B&G Foods (BGS) Q3 2024 Earnings Call Transcript

Motley Fool Transcribing, The Motley Fool

Wed, April 1, 2026 astatine 8:37 AM CDT 43 min read

Image source: The Motley Fool.

Tuesday, November 5, 2024 astatine 4:30 p.m. ET

• President and Chief Executive Officer — Kenneth G. Keller

• Executive Vice President and Chief Financial Officer — Bruce C. Wacha

Casey volition statesman the telephone with opening remarks and sermon assorted factors that affected our results, selected concern highlights, and his thoughts concerning the outlook for the remainder of fiscal 2024. Bruce volition past sermon our fiscal results for the 3rd 4th of 2024 and our guidance for the remainder of fiscal 2024. I would present similar to crook the telephone implicit to Casey.

Kenneth Keller: Good afternoon. Thank you, AJ, and convey you each for joining america today, Election Day for our 3rd 4th 2024 net call. Third 4th nett income of $461.1 cardinal and adjusted EBITDA of $70.4 cardinal were somewhat beneath expectations. Excluding Crisco, whose nett income were negatively impacted by little nett pricing to bespeak a alteration successful soybean lipid costs, basal concern nett income decreased by astir 3% compared to the twelvemonth agone period. Some of the cardinal factors impacting 3rd 4th income trends. First, basal concern trends connected astir of the B&G Foods portfolio person been slower to retrieve than expected. Consistent with the halfway store packaged foods industry.

We person not seen overmuch betterment comparative to the archetypal fractional with consumers adjusting their purchasing patterns successful the aftermath of precocious nutrient inflation. The objection has been our Spices and Flavor Solutions concern that has shown affirmative trends, positive 2.6% successful Q3 with the maturation of caller nutrient and proteins successful the perimeter of the store, driven by a narrowing of the comparative pricing of caller to frozen and packaged foods successful the past year. During Q3 and peculiarly successful the July period, large retail customers lowered their warehouse and support inventories crossed our categories by respective days to a week. We estimation that interaction was 1% little nett income successful the quarter.

Foodservice sales, astir 15% of full B&G Foods person continued to beryllium down 2% to 3%, but mostly bespeak wide edifice manufacture postulation patterns. We person experienced immoderate accrued competitory enactment successful a fewer categories. In rootlike oil, Wesson has priced aggressively implicit the past respective months to support and successful immoderate cases, rebuild distribution. In the Mexican category, Ortega, arsenic good arsenic the Old El Paso marque person been impacted by accrued enactment from the Taco Bell brand. For the 3rd quarter, adjusted EBITDA of $70.4 cardinal decreased by $10 cardinal compared to the 3rd 4th of 2023.