J.M. Smucker Co. announces fiscal 2022 first-quarter results amid supply chain headwinds

Orrville, OH-based J.M. Smucker Co. (NYSE: SJM) announced results for the first quarter of fiscal 2022, ended July 31. Financial results for the quarter reflect the divestiture of the Crisco business on Dec. 1, 2020, and Natural Balance on Jan.29, 2021.

KEY POINTS

• Net sales decreased $113.8 million, or 6%. Net sales excluding divestitures and foreign currency exchange increased 1%.
• Net income per diluted share was $1.42. Adjusted earnings per share was $1.90, a decrease of 20%.
• Cash from operations was $137.8 million, a decrease of 66% Free cash flow was $69.8 million, compared with $332.4 million in the prior year.

"Our first quarter results reflected organic net sales growth, while lapping double-digit growth in the prior year, and continued to demonstrate consumers' desire for our brands, while earnings were in line with our expectations," said Mark Smucker, president and chief executive. "The progress we have made against our strategy and executional priorities has made us a stronger company, positioning our iconic brands for continued growth in market share.

"Our industry continues to navigate a period of significant supply chain volatility, disruption, and cost inflation," Smucker continued. "In the near term, we expect to experience higher raw material and logistics cost increases. However, we are optimistic in managing these challenges"

Smucker food and coffee brands include Folgers, Jif and Milk-Bone, and new lines like Café Bustelo, Smucker's Uncrustables and Rachael Ray Nutrish. The Dunkin' brand is licensed to J.M. Smucker Co. for packaged coffee products.