By Amira McKee
Shares of B&G Foods climbed after the company reported better-than-expected revenue as it restructures and sells off its Green Giant business
The stock jumped 16% to $5.86 in Wednesday afternoon trading. The shares have fallen 12% in the past year.
Chief Executive Kenneth Casey Keller said B&G Foods is continuing to restructure and simplify its portfolio to eliminate non-core brands, most recently including selling its Green Giant U.S. frozen business to Seneca Foods.
"The Green Giant frozen business simply has not been the right fit for B&G Foods with seasonal production, a different temperature state, geographic complexity, and higher working capital intensity," Keller said on an analyst call.
The company is also acquiring the College Inn and Kitchen Basics broth and stock businesses from Del Monte Foods, and expects the transaction to close by the end of the month.
The frozen food maker's fourth-quarter sales slipped 2.2% to $539.6 million, topping Wall Street's forecast for $538 million, according to FactSet. The top-line decrease was primarily driven by the company's divestitures from Le Sueur U.S. and Don Pepino, and partially offset by gains in base business sales.
B&G Foods narrowed its fourth-quarter loss to $15.2 million, or 19 cents a share, compared to a loss of $222.4 million, or $2.81 a share, a year earlier. The company attributed the losses in both quarters to non-cash impairment charges.
Adjusted earnings came in at 28 cents a share, missing the 30 cents a share that analysts polled by FactSet were expecting.
In 2026, B&G Foods expects adjusted earnings of 55 cents to 65 cents a share on sales of $1.655 billion to $1.695 billion. Wall Street is modeling adjusted earnings of 59 cents a share and revenue of $1.67 billion, according to FactSet.
The guidance doesn't reflect the pending divestiture of Green Giant Canada or the pending acquisition of the College Inn and Kitchen Basics broth business, Keller said.
Write to Amira McKee at amira.mckee@wsj.com
(END) Dow Jones Newswires
March 04, 2026 15:06 ET (20:06 GMT)
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