Segment Information

6 Months Ended

Jan. 30, 2022

Segment Reporting [Abstract]

Business and Geographic Segment Information

Segment Information

Our reportable segments are as follows:

•Meals & Beverages, which consists of our soup, simple meals and beverages products in retail and foodservice in the U.S. and Canada. The segment includes the following products: Campbell’s condensed and ready-to-serve soups; Swanson broth and stocks; Pacific Foods broth, soups and non-dairy beverages; Prego pasta sauces; Pace Mexican sauces; Campbell’s gravies, pasta, beans and dinner sauces; Swanson canned poultry; V8 juices and beverages; and Campbell’s tomato juice. The segment also includes snacking products in foodservice and Canada. The segment included our Plum baby food and snacks business, which was sold on May 3, 2021; and

•Snacks, which consists of Pepperidge Farm cookies*, crackers, fresh bakery and frozen products, including Goldfish crackers*, Snyder’s of Hanover pretzels*, Lance sandwich crackers*, Cape Cod potato chips*, Kettle Brand potato chips*, Late July snacks*, Snack Factory pretzel crisps*, Pop Secret popcorn, Emerald nuts, and other snacking products in retail in the U.S. The segment also includes the retail business in Latin America. In 2022, we now refer to the * brands as our "power brands."

Beginning in 2022, the foodservice and Canadian business formerly included in our Snacks segment is now managed as part of the Meals & Beverages segment. Segment results have been adjusted retrospectively to reflect this change.

We evaluate segment performance before interest, taxes and costs associated with restructuring activities and impairment charges. Unrealized gains and losses on outstanding undesignated commodity hedging activities are excluded from segment operating earnings and are recorded in Corporate as these open positions represent hedges of future purchases. Upon closing of the contracts, the realized gain or loss is transferred to segment operating earnings, which allows the segments to reflect the economic effects of the hedge without exposure to quarterly volatility of unrealized gains and losses. Only the service cost component of pension and postretirement expense is allocated to segments. All other components of expense, including interest cost, expected return on assets, amortization of prior service credits and recognized actuarial gains and losses are reflected in Corporate and not included in segment operating results. Asset information by segment is not discretely maintained for internal reporting or used in evaluating performance.

	Three Months Ended				Six Months Ended
(Millions)	January 30, 2022		January 31, 2021		January 30, 2022		January 31, 2021
Net sales
Meals & Beverages	$	1,275	$	1,318	$	2,541	$	2,681
Snacks	934		961		1,904		1,938
Total	$	2,209	$	2,279	$	4,445	$	4,619

	Three Months Ended				Six Months Ended
(Millions)	January 30, 2022		January 31, 2021		January 30, 2022		January 31, 2021
Earnings before interest and taxes
Meals & Beverages	$	213	$	262	$	493	$	599
Snacks	121		140		249		275
Corporate income (expense)(1)	(11)		17		(43)		7
Restructuring charges(2)	—		(18)		—		(19)
Total	$	323	$	401	$	699	$	862

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(1)Represents unallocated items. There were pension actuarial gains of $10 million and $4 million in the three- and six-month periods ended January 30, 2022, and pension actuarial gains of $30 million and $34 million in the three- and six-month periods ended January 31, 2021, respectively. Costs related to the cost savings initiatives were $5 million and $9 million in the three- and six-month periods ended January 30, 2022, and $4 million and $9 million in the three- and six-month periods ended January 31, 2021, respectively. Unrealized mark-to-market adjustments on outstanding undesignated commodity hedges were losses of $3 million in the six-month period ended January 30, 2022, and gains of $11 million and $17 million in the three- and six-month periods ended January 31, 2021, respectively.

(2)See Note 6 for additional information.

Our net sales based on product categories are as follows:	Three Months Ended				Six Months Ended
(Millions)	January 30, 2022		January 31, 2021		January 30, 2022		January 31, 2021
Net sales
Soup	$	784	$	794	$	1,581	$	1,620
Snacks	966		989		1,969		1,997
Other simple meals	270		307		534		618
Beverages	189		189		361		384
Total	$	2,209	$	2,279	$	4,445	$	4,619

Soup includes various soup, broth and stock products. Snacks include cookies, pretzels, crackers, popcorn, nuts, potato chips, tortilla chips and other salty snacks and baked products. Other simple meals include sauces, gravies, pasta, beans, canned poultry, and Plum products through May 3, 2021, when the business was sold. Beverages include V8 juices and beverages, Campbell’s tomato juice and Pacific Foods non-dairy beverages.