By Nate Wolf
J.M. Smucker stock fell sharply in premarket trading Tuesday after the packaged food maker reported mixed quarterly earnings and projected a downturn in profit over the next fiscal year.
The company posted adjusted earnings of $2.31 a share for its fiscal fourth quarter, above Wall Street's call for $2.24, according to FactSet. Net sales of $2.1 billion fell short of analysts' $2.19 billion consensus estimate.
J.M. Smucker's stock fell 9.8% to $109.95.
Management projected adjusted earnings to drop to a range of $8.50 to $9.50 a share in the current fiscal year, down from $10.12 a share in fiscal 2025. Net sales, meanwhile, are expected to rise 2% to 4%, a sharp slowdown from the 7% growth Smucker's saw in fiscal 2025.
"We acknowledge that we continue to operate in a dynamic environment including evolving macroeconomic factors, record-high green coffee costs, implications from tariffs, regulatory and policy changes, and consumers that continue to seek value," CEO Mark Smucker said in prepared remarks.
The cautious outlook also takes into account ongoing weakness in the company's Sweet Baked Snacks segment, which includes the Hostess Brands acquired in 2023. Comparable Sweet Baked Snacks sales declined 14% and profit dropped a staggering 72% in fiscal 2025.
Write to Nate Wolf at nate.wolf@barrons.com
This content was created by Barron's, which is operated by Dow Jones & Co. Barron's is published independently from Dow Jones Newswires and The Wall Street Journal.
(END) Dow Jones Newswires
June 10, 2025 07:45 ET (11:45 GMT)
Copyright (c) 2025 Dow Jones & Company, Inc.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.