Campbell’s Co (CPB)
Profitability ratios
Return on sales
| Jul 31, 2025 | Apr 30, 2025 | Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Jul 28, 2024 | Apr 30, 2024 | Apr 28, 2024 | Jan 31, 2024 | Jan 28, 2024 | Oct 31, 2023 | Oct 29, 2023 | Jul 31, 2023 | Jul 30, 2023 | Apr 30, 2023 | Jan 31, 2023 | Jan 29, 2023 | Oct 31, 2022 | Oct 30, 2022 | Jul 31, 2022 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 30.52% | 30.47% | 24.72% | 24.53% | 19.15% | 19.71% | 21.90% | 22.13% | 22.92% | 22.59% | 23.27% | 22.67% | 27.06% | 22.74% | 26.90% | 23.85% | 23.13% | 23.41% | 22.67% | 26.21% |
| Operating profit margin | 10.96% | 11.29% | 10.65% | 13.43% | 12.73% | 16.02% | 18.24% | 19.08% | 19.90% | 16.95% | 17.17% | 13.01% | 12.97% | 13.23% | 14.22% | 15.53% | 14.47% | 14.42% | 13.53% | 12.78% |
| Pretax margin | 7.76% | 5.93% | 5.17% | 4.67% | 3.78% | 6.63% | 9.39% | 10.55% | 11.68% | 11.67% | 11.67% | 10.90% | 10.88% | 11.25% | 12.36% | 13.74% | 12.58% | 12.40% | 11.37% | 10.53% |
| Net profit margin | 5.87% | 4.44% | 3.83% | 3.55% | 2.79% | 4.91% | 6.96% | 7.89% | 8.79% | 8.79% | 8.79% | 8.24% | 8.25% | 8.56% | 9.42% | 10.45% | 9.58% | 9.47% | 8.72% | 8.09% |
Campbell’s Co’s profitability ratios over the period reflect notable fluctuations across various metrics, providing insight into the company's operational efficiency and profitability trends.
Gross Profit Margin: The gross profit margin experienced a declining trend from a high of 27.06% in July 2023 to a low of approximately 19.15% in July 2024. After the dip, there was a significant recovery in April 2025 to 30.47% and further improvement to 30.52% in July 2025. The margins suggest an initial compression possibly due to increased cost of goods sold or pricing pressures, followed by a recovery that indicates improved cost management or favorable pricing strategies.
Operating Profit Margin: The operating profit margin showed variability with a downward trajectory from around 17.17% in October 2023 to approximately 10.96% in July 2025. Nonetheless, temporary improvements, such as a peak near 19.90% in January 2024, suggest periodic operational efficiencies or cost control measures. The downward trend towards mid-2025 indicates increasing operating expense pressures relative to revenues.
Pre-Tax Margin: The pre-tax margin demonstrated a declining pattern from approximately 12.40% in October 2022 to lows around 3.78% in July 2024, with slight recoveries thereafter, reaching approximately 7.76% in July 2025. The downward trend indicates increased costs or reduced profitability before taxation, potentially driven by rising interest costs, expenses, or lower operational earnings.
Net Profit Margin: The net profit margin exhibited a similar declining trend, from about 9.47% in late 2022 down to a nadir of 2.79% in July 2024. It modestly improved to approximately 5.87% in July 2025. This pattern reflects the impact of the cumulative effects of operational challenges, higher expenses, or increased tax burdens affecting the overall bottom line.
Overall, Campbell’s Co’s profitability ratios indicate periods of pressure and recovery within the examined timeline. While gross profit margins showcased a significant rebound in early 2025, margins at the operating, pre-tax, and net levels remained under pressure during the same period, suggesting challenges in managing operational costs and expenses relative to revenue growth. The recent trends point toward a partial recovery, which may signal favorable developments ahead if current efficiency improvements are sustained.
