NYSE$SJM

JM Smucker Co · Q1 2021 earnings

Q1 2021 earnings · · Investor relations

Briefing

Smucker's first quarter 2021 results reflected strong growth across nearly all categories, driven by elevated at-home consumption and retailer inventory re-stocking.

Smucker announced strong first quarter results, exceeding expectations with growth across U.S. and International retail businesses, partially offset by a decline in the Away From Home business. Net sales increased by 11%, adjusted earnings per share rose by 50%, and free cash flow significantly increased compared to the prior year. The company raised its full-year fiscal 2021 outlook for net sales, adjusted earnings per share, and free cash flow.

  • Net sales increased 11 percent, driven by growth across U.S. and International retail businesses.
  • Adjusted earnings per share increased 50 percent.
  • Free cash flow was $332.4 million, compared to $148.5 million in the prior year.
  • Full-year fiscal 2021 net sales, adjusted earnings per share, and free cash flow outlook were increased.

Headline financials

Total Revenue

$1.97B

Previous: $1.78B+10.8%
EPS (adj)

$2.37

Previous: $1.58+50.0%
U.S. Retail Pet Foods Margin

18.1%

Previous: 17.9%+1.1%
Sweet Baked Snacks Margin

26.9%

Previous: 20.1%+33.8%
Gross Margin

39.3%

Previous: 39.3%+0.0%
U.S. Retail Coffee Margin

32.0%

Previous: 27.7%+15.5%
Capital Expenditures

-$76.6M

Previous: -$73M-4.9%
Free Cash Flow

$332M

Previous: $149M+123.8%
Net Income

$237M

Previous: $155M+53.3%
Operating Income

$361M

Previous: $258M+40.2%
Gross Profit

$775M

Previous: $700M+10.8%
Cash & Equivalents

$397M

Previous: $48.8M+712.7%
Total Assets

$16.9B

Previous: $16.8B+0.7%
Stock-Based Comp

$5.9M

Previous: $6.2M-4.8%

Revenue & EPS history

Smucker · Revenue · Quarterly

$1.97B

Q1 2021+10.8%vs Q1 2020
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Revenue by segment

Smucker · $1.48B total across 3 segments · Q1 2021

  • U.S. Retail Pet Foods
    $693M
  • U.S. Retail Coffee
    $571M
  • Away From Home
    $219M

Forward guidance

The Company updated its full-year fiscal 2021 guidance. Net sales are expected to range from flat to up 1 percent compared to the prior year. Adjusted earnings per share is expected to range from $8.20 to $8.60. Free cash flow is expected to range from $925 to $975 million.

Tailwinds

  • Net sales change vs prior year: 0% - 1%
  • Adjusted earnings per share: $8.20 - $8.60
  • Free cash flow (in millions): $925 - $975
  • Capital expenditures (in millions): $300
  • Effective tax rate: 24.0 %

Headwinds

  • Outbreak of COVID-19 continues to impact financial results and cause uncertainty for the full-year fiscal 2021 projections.
  • Net sales growth anticipated to moderate throughout the remainder of the fiscal year.
  • Net sales growth will be partially offset by a decline for the Company's Away From Home business
  • Net sales growth will be partially offset by the lapping of a $185 million incremental benefit to net sales related to COVID-19 in the fourth quarter of the prior year.
  • SD&A expenses to increase 1 to 2 percent compared to the prior year

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q1 2021

Historical avgQ1 2021

+0.0%

Avg return

Earnings day

+0.3%

Avg return

5 days after

+0.1%

Avg return

30 days after

49%

34 / 69 earnings

Positive

+10.6%

Q4 2026

Best reaction

-11.5%

Q1 2018

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026+10.6%+14.8%
Q3 2026+9.8%+5.4%-10.7%
Q2 2026-4.7%-0.1%-4.8%
Q1 2026-4.2%-0.1%-1.2%
Q4 2025+0.0%+0.3%+9.4%
Q3 2025-0.0%+0.6%+6.6%
Q2 2025+3.9%+3.7%-2.4%
Q1 2025-5.7%-5.0%+0.4%
Q4 2024+4.2%+2.4%-0.4%
Q3 2024-2.7%-2.2%+0.5%
Q2 2024+4.7%+6.1%+14.4%
Q1 2024+0.7%-0.3%-12.8%
Q4 2023-0.4%+3.1%-0.3%
Q3 2023-1.9%+1.9%+6.4%
Q2 2023+2.1%+3.5%+8.1%
Q1 2023+4.6%+2.8%+3.1%
Q4 2022+3.4%+4.2%+7.8%
Q3 2022-3.0%-0.7%+0.5%
Q2 2022+4.6%+3.6%+5.2%
Q1 2022-2.9%-2.8%-6.4%
Q4 2021+2.9%+0.7%-4.6%
Q3 2021-1.1%-0.2%+13.5%
Q2 2021+1.7%+0.4%+0.0%
Q1 2021+7.7%+5.9%-1.9%
Q4 2020-6.2%-5.4%-8.4%
Q3 2020-1.5%-0.9%-4.4%
Q2 2020+1.6%+1.9%-0.4%
Q1 2020-7.6%-6.9%-3.3%
Q4 2019-0.6%-1.7%-4.6%
Q3 2019+6.4%+4.3%+14.8%
Q2 2019-5.3%-5.4%-14.0%
Q1 2019-9.0%-9.3%-5.4%
Q4 2018-3.8%-0.6%+4.9%
Q3 2018+1.0%-1.5%+2.6%
Q2 2018+7.2%+6.6%+12.1%
Q1 2018-11.5%-11.9%-12.0%
Q4 2017-2.8%-2.0%-11.8%
Q3 2017+3.0%+2.1%+0.5%
Q2 2017-3.9%-2.3%-0.6%
Q1 2017-8.9%-11.0%-11.8%
Q4 2016+8.7%+8.6%+16.1%
Q3 2016+0.7%
Q2 2016+7.9%
Q1 2016+7.7%
Q4 2015-5.8%
Q3 2015+0.7%
Q2 2015-0.8%
Q1 2015-1.7%
Q4 2014+2.8%
Q3 2014+0.2%
Q2 2014-5.1%
Q1 2014-1.5%
Q4 2013-1.0%
Q3 2013-0.4%
Q2 2013-1.0%
Q1 2013+6.7%
Q4 2012-0.4%
Q3 2012-6.5%
Q2 2012+1.5%
Q1 2012-10.2%
Q4 2009+1.1%
Q4 2011+1.1%
Q3 2011-0.0%
Q3 2010-0.0%
Q2 2011+0.4%
Q2 2010+1.1%
Q1 2010+1.1%
Q4 2010+1.1%
Q1 2011+1.1%

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