Campbell’s to Remove Synthetic Colors by Mid-Fiscal 2026

Despite missing earnings expectations, the company’s shares closed up by more than 7 percent.

Cans of Campbell's Tomato Soup are seen on a supermarket shelf. Chris Helgren/Reuters

On the heels of announcing its fourth-quarter fiscal 2025 earnings at $2.32 billion, The Campbell’s Company reported that, starting in the second half of fiscal 2026, which starts on Aug. 4, it will no longer use synthetic food dyes in any of its food or beverage products.

“These are a few examples of how this consumer-led approach informs how we work across our leadership brands in both divisions, ensuring we bring forward offerings that resonate with consumers and their evolving preferences,” Campbell CEO Mick Beekhuizen said during the company’s earnings call. “Our use of these colors is limited.”

The Federal Food, Drug, and Cosmetic Act currently regulates the use of these colors in products to ensure their safety. Also known as FD & C colors, these food additives are artificially manufactured dyes and pigments that are not created from natural sources such as plants or minerals. They’re often used to add vibrant color to foods.

In addition, despite Campbell’s miss on an anticipated earnings of $2.33 billion in the quarter, its stock closed 7.22 percent higher on Sept. 3.

The company’s fourth-quarter earnings per share increased to $0.48 from $0.01 in the same period of 2024. For the full year, net sales rose 6 percent, to $10.3 billion. Cash flow from operations was reported at $1.1 billion, with $521 million returned to shareholders.

The numbers also reflect sales from all of the Sovos Brands, which were acquired in March 2024.

Beekheuizen reported that 16 of its leadership brands represent about 90 percent of total sales.

“The consumer environment remained relatively consistent in the fourth quarter, with at-home cooking continuing to be one of the ways consumers define value,” he said.

“This once again was a tailwind for our Meals and Beverages business, especially for our condensed cooking soups, broth, and Italian sauces.”

The Italian sauces category continues to be a company stronghold with Rao’s, poised to become the firm’s fourth billion-dollar brand. Prego currently holds the top two spots in dollar share.

Meanwhile, its product sales analysis found that homemade ramen is one of the fastest-growing uses of broth.

Its wet soup dollar share saw a slight decline of 0.8 percent with the discontinuation of its “Well Yes” brand. While snack brands like Pepperidge Farm and Snack Factory grew, the company experienced an overall decline of 2 percent in that category.

“In crackers, Goldfish, as one of our flagship billion-dollar brands, continues to exhibit healthy brand fundamentals with sequential improvements in both dollar consumption and dollar share performance in the fourth quarter,” Beekheuizen said.

Should the tariffs remain in place for the rest of the year, the company expects to alleviate about 60 percent of their impact in fiscal 2026 through inventory management, supplier collaboration, and alternative sourcing opportunities. Tariffs are expected to affect just 4 percent of product costs.

Founded in 1869, the Campbell’s Company is headquartered in Camden, New Jersey. Its meals and beverages products include Rao’s and Prego sauces, Swanson canned poultry, V8 juices, and Michael Angelo’s frozen entrees.

Its snack division includes Pepperidge Farm cookies, crackers, fresh bakery and frozen products, Snyder’s of Hanover pretzels, Goldfish crackers, Lance sandwich crackers, Cape Cod and Kettle Brand potato chips, Late July snacks, and Snack Factory pretzels crisps. The fiscal 2025 sales also included the Pop Secret popcorn business, which was sold in August 2024.