A month has gone by since the last earnings report for B&G Foods (BGS Quick QuoteBGS - Free Report) . Shares have lost about 17.6% in that time frame, underperforming the S&P 500.

Will the recent negative trend continue leading up to its next earnings release, or is B&G Foods due for a breakout? Well, first let's take a quick look at the latest earnings report in order to get a better handle on the recent catalysts for B&G Foods, Inc. before we dive into how investors and analysts have reacted as of late.

B&G Foods Q4 Earnings Meet Estimates, Sales Decrease 2.2% Y/Y

B&G Foods posted fourth-quarter 2025 results, wherein the bottom line came in line with the Zacks Consensus Estimate, but declined year over year. The top line was pressured by recent divestitures, partially offset by modest growth in the base business.

BGS’ Q4 Performance: Key Metrics and Insights

B&G Foods reported adjusted earnings of 28 cents per share, down 9.7% from 31 cents in the year-ago quarter. The metric came in line with the Zacks Consensus Estimate.

Net sales decreased 2.2% year over year to $539.6 million. The decline was primarily due to the divestitures of the Le Sueur U.S., Don Pepino and Sclafani brands, partially offset by growth in base business net sales.

Base business net sales gained 0.8% to $539.6 million, driven by favorable net pricing and product mix of $2.8 million (0.5%) and higher volumes of $1.9 million (0.4%), partially offset by an unfavorable foreign currency impact of $0.3 million.
Adjusted gross profit came in at $123.9 million compared with $122.3 million in the year-ago period. The adjusted gross margin expanded 80 basis points to 23%.

SG&A expenses increased 7.3% year over year to $54 million. The increase reflected higher general and administrative expenses of $2.3 million, acquisition/divestiture-related and other non-recurring expenses of $1.2 million, and selling expenses of $1.1 million, partially offset by a $0.9 million reduction in consumer marketing expenses. As a percentage of sales, SG&A rose 90 basis points to 10%.

Adjusted EBITDA totaled $84.7 million compared with $86.1 million in the prior-year quarter, while the adjusted EBITDA margin improved slightly from 15.6% to 15.7%.

Decoding B&G Foods’ Segmental Performance

Specialty: Net sales fell 3% year over year to $210.2 million, due to the Don Pepino divestiture, which reduced net sales by $4 million compared with the fourth quarter of 2024, as well as lower net pricing and an unfavorable product mix. Adjusted EBITDA dropped 7% to $55.8 million, due to lower net sales and the impact of tariffs.

Meals: Net sales risen 1.1% to $124.2 million, driven by favorable net pricing and product mix, partially offset by lower aggregate volumes across the segment. Adjusted EBITDA grew 13.3% to $32 million, benefiting from favorable net pricing, improved product mix, cost reductions in certain inputs and increased plant volumes related to the in-sourcing of certain products. These gains were partially offset by lower net sales volumes.

Frozen & Vegetables: Net sales dropped 10.1% to $99.1 million, due to the Le Sueur U.S. divestiture, which reduced net sales by $12.4 million compared with the fourth quarter of 2024. Excluding the impact of the divestiture, base business net sales increased, driven by higher volumes, partially offset by modest unfavorable foreign currency impacts and lower net pricing and product mix. However, adjusted EBITDA improved significantly, with the loss narrowing to $0.5 million from a loss of $3.3 million in the prior-year quarter, aided by lower raw material and manufacturing costs and favorable foreign currency impacts on cost of goods sold, partially offset by lower net sales.

Spices & Flavor Solutions: Net sales rose 4.2% to $106.1 million, supported by favorable net pricing and product mix, as well as higher aggregate volumes across the business unit. Adjusted EBITDA decreased 11.1% to $23.1 million, due to the impact of tariffs, unfavorable product mix, higher raw material costs (particularly garlic and black pepper) and unfavorable manufacturing facility absorption.

B&G Foods’ Financial Health Snapshot

B&G Foods ended the quarter with cash and cash equivalents of $56.3 million, net long-term debt of $1,945.6 million and total shareholders’ equity of $452.9 million.

Other Development

The company announced the sale of its Green Giant U.S. frozen vegetable product line to Seneca Foods Corporation, including its Yuma, AZ, manufacturing operations. The move aligns with B&G Foods’ strategy to divest non-core assets and reduce debt. Proceeds will be used for general corporate purposes, including debt repayment, while the company continues certain production under a co-pack agreement.

Sneak Peek Into BGS’ Outlook

For 2026, the company expects net sales of $1.655 billion to $1.695 billion, adjusted EBITDA of $265 million to $275 million and adjusted earnings per share of 55 cents to 65 cents.

This outlook reflects the impact of one fewer reporting week in fiscal 2026 compared with 2025 and incorporates the completed divestitures of the Green Giant U.S. frozen product line, Don Pepino, and Le Sueur U.S. The guidance excludes the pending acquisition of College Inn and Kitchen Basics and the pending Green Giant Canada divestiture, each of which remains subject to customary closing conditions (and regulatory approval in Canada, as applicable).

How Have Estimates Been Moving Since Then?

Analysts were quiet during the last two month period as none of them issued any earnings estimate revisions.

VGM Scores

At this time, B&G Foods has a average Growth Score of C, a score with the same score on the momentum front. However, the stock has a grade of A on the value side, putting it in the top 20% for this investment strategy.

Overall, the stock has an aggregate VGM Score of A. If you aren't focused on one strategy, this score is the one you should be interested in.

Outlook

B&G Foods has a Zacks Rank #2 (Buy). We expect an above average return from the stock in the next few months.