B&G Foods swings to loss on Green Giant Frozen divestiture

B&G Foods (NYSE:BGS) reported a net loss for the first quarter of 2026 as the company accelerated a major overhaul of its brand portfolio, headlined by the exit from the Green Giant U.S. frozen business.

The Parsippany, New Jersey-based food manufacturer posted a net loss of $32.5 million, or $0.41 per diluted share, compared to a modest profit of $0.8 million in the prior-year period.

The loss was driven primarily by a $36.3 million one-time charge related to the sale of assets, specifically the Green Giant U.S. frozen divestiture completed on March 2.

Total net sales for the quarter fell 3.9% to $408.9 million, down from $425.4 million, largely reflecting the absence of the divested brands.

The decline was partially mitigated by the immediate integration of College Inn and Kitchen Basics, acquired on March 19, and a new co-manufacturing agreement with the buyer of the Green Giant frozen assets.

Despite the top-line contraction, B&G Foods’ core operations showed resilience.

Base business net sales—which exclude the impact of acquisitions and divestitures—rose 2.8% to $365.1 million.

This growth was fueled by a 1.9% increase in unit volume and improved pricing power, particularly within the Spices & Flavor Solutions unit.

Adjusted net income, which strips out divestiture-related costs and non-recurring items, doubled to $6.8 million, or $0.08 per share, aided by reduced interest expenses following debt repayments.