The J. M. Smucker Company Announces Fiscal 2018 First Quarter Results

ORRVILLE, Ohio, Aug. 24, 2017 /PRNewswire/ -- The J. M. Smucker Company (NYSE: SJM) today announced results for the first quarter ended July 31, 2017, of its 2018 fiscal year.  All comparisons are to the first quarter of the prior fiscal year, unless otherwise noted.  

EXECUTIVE SUMMARY

• Net sales decreased 4 percent, reflecting declines within the U.S. Retail Consumer Foods and U.S. Retail Coffee segments.  
• Net income per diluted share decreased 23 percent to $1.12.  This decline was mostly anticipated due to planned increases in marketing expense and commodity costs.
• Adjusted earnings per share was $1.51, a decrease of 19 percent. 
• Cash provided by operating activities was $304.3 million, compared to $238.9 million in the prior year.  Free cash flow was $234.7 million in the quarter, compared to $188.7 million in the prior year.  
• The Company lowered the midpoint of its full-year fiscal 2018 adjusted earnings per share guidance range by approximately 1 percent.

CHIEF EXECUTIVE OFFICER REMARKS
"While our first quarter results fell slightly short of our projections, primarily driven by lower than anticipated volume for Folgers® roast and ground coffee, we have taken actions to improve our competitive positioning for Folgers®.  As a result, volume trends are improving.  In addition, we remain pleased with the performance of the remainder of our coffee portfolio and look forward to the launch of new coffee products later this fiscal year," said Mark Smucker, Chief Executive Officer.  "We are also pleased with the progress on our cost management programs, as we continue to deliver on our synergy and cost savings targets.  Across all our businesses, we are executing on our strategic plan that provides a clear path to sustainable, long-term growth by delivering on current consumer and retail trends."

Full report.