Top-News
Dienstag,
23.08.2016 13:00
von
PR Newswire
| Aufrufe: 93
The J. M. Smucker Company Announces Fiscal 2017 First Quarter Results
Ein volles Kühlregal in einem Supermarkt. (Symbolfoto)
© pixabay.com/CC0
https://pixabay.com
PR Newswire
ORRVILLE, Ohio, Aug. 23, 2016
ORRVILLE, Ohio, Aug. 23, 2016 /PRNewswire/ -- The J. M. Smucker Company (NYSE: SJM) today announced results for the first quarter ended July 31, 2016, of its 2017 fiscal year. All comparisons are to the first quarter of the prior fiscal year, unless otherwise noted.
EXECUTIVE SUMMARY
- Net sales decreased 7 percent, reflecting the impact of the divested U.S. canned milk business and price declines.
- Net income per diluted share increased 28 percent to $1.46.
- Adjusted earnings per share was $1.86, an increase of 16 percent, reflecting incremental synergy realization, a lower tax rate, and fewer shares outstanding.
- Synergy realization was $32 million in the first quarter as the Company remains on track to achieve $100 million of incremental synergies in fiscal 2017.
- Cash provided by operating activities was $238.9 million in the first quarter, compared to $307.0 million in the prior year.
- The Company maintained its full-year fiscal 2017 earnings outlook, with adjusted earnings per share expected to range from $7.60 to $7.75.
CHIEF EXECUTIVE OFFICER REMARKS
"We are pleased with the start to our fiscal year as we delivered record first quarter earnings per share, which exceeded our expectations," said Mark Smucker, Chief Executive Officer. "Despite the impact of deflation on the top line, we remain on track to achieve our original expectations for full-year earnings per share. We are strengthening a great portfolio of brands by investing in new capabilities and on-trend platforms that are essential to long-term sales growth. At the same time, we are focused on sustainable cost reductions that are delivering significant bottom-line benefits. For these reasons, we remain confident in achieving our long-term objectives and delivering continued shareholder value."
NON-GAAP MEASURES AND SEGMENT RESULTS
Beginning May 1, 2016, the Company redefined certain non-GAAP measures and modified its segment profit calculation to exclude amortization expense related to intangible assets, including any related impairment charges. Prior year results have been modified to conform to the new presentation. Additional information is included in the Company's Form 8-K, dated July 25, 2016.
FIRST QUARTER CONSOLIDATED RESULTS
| | | Three Months Ended July 31, | ||||
| | | | | | | % Increase |
| | | 2016 | | 2015 | | (Decrease) |
| | | (Dollars and shares in millions, except per share data) | ||||
| | | | | | | |
| Net sales | $ 1,815.8 | | $ 1,952.0 | | (7%) | |
| | | | | | | |
| Operating income | $ 293.8 | | $ 267.1 | | 10% | |
| Adjusted operating income | 364.0 | | 356.1 | | 2% | |
| | | | | | | |
| Net income per common share – assuming dilution | $ 1.46 | | $ 1.14 | | 28% | |
| Adjusted earnings per share | 1.86 | | 1.60 | | 16% | |
| | | | | | | |
| Weighted-average shares outstanding – assuming dilution | 116.5 | | 119.6 | | (3%) | |
| | | | | | | |
| Results for the three months ended July 31, 2015, include the Company's former U.S. canned milk business, which was divested on December 31, 2015. | ||||||
Net Sales
Net sales decreased $136.2 million, including $39.5 million attributed to the divested U.S. canned milk business. Excluding the noncomparable divested business and foreign currency exchange, net sales decreased $92.1 million, or 5 percent. This was driven by a 4 percentage point impact of lower net price realization, which was mostly attributed to coffee. Unfavorable volume/mix, driven by the U.S. Retail Pet Foods segment, also contributed to lower net sales.
Operating Income
Gross profit decreased $6.0 million, or 1 percent, reflecting lower net pricing and the loss of U.S. canned milk profits. These factors were mostly offset by a reduction in commodity costs, primarily attributed to green coffee, and incremental synergy realization. Selling, distribution, and administrative ("SD&A") expenses decreased $31.6 million, or 8 percent, primarily driven by synergy realization and reduced selling expense. Operating income increased $26.7 million, or 10 percent, primarily reflecting the lower SD&A expenses.
