Q2 2026 J M Smucker Co Earnings Call- Q&A Session Transcript
Key Points
- JM Smucker Co (SJM) reported better-than-expected organic sales in the Sweet Baked Snacks segment, driven by improved performance in convenience stores and a focused portfolio strategy.
- The company successfully relaunched Suzy Q's, which has shown a positive start, contributing to the Sweet Baked Snacks segment's growth.
- The decision to not take a third round of pricing in the coffee segment is expected to be a tailwind for fiscal 2027, as the $0.50 tariff impact is predominantly related to green coffee tariffs.
- Uncrustables brand is on track to become a $1 billion brand by the end of the fiscal year, with expectations of double-digit growth in the second half.
- The pet portfolio, particularly Milk-Bone and Meow Mix, is expected to show low single-digit growth in the third and fourth quarters, supported by marketing and innovation efforts.
- The Sweet Baked Snacks segment did not meet profit expectations in the second quarter due to higher costs from the transition of the bakery network.
- The coffee segment's margins are expected to remain below 20% in the third quarter, with only a slight improvement anticipated.
- The spreads portfolio, particularly peanut butter, faced challenges in the second quarter, impacting overall net sales expectations for the frozen handheld and spreads segment.
- The company is absorbing about $75 million of tariff-related costs in fiscal 2026, impacting the current year's financial performance.
- The Dunkin brand within the coffee segment has faced competitive pricing pressure, affecting its performance compared to other brands like Folgers and Bustelo.
Good morning, and welcome to the J.M. Smucker Company's fiscal 2026 second quarter earnings question-and-answer session. This conference call is being recorded. (Operator Instructions) I will now turn the call over to the Crystal Beiting, Vice President, Investor Relations and Financial Planning and Analysis. Thank you. You may begin.
Good morning, and thank you for joining our fiscal 2026 second quarter earnings question-and-answer session. I hope everyone had a chance to review our results as detailed in this morning's press release and management's prepared remarks, which are available on our corporate website at jmsmucker.com. We will also post an audio replay of this call at the conclusion of this morning's Q&A session.
During today's call, we may make forward-looking statements that reflect our current expectations about future plans and performance. These statements rely on assumptions and estimates, and actual results may differ
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
