Campbell Soup Company reported today that its fourth-quarter profit fell 54 per cent from a year ago despite a rise in sales.
The world's biggest soupmaker said it earned $44 million, or 11 cents a share, in the three months ended July 30th, down from $96 million, or 23 cents a share, a year ago.
Total sales for the quarter were $1.45 billion, up 3.6 percent from the last year's $1.4 billion.
Considering only continuing operations, profits were $84 million, or 21 cents per share, up from $81 million, or 20 cents per share, a year ago.
Company shares fell nearly 2 per cent on the news.
For fiscal 2006, the company earned $766 million, or $1.85 per share, up from $707 million, or $1.71 per share. Sales in fiscal 2006 were $7.3 billion, up nearly 4 per cent from $7.1 billion a year ago.
In the last few weeks, at least three analysts have downgraded the company's stock saying earnings will be diluted because last month's sale of the company's British businesses will cause earnings to be flat.
Its shares fell 73 cents to $36.45 in morning trading on the New York Stock Exchange
AP