NYSE$SMG

Scotts Miracle-Gro Company · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

ScottsMiracle-Gro reported a decrease in company-wide sales due to decline in Hawthorne sales, which was offset by record second quarter sales in its U.S. Consumer segment.

ScottsMiracle-Gro announced record second quarter sales in its U.S. Consumer segment, but this growth was offset by a decline in Hawthorne sales, leading to an overall decrease in company-wide sales. The company's GAAP earnings per share were $4.94, while non-GAAP adjusted earnings per share were $5.03. The company has adjusted its sales outlook for both U.S. Consumer and Hawthorne to the low end of guidance.

  • GAAP EPS: $4.94 versus $5.44; non-GAAP adjusted EPS of $5.03 versus $5.64
  • Consumer POS down 12% entering May with increasing momentum in most markets
  • Sales outlook for U.S. Consumer and Hawthorne adjusted to low end of guidance
  • Productivity enhancement efforts launched to reduce costs, improve margins

Headline financials

Total Revenue

$1.68B

Previous: $1.83B-8.2%
EPS (adj)

$5.03

Previous: $5.64-10.8%
Capital Expenditures

-$66M

Previous: -$53.7M-22.9%
Free Cash Flow

$211M

Previous: $256M-17.9%
Net Income

$277M

Previous: $310M-10.8%
Operating Income

$388M

Previous: $424M-8.5%
Gross Profit

$588M

Previous: $658M-10.5%
Cash & Equivalents

$17.1M

Previous: $14.4M+18.8%
Total Assets

$6.21B

Previous: $4.93B+25.8%
Stock-Based Comp

$15.9M

Previous: $17.6M-9.7%

Revenue & EPS history

Scotts · Revenue · Quarterly

$1.68B

Q2 2022-8.2%vs Q2 2021
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Revenue by segment

Scotts · $1.48B total across 2 segments · Q2 2022

  • U.S. Consumer
    $1.38B+0.4%
  • Other
    $96M+5.5%

Forward guidance

The Company said its previous guidance of $8 or more of non-GAAP adjusted earnings per share is likely unattainable. Management currently expects to provide an update to the investment community the week of June 6, 2022.

Historical earnings impact

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

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2022

Historical avgQ2 2022

+0.7%

Avg return

Earnings day

+1.5%

Avg return

5 days after

-0.7%

Avg return

30 days after

60%

41 / 68 earnings

Positive

+18.2%

Q4 2023

Best reaction

-21.9%

Q4 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026-4.6%-9.2%-9.8%
Q1 2026-0.6%-0.1%-10.8%
Q4 2025+2.8%+4.6%-1.2%
Q2 2025-5.9%+4.9%+11.2%
Q1 2025-5.8%-8.5%-22.7%
Q4 2024-21.9%-20.4%-19.3%
Q3 2024+7.1%+0.7%+1.1%
Q2 2024+0.2%+4.2%+1.7%
Q1 2024+4.6%+5.0%+23.4%
Q4 2023+18.2%+19.3%+30.9%
Q3 2023-21.1%-23.2%-23.0%
Q2 2023-7.6%+4.7%-3.7%
Q1 2023+16.2%+12.3%+18.1%
Q4 2022+8.9%+11.5%+20.3%
Q3 2022-8.2%-5.3%-30.0%
Q2 2022+9.9%-1.3%-8.9%
Q1 2022-6.6%-12.1%-8.0%
Q4 2021+11.5%+13.6%-8.9%
Q3 2021-8.2%-7.9%-9.7%
Q2 2021+5.5%+6.1%-11.7%
Q1 2021+3.6%+4.8%-12.0%
Q4 2020+8.3%-1.5%+10.0%
Q3 2020+8.1%+8.7%+15.4%
Q2 2020+4.3%+5.7%+3.2%
Q1 2020+10.5%+13.3%-3.0%
Q4 2019+4.8%+9.2%+5.2%
Q3 2019+5.5%+5.0%+2.9%
Q2 2019+6.8%+9.3%+5.3%
Q1 2019+6.3%+8.3%+17.0%
Q4 2018+10.3%+8.4%-1.9%
Q3 2018-1.0%+1.7%-4.0%
Q2 2018-7.3%-2.5%+1.9%
Q1 2018-15.8%-15.6%-15.9%
Q4 2017-0.2%-0.5%+2.3%
Q3 2017-0.3%+1.0%-0.4%
Q2 2017-8.5%-7.2%-9.4%
Q1 2017-2.2%-3.1%-1.9%
Q4 2016+0.5%+2.6%+4.8%
Q3 2016+7.7%+12.0%+12.8%
Q2 2016-3.8%
Q1 2016-3.9%
Q4 2015+1.4%
Q3 2015+8.6%
Q2 2015+2.0%
Q1 2015+2.1%
Q4 2014+0.6%
Q3 2014+4.6%
Q2 2014-0.9%
Q1 2014-0.4%
Q4 2013-0.5%
Q3 2013+0.5%
Q2 2013+5.7%
Q1 2013+0.1%
Q4 2012-4.8%
Q3 2012+4.1%
Q2 2012-16.2%
Q1 2012+4.9%
Q4 2011-1.6%
Q3 2011+0.8%
Q2 2011-0.8%
Q1 2010+0.0%
Q1 2011+0.0%
Q4 2010+1.0%
Q4 2008+1.0%
Q2 2010+1.0%
Q3 2009+1.3%
Q3 2010+1.3%
Q4 2009+1.3%

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