On a non-GAAP basis, adjusted gross profit decreased $22.8 million, or 3 percent, with the primary difference from GAAP results being the exclusion of a $17.7 million favorable change in unallocated derivative gains and losses. Adjusted operating income increased $7.9 million, or 2 percent.
Other
Net interest expense decreased $2.9 million, due to reduced debt levels. Income taxes decreased $3.0 million as the increase in income before tax was offset by a lower effective tax rate of 32.9 percent. This represented a decrease from 38.8 percent in the prior year, which reflected higher deferred state tax expense and the impact of state tax law changes.
Cash provided by operating activities was $238.9 million. This compared to $307.0 million in the prior year, which benefited from a non-recurring $49.6 million tax refund.
FULL-YEAR OUTLOOK
The Company updated its full-year fiscal 2017 guidance as summarized below:
| | Current | Previous |
| Comparable net sales increase (decrease) vs prior year | 0% to (1%) | 1% |
| Adjusted earnings per share | $7.60 - $7.75 | $7.60 - $7.75 |
| Free cash flow | $1.0 billion | $1.0 billion |
| Capital expenditures | $240 million | $240 million |
| Effective tax rate | 33.5% | 34.0% |
| | | |
| | | |
Net sales are expected to decrease in the range of 2 percent to 3 percent from fiscal 2016, reflecting the U.S. canned milk divestiture. Excluding the impact of the divestiture, net sales are expected to range from flat to down 1 percent. The change in sales guidance is based on a reduced net sales forecast for U.S. Retail Pet Foods. The corresponding decrease in profit is expected to be offset by input cost decreases for U.S. Retail Consumer Foods and a lower effective tax rate compared to the previous estimate. Adjusted earnings per share is unchanged and expected to range from $7.60 to $7.75, based on 116.6 million shares outstanding. Included in earnings guidance is $100 million of incremental synergies in fiscal 2017.
FIRST QUARTER SEGMENT RESULTS
Dollar amounts in the segment tables below are reported in millions.
| U.S. Retail Coffee | | | | | | |
| | | | | | | |
| | | Net | | Segment | | Segment |
| | | Sales | | Profit | | Profit Margin |
| FY17 Q1 Results | | $513.3 | | $173.8 | | 33.9% |
| Increase (decrease) vs prior year | (9%) | | - | | 310bps | |
| | | | | | | |
Segment net sales decreased $51.7 million, reflecting lower net price realization, which was primarily attributed to the impact of two 6 percent list price declines since the beginning of fiscal 2016. Favorable volume/mix for the Folgers® and Café Bustelo® brands was offset by declines for Dunkin' Donuts® K-Cup® pods, which were anticipated following the successful introduction of the product line at the beginning of fiscal 2016. Segment profit was comparable to the prior year primarily due to lower commodity costs and favorable Folgers® volume/mix being offset by lower net price realization and the reduced contribution from Dunkin' Donuts® K-Cup® pods.
| U.S. Retail Consumer Foods | | | | | | |
| | | | | | | |
| | | Net | | Segment | | Segment |
| | | Sales | | Profit | | Profit Margin |
| FY17 Q1 Results | | $537.0 | | $111.4 | | 20.7% Werbung Mehr Nachrichten zur JM Smucker Company Aktie kostenlos abonnieren
E-Mail-Adresse
Bitte überprüfe deine die E-Mail-Adresse.
Benachrichtigungen von ARIVA.DE (Mit der Bestellung akzeptierst du die Datenschutzhinweise) -1  Vielen Dank, dass du dich für unseren Newsletter angemeldet hast. Du erhältst in Kürze eine E-Mail mit einem Aktivierungslink. Hinweis: ARIVA.DE veröffentlicht in dieser Rubrik Analysen, Kolumnen und Nachrichten aus verschiedenen Quellen. Die ARIVA.DE AG ist nicht verantwortlich für Inhalte, die erkennbar von Dritten in den „News“-Bereich dieser Webseite eingestellt worden sind, und macht sich diese nicht zu Eigen. Diese Inhalte sind insbesondere durch eine entsprechende „von“-Kennzeichnung unterhalb der Artikelüberschrift und/oder durch den Link „Um den vollständigen Artikel zu lesen, klicken Sie bitte hier.“ erkennbar; verantwortlich für diese Inhalte ist allein der genannte Dritte. Andere Nutzer interessierten sich auch für folgende News |