Return on investment
| Jul 31, 2025 | Apr 30, 2025 | Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Jul 28, 2024 | Apr 30, 2024 | Apr 28, 2024 | Jan 31, 2024 | Jan 28, 2024 | Oct 31, 2023 | Oct 29, 2023 | Jul 31, 2023 | Jul 30, 2023 | Apr 30, 2023 | Jan 31, 2023 | Jan 29, 2023 | Oct 31, 2022 | Oct 30, 2022 | Jul 31, 2022 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 7.55% | 7.78% | 6.73% | 8.11% | 7.79% | 9.98% | 11.55% | 12.27% | 16.36% | 13.38% | 12.85% | 9.43% | 9.52% | 10.17% | 11.51% | 13.14% | 11.63% | 10.97% | 9.81% | 9.09% |
| Return on assets (ROA) | 4.04% | 3.06% | 2.42% | 2.14% | 1.71% | 3.06% | 4.41% | 5.07% | 7.22% | 6.94% | 6.58% | 5.97% | 6.05% | 6.58% | 7.63% | 8.84% | 7.70% | 7.21% | 6.32% | 5.75% |
| Return on total capital | 28.79% | 24.21% | 21.71% | 20.04% | 17.26% | 23.59% | 28.98% | 31.79% | 35.10% | 33.93% | 33.64% | 30.87% | 31.40% | 33.54% | 38.74% | 43.71% | 38.71% | 38.59% | 34.50% | 32.48% |
| Return on equity (ROE) | 15.42% | 11.73% | 9.85% | 8.98% | 6.85% | 12.28% | 17.17% | 19.75% | 22.71% | 21.82% | 21.46% | 19.49% | 19.93% | 21.66% | 25.67% | 29.40% | 25.62% | 25.32% | 22.18% | 20.53% |
The analysis of Campbell’s Co profitability ratios over the specified periods reveals noteworthy fluctuations and trends.
Operating Return on Assets (Operating ROA):
This ratio indicates the efficiency of the company's core operations in generating operating income from its assets. The data demonstrate a general upward trend from July 2022 through January 2023, rising from 9.09% to a peak of approximately 16.36%. This suggests improved operational efficiency during this period. However, after reaching the peak in early 2024, the ratio exhibits volatility, declining to a low of approximately 7.79% in July 2024 before experiencing a modest rebound to around 8.11% in October 2024. The subsequent periods indicate a downward trend, with ratios falling below 8% by mid-2025, reflecting potential challenges in maintaining operational efficiency or increased asset base without proportional income growth.
Return on Assets (ROA):
ROA, which encompasses both operational and financial income, follows a similar pattern but at generally lower levels. It progresses from 5.75% in July 2022 to a peak of approximately 8.84% in January 2023. Post-peak, the ratio declines gradually, reaching a low of about 1.71% in July 2024 before showing slight recovery, rising above 2% in late 2024 and early 2025. The overall trend reflects diminishing profitability from total assets over time, possibly indicating increased asset intensity, rising costs, or declining efficiency in converting assets into net income.
Return on Total Capital:
This ratio measures the company's effectiveness in generating profits relative to all capital invested, including debt and equity. The ratio increased from 32.48% in July 2022 to a high of approximately 43.71% in January 2023, indicating improved capital utilization. Subsequently, it experienced a decline through 2023 and into 2024, with the ratio dropping below 20% (to around 17.26% in July 2024). A modest recovery is observed toward early 2025, approaching 24.21%. This pattern suggests periods of effective capital deployment followed by diminishing returns, potentially due to increased capital investments that have yet to translate into proportionate earnings.
Return on Equity (ROE):
ROE, reflecting shareholders’ returns, exhibits a fluctuating trend. It peaked at 25.62% in January 2023, then gradually declined to a low of approximately 6.85% in July 2024. The subsequent upward movement to about 15.42% in July 2025 indicates a recovery in profitability attributable to equity holders, driven possibly by improved net income, better asset utilization, or strategic financial restructuring.
Summary:
The ratios collectively suggest that Campbell’s Co experienced a period of operational and capital efficiency growth early in the observed timeline, peaking around January 2023. Since then, profitability ratios have generally declined, with some signs of recovery in late 2024 and early 2025. The downward trend in most ratios from mid-2023 onwards indicates increased challenges in maintaining profitability, efficiency, or both, potentially driven by external market factors, increased costs, or investment in capital assets. The data imply a need for strategic review to improve ongoing operational and financial performance.