NYSE$SMG
Scotts Miracle-Gro Company · Q3 2022 earnings
Q3 2022 earnings · · Investor relations
Briefing
Scotts Miracle-Gro's financial performance declined due to decreases in both major business segments, and the company announced Project Springboard to enhance shareholder value.
Scotts Miracle-Gro's third quarter sales decreased by 26% due to declines in both the Hawthorne and U.S. Consumer segments. The company reported a GAAP net loss per share of $8.01, which includes pre-tax impairment and restructuring charges of $724.2 million. Non-GAAP adjusted earnings per share was $1.98. The company announced Project Springboard to improve financial performance.
- Company-wide third quarter sales decreased 26% driven by Hawthorne decline of 63% and U.S. Consumer decline of 14%
- Consumer POS climbed in May & June; year-to-date POS dollars down 5%
- Q3 GAAP EPS loss of $8.01 per share, includes pre-tax impairment and restructuring charges of $724 million; non-GAAP adjusted EPS of $1.98
- Company announces Project Springboard to strengthen the balance sheet, expand margins and improve free cash flow
Headline financials
Revenue & EPS history
Scotts · Revenue · Quarterly
$1.19B
Revenue by segment
Scotts · $1.03B total across 2 segments · Q3 2022
- U.S. Consumer$905M-13.9%87.7%
- Other$127M-10.2%12.3%
Forward guidance
The Company lowered its full-year sales guidance in the U.S. Consumer segment due to lower-than-expected replenishment orders from retail partners. The Company now expects sales to decline 8 to 9 percent. The Company also expects further SG&A favorability and is now guiding full-year SG&A down 15 percent. As a result of these changes, the full-year adjusted EPS outlook is now expected to be $4.00 to $4.20.
Tailwinds
- Full-year SG&A is now guided down 15 percent.
- Project Springboard team achieved the initial cost savings target
- Project Springboard team identified additional opportunities to reduce spending across the business.
Headwinds
- Company lowered its full-year sales guidance in the U.S. Consumer segment due to lower-than-expected replenishment orders from retail partners.
- Company now expects sales to decline 8 to 9 percent.
- Retail inventory reduction efforts have accelerated throughout June and July, driving a larger decline in our full-year sales expectation.
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 Q3 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
| Quarter | Report date | Reaction (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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