0.01 per diluted share, for the quarter as against a net loss of $40.2m, or $0.51 per diluted share a year ago.
In last year’s first-quarter, the company booked impairment charges of more than $70m within its frozen and vegetables businesses.
B&G Foods president and CEO Casey Keller said the first-quarter results reflected the “challenging environment in the packaged foods industry at the start of 2025”.
Keller added January and February were “especially difficult” but net sales in March, April, and early May have started to show “stabilising trends” compared with the same period last year.
Looking ahead, Keller said B&G Foods is “laser focused on our critical priorities” such as “improving our core business net sales trends, reshaping our portfolio for future growth and higher margins, and reducing leverage through divestitures and excess cash flow to facilitate strategic acquisitions”.
“We have also accelerated our cost reduction efforts and expect to achieve significant cost savings during the remainder of the year.”
B&G Foods’ share price closed down more than 25% at $4.72 yesterday (7 May).
