Smucker Company: announces Q2 fiscal 2023 results

Orrville / OH. (sc) The J. M. Smucker Company announced results for the first quarter ended July 31, 2022, of its 2023 fiscal year. Financial results for the first quarter of fiscal year 2023 reflect the divestitures of the natural beverage and grains businesses on January 31, 2022, and the private label dry pet food business on December 01, 2021. All comparisons are to the first quarter of the prior fiscal year, unless otherwise noted.

Executive Summary

• Net sales increased USD 15.0 million, or 1 percent. Net sales excluding divestitures and foreign currency exchange increased 4 percent. Net sales reflect a 9 percent unfavorable impact related to the peanut butter product recall.
• Net income per diluted share was USD 1.03. Adjusted earnings per share was USD 1.67, a decrease of 12 percent, primarily as a result of the peanut butter product recall.
• Cash used for operations was USD 39.0 million, a change of 128 percent. Free cash flow was USD (127.3) million, compared to USD 69.8 million in the prior year.
• The Company increased its full-year fiscal 2023 financial outlook for net sales, adjusted earnings per share and free cash flow.

Chief Executive Officer Remarks

«Our first quarter results reflect a strong start to the fiscal year, demonstrating our operational excellence and strength of our strategy. Our teams have done outstanding work to manage headwinds from cost inflation, industry-wide supply chain challenges, and the peanut butter recall,» said Mark Smucker, Chair of the Board, President and Chief Executive Officer. «We delivered another quarter that exceeded our expectations, as consumers’ demand for our iconic brands continued in a rising cost environment, driving robust organic top-line growth for our key focus platforms of pet, coffee, and snacking.»

«Due to the better-than-expected first quarter results and sustained momentum for our trusted brands, we are raising our net sales, adjusted earnings per share, and free cash flow expectations for this fiscal year. In the months ahead, we will sustain investment in our growth platforms including wellknown brands. We remain confident in our ability to drive long-term growth and shareholder value creation through the current dynamic operating environment.»

For additional details please read the company’s PDF file below (75 KB).

20220824-SMUCKER-Q1-2023.