NYSE$SJM
JM Smucker Co · Q2 2023 earnings
Q2 2023 earnings · · Investor relations
Briefing
Smucker's second quarter results reflect strong business performance, driven by demand for leading brands and effective execution, with organic top-line growth across all businesses.
The J.M. Smucker Co. reported an 8% increase in net sales, with a comparable increase of 11% excluding divestitures and foreign currency exchange. Net income per diluted share was $1.79, while adjusted earnings per share decreased by 1% to $2.40. The company has raised its full-year fiscal 2023 financial outlook for net sales and adjusted earnings per share.
- Net sales increased by 8 percent, or 11 percent excluding divestitures and foreign currency exchange.
- Net income per diluted share was $1.79; adjusted earnings per share was $2.40, a decrease of 1 percent.
- Cash provided by operations increased by 24 percent to $205.0 million.
- The Company increased its full-year fiscal 2023 financial outlook for net sales and adjusted earnings per share.
Headline financials
Revenue & EPS history
Smucker · Revenue · Quarterly
$2.21B
Revenue by segment
Smucker · $1.77B total across 3 segments · Q2 2023
- U.S. Retail Pet Foods$765M+9.1%43.2%
- U.S. Retail Coffee$710M+10.0%40.0%
- Away From Home$298M+13.7%16.8%
Forward guidance
The Company updated its full-year fiscal 2023 guidance with net sales expected to increase 5.5% - 6.5% and adjusted earnings per share between $8.35 - $8.75. Free cash flow is expected to be approximately $550 million with capital expenditures of $550 million.
Tailwinds
- Net sales are expected to increase 5.5 to 6.5 percent compared to the prior year.
- Excluding noncomparable net sales in the prior year for the divested private label dry pet food and natural beverage and grains businesses, net sales are expected to increase approximately 8.0 percent at the mid-point of the guidance range.
- This reflects higher net pricing to recover cost inflation across multiple categories.
- Adjusted earnings per share is expected to range from $8.35 to $8.75, including an estimated $0.80 unfavorable impact related to the Jif® peanut butter product recall.
- This range reflects the benefits of higher net pricing actions and shares repurchased in the prior fiscal year being more than offset by cost inflation, the anticipated volume/mix impact of price elasticity of demand, the unfavorable impact of the Jif® peanut butter product recall, and increased SD&A expenses.
Headwinds
- Ongoing cost inflation, volatility in supply chains and the overall macroeconomic environment continue to impact financial results and cause uncertainty and risk for the fiscal year 2023 outlook.
- Any manufacturing or supply chain disruption, as well as changes in consumer purchasing behavior, including the potential impact to volume due to recent price increases, retailer inventory levels, and broader macroeconomic conditions, could materially impact actual results.
- In particular, the Jif® peanut butter product recall will impact our financial results for the fiscal year.
- This guidance assumes an adjusted gross profit margin of 33.5 percent, an adjusted effective income tax rate of 24.1 percent, and 106.9 million common shares outstanding.
- Free cash flow is expected to be approximately $550 million, inclusive of the estimated unfavorable impact related to the Jif® peanut butter product recall, with capital expenditures of $550 million.
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 Q2 2023
+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
| Quarter | Report date | Reaction (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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